Mismanagement Delays Costa Rican Ports

Excessive paperwork is delaying investments in the country's ports, while authorities blame each other for the problems.

Friday, February 7, 2014

Planned investments in the ports of Limón, Puntarenas and Caldera have been slowed by excessive paperwork and the lack of accountability of the authorities, who blame each other for the delays.

2 years ago the port of Moin halted a million dollar purchase of equipment. "...The aim was to buy, using a tender process, a Portal Crane for $10 million, civil works for $3 million, container storage for $1 million, 7 trucks and 15 carts for $2 million ...". These actions have to be approved by the Ministry of Finance.

In the Port of Caldera, a concession was awarded seven years ago to Sociedad Portuaria Caldera (SPC), there are several important works awaiting approval. For example, "... the breakwater must be extended. This would stop the sand and sediment entering the port draft. These reduce the ability of large boats to dock."

This and other projects are waiting for the SPC to reach an agreement with the State to define how the works will impact the contract. "These works are vital, they will improve the efficiency of the port of Caldera. We would be able to receive larger vessels and therefore have a higher capacity," said Emilio Vargas, PR manager for the concessionaire.

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Delays in Cargo Movement in Caldera

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The Pacific port of Costa Rica is recording delays in services to carrier vessels causing losses for the companies who use their services.

Elfinancierocr.com reports that "Last year, the fertilizer company Abonos del Pacífico (Abopac) reported losses of about $2 million caused by delays in services provided by concessionaire manager of Caldera Port, Sociedad Portuaria de Caldera (SPC). "

Costa Rican Ports are "Terrible"

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Lack of adequate infrastructure does not allow the demand for sea cargo to be met, increasing associated costs.

The chief executive of the Costa Rican Institute for Pacific Ports (INCOP in Spanish) notes that while in the port of Caldera container movements increased by 17% in 2011 compared to 2010, delay going back years in the construction of a bulk loading pier is an obstacle to being able to satisfy cargo requirements in terms of time and fees.

Moin and Limon Ports Paralyzed

June 2012

The Workers Union comprising of Japdeva, Portuarios and Afines has gone on strike because of opposition to the construction of a private container terminal.

Staff members of the Union of Japdeva Port Associations (Sintrajap) are protesting against the concession to the Dutch firm APM Terminals to build a container terminal in Moin, an investment project costing $22 million approved by the Controller General of the Republic.

Ports in Limon Lag Behind

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Despite the delays, modernization initiatives are emerging as potential positive signals for the Costa Rican ports.

The ports of Moin and Limon, two gateways of international trade into the country, are lagging behind compared to other ports in the region and Latin America.

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