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CONTENTS I
11 Shipping Association of Barbados
SAB pushes ahead with training programme
13 Port and Maritime Association of
Guadeloupe (UMEP)
Assisting maritime development
14 Shipping Association of Guyana
Top priority for harbour deepening at Demerara
16 Shipping Association of St Lucia
Shipping Association of St Lucia defines role
and plans development
17 Shipping Association of Trinidad
and Tobago
Rolling out a strategic plan
18 Miami
Miami to be first with 50 ft depth
34 Martinique
Martinique to get new ferry terminal
35 New Orleans
Billion-dollar master plan but New Orleans proceeds
with caution
40 Management
Do what you do best
EXCEPT FOR THAT APPEARING IN THE EDITORIAL COLUMN, THE
VIEWS AND OPINIONS EXPRESSED BY WRITERS FEATURED IN THIS
PUBLICATION ARE PRESENTED PURELY FOR INFORMATION AND
DISCUSSION AND DO NOT NECESSARILY REFLECT THE VIEWS
AND OPINIONS OF THE CARIBBEAN SHIPPING ASSOCIATION.
-THE EDITOR
2 Editorial
The year starts with talk of recovery
3 Message from the CSA President
Caribbean Maritime a historical document
4 CSA Album
32 Newsbriefs
43 Information technology
Jamaican firm provides technology support
45 The Human Factor
Resilience: the best medicine for economic recovery
47 A Matter of Law
Is Copenhagen a sideshow?
8 CMI graduation
CMI reports progress and success
20 Port of Jacksonville
Major new rail and ship facilities
22 Caribbean Feeder Services
A positive outlook for the year ahead
23 Port of Port of Spain
Port of Port of Spain invests in further improvements
24 Panama Canal Expansion Programme
Project moves towards lock construction
26 Curacao
The future is bright
30 John Fernandes Ltd
Celebrating 50 years
36 Integration
Time is right for more integration of transport services
38 CSA Photos
Shipping Insight 2010 business exposition
CARIBBEAN MARITIME I JANUARY APRIL 2010 1
EDITORIAL
CARIBBEAN
MARITIME
No. 9 I JANUARY APRIL 2010
The official journal of the Caribbean
Shipping Association
* caribbean shipping association
MISSION STATEMENT
"To promote and foster the
highest quality service to the
maritime industry through training
development; working with
all agencies, groups and other
associations for the benefit and
development of its members and
the peoples of the Caribbean
region."
GENERAL COUNCIL 2009-2010
President: Carlos Urriola-Tam
Vice President: Grantley Stephenson
Immediate Past President: Fernando Rivera
Group A Chairman: Michael Bernard
Group A Representative: Rhett Chee Ping
Group A Representative: Roger Hinds
Group A Representative: Glyne St. Hill
Group B Chairman: David Jean-Marie
Group B Representative: Linda Profijt-Del-Prado
Group C Chairman: Cyril Seyjagat
Group C Representative: David Ross
General Manager: Clive Forbes
Director Information and Public Relations:
Michael S.L. Jarrett
Caribbean Shipping Association
4 Fourth Avenue, Newport West,
PO Box 1050, Kingston C.S.0, Jamaica
Tel: +876 923-3491
Fax: +876 757-1592
Email: csa@cwjamaica.com
www.caribbeanshipping.org
EDITOR
Mike Jarrett
Email: csa-pr@mikejarrett.net
PUBLISHER:
MARINE
Land & Marine Publications Ltd
1 Kings Court, Newcomen Way,
Severalls Business Park, Colchester
Essex, C04 9RA, UK
Tel: +44 (0)1206 752902
Fax: +44 (0)1206 842958
Email: publishing@landmarine.com
www.landmarine.com
THE YEAR STARTS
WITH TALK OF
RECOVERY
Caribbean Maritime welcomes Carlos Urriola Tam, who was elected 15th
president of the Caribbean Shipping Association in October. After serv-
ing as vice-president for three years and many more as a member of the
Association's General Council, Mr Urriola brings solid CSA experience to
the chair. It is perhaps fortuitous that he is the first Panamanian president
in the 40-year history of the association, since Panama is at the moment
experiencing massive growth. Regardless, Mr Urriola brings youthful vigour
and proven abilities to the leadership of the CSA. However, his programmes
and initiatives may be affected in the short term by the sustained effects of
the global recession. Media talk of recovery has so far been only that. We
may garnish it with healthy portions of hope; perhaps a pinch of fear and
maybe a dash of desperation. But we are yet to taste it. The year ahead will
no doubt begin as 2009 ended, with talk of recovery. In the Caribbean and
Latin American region not much has changed since the bottom of the world
economy fell out in 2008. We are still in the middle of an economic recession
and we have the idle capacity and the numbers to show. Of course there are
areas of growth. Arguably the largest construction project on the planet,
the expansion of the Panama Canal, is taking place in the region (page 24).
But, otherwise, not much is happening that will result in the cargo volumes
of some five years ago. It is in this context that columnists Fritz Pinnock and
Ibrahim Ajagunna present a set of management ideas for dealing with the
economic downturn (page 40). And it is against this background that Frank
Wellnitz discusses the economies inherent in vertical and horizontal integra-
tion (page 36).
This issue of Caribbean Maritime peers into the year ahead in a bold attempt
to paint a picture of what the immediate future holds. In most Caribbean territories,
judging from the articles assembled for this issue, there is hope for growth in 2010.
Frank Wellnitz, in discussing Caribbean feeder services, described his expectations as
'cautious optimism'. Such growth, as is anticipated, may well be relative only to 2009
or even 2008, when business downturn had already set in. Any growth, however,
we will take. The theme for this issue of Caribbean Maritime is 'The Year Ahead'.
The opinions and reports published here collectively describe a sense of hope and
positive expectations and suggest tools for coping. More than this, they document
history: the thinking and aspirations of peoples, in this time, brought together in a
common cause for development under the banner of the CSA. Our wish is that your
own hopes and high expectations for the future are realized, or driven with new life,
in the year ahead.
AKhOcb
MIKE JARRETT, EDITOR
2 CARIBBEAN MARITIME JANUARY -APRIL 2010
PRESIDENT'S MESSAGE
Caribbean Maritime -
a historical document
It is with a sense of
history that I send my
first message to Carib-
bean Maritime, the official
organ of the Caribbean
Shipping Association. This
publication was started
about three years ago,
during the tenure of my
predecessor, Fernando
Rivera. I am therefore only
the second CSA Presi-
dent to have expressed
thoughts in this column.
Caribbean Maritime
was established to give the
CSA and regional shipping a
permanent record of history.
The printed word has been
shown capable of outlasting
all other media with respect
to the recording and retrieval
of history. No matter what
new technology mankind
develops for recording his-
tory, the written or printed
word will survive for centuries
to come. Look at the tech-
nologies of the recent past
-vinyl phonograph records,
magnetic tape, celluloid film,
floppy disks, compact disks
- all have become obsolete.
If our history was recorded
exclusively in any of these
formats, we would have a
problem. Clearly we would
have difficulties to access and
retrieve information. Phono-
graph turntables, cassette
decks, film projectors, floppy
disk drives, have all but
disappeared. Even CD players
- the technology of the 21st
century are fast disappear-
ing, giving way to memory
chips and other solid state
storage devices. The printed
word, whether it be the Dead
Sea Scrolls of centuries past,
or our fledgling magazine
Caribbean Maritime, pre-
serves our history in a format
that generations to come will
have no difficulty accessing,
since no special technology
is required to read except,
of course, perhaps reading
glasses (in my case, for sure).
History
History is not only, as some
would have us believe, old
stories of times long ago. Of
course, the stories of centu-
ries past are a part of our his-
tory. However, the history of
the 21st century; the history
of our time, is happening
right now, today, even as you
read these words. It is in this
context that we must view
this magazine.
For example, the history of
the Caribbean is largely about
the shipping industry: from
the period of European dis-
cover; through the periods of
wars and conquest; through
the period of slavery and
emancipation; and through-
out the process of colonisa-
tion. And the modern history
of the shipping industry is
closely associated with the
building and operations of
the Panama Canal. Today,
that same canal, which con-
nects the Old World with
the New, is being expanded.
And this publication, Carib-
bean Maritime of all the
newspapers and periodicals in
the world has been faithfully
documenting its progress. In
the near and distant future,
when engineers and scholars
seek to research the work
and progress of this major
construction event in Panama,
Caribbean Maritime will
be for them a significant and
reliable source of accurate
knowledge and information.
Caribbean Maritime,
delivered free of charge as a
service to the region and the
world, collects the thoughts,
ideas, aspirations and ini-
tiatives of our people in this
time, in this place. It is a CSA
initiative; our contribution to
regional development and
the recording of history.
I invite you to subscribe to
it (you can do this at www.
caribbeanshipping.org), read
it, enjoy it, and keep it. It is,
after all, a historical docu-
ment. In this regard, I am
honoured to present here my
first message as President of
the CSA.
Carlos Urriola
President, Caribbean
Shipping Association
CARIBBEAN MARITIME I JANUARY APRIL 2010 3
Caribbean Maritime was
established to give the CSA
and regional shipping a
permanent record of history
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.0s --mege s taig lc an corss Th aso ciaio will den sai tak Aold on 0 g owin *uins for
CAIBA *AITM I JAUR API 201 0011-. -- 0 0 ~ l o
Our Members-
Ship Handling Ship Agents:
AG MARINE TRANSPORT AGENCY SERVICES LTD.
BOOTH ITEAMIHIP CO, 11RIAOOS, LTD.
COMMERCIAL SERVICES LTD.
always needs DACOSTA MANNINGS INC.
ERIC HASSELL & SON LTD.
FAST TRANSIT SHIPPING LTD.
GDOOARDS SHIPPING & TOURS LTD.
sa f e MARINE TRADING LTD.
PLATINUM 11RT AGINOY INC.
ROBULK AGENCIES INC.
expe rie n ced SEA FREIGHT AGENCIES (B'OOS) LTD.
WINDWARD AGENCIES LTD.
Stevedoring Contractors.,
CARGO HANDLERS LTD.
4F ha n ds BOOTH STEAMSHIP CO. (BARBADOS) LTD.
ERIC HASSELL & SON LTD.
GDOOARDS SHIPPING & TOURS LTD.
MARINE TRADING LTD.
SEA FREIGHT AGENCIES (O'DOS) LM
Specalised On-Share Servioes.
BICG LTD. Warehcusing!Cald Storage
or THE SHIPPING ASSOCIATION OF BARBADOS
2nd. FIDOr. Tridenli House. Broad Streat. Bridgmiown, Barbados, West Indies.
Phone: (24161427-986R,141 Fax: (246)426-8392 E-mail, shasba@caribsurlcom
www.shippingbarbadas.com
Don't M*Iss the boat,11111111,111111110
The next issue of CARIBBEAN MARITIME in May 2010, will focus on
PORTS & TERMINALS. Articles will look at the wharf companies; terminals
and support services in Caribbean shipping as well as the work of the
Caribbean Shipping Association in assisting development.
Contact Ray Deekes at Land & Marine immediately, to book advertising or
to discuss your special needs.
the official journal of the
Caribbean Shipping Association. Telephone: +44 (0) 1206 752902 e Email: raydeekes@landmarine.com
THE YEAR AHEAD
ASSISTING MARITIME
DEVELOPMENT
IN GUADELOUPE
Port and Maritime Association of Guadeloupe (UMEP)
The year ahead will see
I the Port and Maritime
Association of Guadeloupe
(UMEP) continuing its role
of facilitating maritime
development and best
practices in the French
Caribbean territory.
For more than 20 years
UMEP has been the voice
of all stakeholders in the
Guadeloupe port community,
promoting and encouraging
national, regional and domes-
tic trade through the Port of
Guadeloupe. The association
monitors and disseminates
information about port and
ship activities to its members.
UMEP will continue to serve
as an advocate for business
interests in the maritime com-
munity through the publica-
tion of documents, press
releases and short films.
The activities and projects
of UMEP are founded on its
organisational philosophy
that the key to growth is to
foster partnerships among
the professions that make up
the maritime community of
the port.
COLLABORATION
With this in mind UMEP,
in collaboration with the
private company CEIBA Ltd,
launched a project in 1999 to
establish a cargo community
system for the port commu-
nity of Guadeloupe.
Members of the associa-
tion hold regular meetings
with the French Customs
department to discuss new
procedures and provide feed-
back on the electronic data
interchange (EDI) platform.
This will continue in the year
ahead. Previous efforts in this
regard were rewarded on
10 July 2006 when French
Customs placed the Port of
Jarry on the same level of
safety and traceability as the
ports of Le Havre, Marseilles,
Nantes St Nazaire and Rouen.
PAPERLESS SYSTEM
This platform is now operat-
ing paperless exchanges of
data and receives electronic
manifests from all ports of
importation. The platform
manages all imports and
exports of containerised and
conventional cargo. Through
this project Guadeloupe
has made significant strides
towards the development of
a paperless system. The main
objective is to boost the port's
productivity while providing
safety, security and traceability.
Building on this experience,
UMEP is participating in two
new projects in the year ahead:
* Project 'Observatoire du
Grand Cul de Sac Marin':
This project was designed to
monitor the environment of
the port site and to measure
the impact of its infrastruc-
ture development on the
environment. The objective
is to adopt environmentally
friendly practices and to
demonstrate a commitment
to environmental responsi-
bilities.
* BECCA electronic shortsea
shipping database. This is a
freight data system network,
adapted to shortsea ship-
ping to provide effective
management of demand and
supply of maritime transport
between the Caribbean
countries. UMEP members
are actively participating
in the steering committee
managed by CEIBA Ltd. The
BECCA project is co-financed
by the Regional Council of
Guadeloupe through the
European fund Interreg.
Through these projects UMEP
is demonstrating its commit-
ment to playing an important
role in the integration of
Guadeloupe in the Caribbean
environment.m
CARIBBEAN MARITIME I JANUARY APRIL 2010 13
TWO NEW PROJECTS IN
THE YEAR AHEAD
rTHE YEAR AHEAD
TOP PRIORITY FOR
HARBOUR DEEPENING
AT DEMERARA
Shipping Association of Guyana plays key role in national development
Demerara Harbour is
scheduled for upgrad-
ing and in the year ahead
the Shipping Association
of Guyana (SAG) will be
working with other stake-
holders to provide capital
resources for dredging
and other services.
The SAG has been relent-
less in its efforts to have the
draught situation in Dem-
erara harbour attended to
as a matter of urgency. That
situation reflects years of
inadequa teenance and
a lack of modern equipment
to assist in its upkeep.
The public-private sector
partnership will set up a fund
to enhance the conditions
within Demerara harbour.
The work will be done with
local expertise and managed
by a consortium including
the SAG and the Maritime
Administration Department.
EMPHASIS
The SAG says the year ahead
will see more emphasis on
related cargo clearance
procedures. A more strategic
approach is planned and the
Customs and Trade Admin-
istration will be central to
this initiative. There will be
a more structured approach
to issues related to Customs
procedures and documenta-
tion. The aim is to drastically
reduce new and emerging
problems that plague the
industry from time to time.
It is hoped that closer ties
could be established with the
Customs Brokers Association
with the aim of having more
effective dialogue with the
Customs department. This
initiative was started in the
various sectors of industry.
At year end a timetable was
being drawn up to include
regular forums with all sec-
tors: that is, all engaged
in international trade and
dependent on the shipping
sector. A proactive approach
has been adopted. This ini-
tiative is designed to ensure
that problems are identified
and dealt with immediately or
as soon as possible after they
tration Department and the
Caribbean Maritime Insti-
tute, with which a training
partnership has already been
established.
OPPORTUNITIES
Completion of the Guyana-
Brazil road has presented
new opportunities for trading
activities in Guyana and the
SAG intends to take advan-
tage of such opportunities.
COMPLETION OF THE GUYANA-BRAZIL ROAD HAS
PRESENTED NEW OPPORTUNITIES FOR TRADING
ACTIVITIES IN GUYANA AND THE SAG INTENDS TO
TAKE ADVANTAGE OF SUCH OPPORTUNITIES
latter half of 2009 with a
training seminar in Customs
broker management, run by
the Customs department,
which targeted Customs bro-
kers, Customs officers and
officers of the SAG.
STRATEGY
In its strategy for the year
ahead, the SAG has adopted
a new approach to deal with
sector-specific issues. The
aim is to consolidate and
harmonise relationships with
emerge or become evident.
Success will ensure that com-
plaints are kept to a minimum.
In the year ahead, the SAG
will continue efforts begun
three years ago to estab-
lish a demurrage company.
The association also plans
what it described as "fresh
engagements with our sister
organizations in Jamaica
and Trinidad and Tobago". It
plans to continue its training
programme in collaboration
with the Maritime Adminis-
Guyana is a main outlet to
the Atlantic Ocean for the
South American continent
and the completion of an
overland cargo route linking
Guyana with Brazil is, to say
the least, important.
SAG projects are in line
with the government's plans
for the development of the
local maritime sector. Indeed,
SAG and other stakehold-
ers have already taken the
initiative to improve the level
of services being offered
14 CARIBBEAN MARITIME JANUARY -APRIL 2010
THE YEAR AHEAD
within the shipping industry
and to open new avenues for
business. It is in this context,
says the SAG, that "we strive
for closer collaboration with
the Caribbean Shipping
Association in support of its
objectives and development
plans for national [shipping]
associations in the region".
The SAG ended last year
on hope, promise and a
positive attitude to national
development. Throughout
the year, the association
collaborated with other
stakeholders in the shipping
industry and pursued strate-
gies and programmes that
contributed to the aims of
Guyana's National Develop-
ment Strategy.
Guyana reported an
overall decline in shipping of
about 14 per cent in the first
six months of 2009. The SAG
says this should be compared
with the 16 per cent decline
in world shipping over the
same period, reported by
Presseurop in November 2009.
DIALOGUE
Large vessels are not sail-
ing half-empty to Guyana,
perhaps because large vessels
are not sailing to Guyana.
The country is therefore not
suffering fallout as a result
of lines rethinking routes
and schedules. Because of
draught restrictions in the
Port of Georgetown, very
large vessels do not use the
port where the bulk of the
country's international trade
transits.
In January 2009 a Public
Private Dialogue (PPD)
organisation was set up to
look at trade transactions
and procedures considered
to be time-consuming. The
aim was:
* To identify problems associ-
ated with such delays
* To investigate issues related
to import/export procedures
and concerns within the
industry
* To prepare recommenda-
tions for solutions.
The issue of the dredging
the Demerara channel received
urgent attention. The PPD still
hopes this project will receive
assistance from the Inter Amer-
ican Development Bank. m
PROVIDED BY
I, WMElIMM rMHouiMH MIDmuln ,
GNs MMMOUUMl EL meo gN
Ships' Agent. Customs Brokers
Insurance Services Terminal Operators
. Trailer Transportation Stevedores Contractor. Ship Owners & Operator
5 9 Lombard Street, Georgetown, Guyana, South America
E-mail: gnsc@guyana.net.gy Website: gnsc.com
MEm3M HS13 CI BrI- BI]HIBVI-- MIBLBIIELlHH
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the 00ASA an'h VO r
THE YEAR AHEAD
ROLLING OUT A
STRATEGIC PLAN
Shipping Association of Trinidad and Tobago
The year ahead will see the Ship-
ping Association of Trinidad and
Tobago unveil its strategic plan.
Commissioned in 2008 and com-
pleted in 2009, the plan will see the
SATT move away from its traditional
group structure to committees.
In this regard, the year 2010 promises
to be an exciting and challenging one
for the SATT.
Under the leadership of the associa-
tion's recently elected president, Rhett
Chee Ping, the association will roll out
the strategic plan, which fundamentally
reorganises how members relate. Three
major committees will hold portfolio
responsibility for:
Stakeholder Relations
Membership Management
Marketing and Public Relations.
STAKEHOLDER RELATIONS
Activities to be emphasised under
'stakeholder relations' are:
Strengthening the Association's
relationships with other local business
associations, regional shipping asso-
ciations and the Caribbean Shipping
Association
Collaboration on strategic areas
that affect or hinder the flow of trade
Engaging the relevant government
ministries and seeking a more rapid
response in identified strategic areas
Collaboration focused on building
capacity in the industry.
MEMBERSHIP MANAGEMENT
Membership management will empha-
sise the maximisation of satisfaction by
way of:
Training and development largely
through seminars and workshops and
general forums
Improving members' access to
industry data
Providing members with more
timely information on key developments
in the industry
General membership outreach.
MARKETING AND PUBUC RELATIONS
Marketing and Public Relations activities
will include public statements about the
Association's position on a range of issues
directly or indirectly related to the maritime
industry. The Association will play a more
central role in building general awareness
of how trade impacts on the everyday
lives of the general public. It will educate
the public on the role of each stake-
holder in the trade and shipping value
chain. Activities will also be developed to
illustrate how trading efficiency contributes
to real economic development.
With its new strategic plan in place,
the SATT plans to make 2010 historically
significant. m
CARIBBEAN MARITIME I JANUARY APRIL 2010 17
THE YEAR AHEAD
MIAMI TO BE FIRST
WITH 50 FT DEPTH
By Rick Eyerdam
V! J
HH^.. *
^Ht^^^h^
PORT OF MIAMI
In the year ahead, Miami will
move closer to becoming the first
container port in the south-east-
ern United States to offer a depth
alongside of 50 ft (15.24 metres).
Kevin T. Lynskey, recently appointed
assistant port director, said the final phase of
channel dredging was halfway through the
planning, engineering and design stage.
"The port will have a better under-
standing of what the final dredge cost
number will be and at that point we will
be looking to the Feds for the normal
share of that expense," said Mr Lynskey.
He estimated that the total cost of
channel dredging, from the head pin to
the end of the 6,000 ft of linear berth
space, would be no more than US$180
million. At that point, some time next
year, Miami will be the first East Coast
port to be dredged to the new industry
standard of 50 ft at normal tide.
DELIVERY
Two more super post panamax cranes
have been ordered for delivery in 2010,
bringing the total to six. In order to
handle the potential daily volume gener-
with Florida East Coast Railway (FEC)
and the Flagler development company
Coral Gables to identify shippers and
carriers essential to support a planned
intermodal rail yard and inland port on
the western edge of Miami International
Airport.
EXPANSION PLANS
According to literature provided by
Flagler and the FEC, the Flagler Logistics
Hub at the existing FEC rail yard will sup-
port the Port of Miami and Miami Inter-
national Airport expansion plans "by
serving as an off-port container yard, an
off-airport and possibly on-airport cargo
facility as well as an enhanced and non-
exclusive intermodal rail facility."
To become more efficient, the port
requires shorter dwell times and longer hours
- and that requires warehouses and bonded
yards willing and able to accept cargo after
sunset and before dawn. Those are the
clients the developers will be seeking.
Mr Lynskey said: "We have a pretty
solid estimate that we can handle all our
anticipated growth through 2035 [the
theoretical end date of the master plan]
I
'I
To that end, long-promised improve-
ments at the Seaboard terminal have
advanced with such alacrity that the port
was able to collect a $1 million bonus for
beating its construction timetable.
Negotiations are so near completion
that the new long-term lease agreement
with the Port of Miami Terminal Operat-
ing Company (Pomtoc) will be signed in
2010. With a long-term lease in hand,
Ports America, one of the partners in
Pomtoc, has said it is willing to fund
substantial modernisation and automa-
tion of container handling equipment.
In the year ahead, Miami will move closer to
becoming the first container port in the south-eastern
United States to offer a depth alongside of 50 ft
ated by 10,000 teu class containerships,
plans are being drafted to formally
establish the footprint for on-port rail
system in conjunction with the design
and location of the future Port of Miami
tunnel entrance. The on-port rail foot-
print, to be integrated into the master
plan next year, calls for parallel 2,500
ft lengths of track connecting with the
existing bascule bridge that links the
port to the mainland rail system. Plans
also include repairs to the bridge.
With the availability of on-port rail
and an eventual improvement in traffic
flow to and from the facility via the two
adjacent Port of Miami tunnels, the
port administration has entered talks
through known technologies within our
existing port footprint."
The "known technologies" include
improved gantry cranes, redesigned port
access for trains and trucks, modernised
terminals capable of automated container
movements and longer hours extended as
throughput demands. There is no sense
buying cranes and digging a channel deep
enough for a 10,000 teu containership
unless it can discharge at least 10 per cent
of its cargo at one terminal. That would
require the Port of Miami to clear at least
1,000 containers from the port on any given
day. Double stacked, that would require four
trains, 100 cars long, and 200 truck jour-
neys, if the port had no other calls that day.
"We anticipate that within four
months we will have all three container
terminals under long-term contract,"
said Mr Lynskey.
NEW AGREEMENTS
The long-term contracts also place the
Port of Miami in a favourable credit
situation. Mr Lynskey explained that,
whereas at one time the port survived
on a total annual revenue guarantee
from cargo and cruise business of about
$38 million, the new agreements guar-
anteed the port about $60 million.
"That is pretty incredible, because
the operating budget of the port is only
about $70 million," said Mr Lynskey. m
CARIBBEAN MARITIME I JANUARY APRIL 2010 19
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PORT OF JACKSONVILLE
tracks, so the engineering
design will be different.
"The rail-mounted gan-
tries require a different type
of science," said Mr Schleicher.
The site of the proposed
Hanjin terminal is the current
location of the Port's tempo-
rary cruise terminal. With an
extensive parking lot, this site
is far closer to being develop-
ment-ready than the TraPac
site was when engineering
began. Nevertheless, says Mr
Schleicher, no-one expects
any shovels to be turned on
the Hanjin project in 2010.
FINANCING
He said the engineering
would be funded "through
regular sources" without any
need for bonding or other
complex financing and with-
out 'stimulus funds'.
Meanwhile, the Port will
continue to chase approvals
for the planned dredging of
the ship channel from Mile
Point 14 past the Talleyrand
Terminal, a real benefit
for users of the Talleyrand
Terminal including Mediterra-
nean Shipping Company and
Hamburg Sud.
Mr Schleicher said the Port
was in the middle of a general
re-evaluation report by the
US Corps of Engineers that
should be concluded in 2010.
This would help move along
the approvals and funding.
IMPROVED RAIL
The workhorse Blount Island
Marine Terminal at 754
acres, the largest in Jaxport is
home to SSA Marine Termi-
nal, Crowley and a major US
Marine Corps staging terminal
for Iraq and Afghanistan.
CRANES
Blount Island has one 100-
ton Whirley crane and six
container cranes (three of
50 tons capacity, one of 45
tons and two of 40 tons)
with two additional cranes to
be purchased this year. The
efficient movement of cargo
is facilitated by the terminal's
on-dock rail, served directly by
CSX Corporation and served
by rail-mounted gantries.
Those rail operations will
be improved dramatically from
the proceeds of an Economic
Development Administration
grant of US$6 million from
the Department of Com-
merce. The grant will be used
to rebuild existing track and
rail ties, allowing Jaxport to
enhance its global competi-
tiveness and continue to create
and retain private-sector jobs,
according to Mr Schleicher.
The 14-mile, single-track
rail system of Blount Island
moves more than 30 per cent
of all Blount Island cargo.
However, the Blount Island
rail system is over 40 years
old and the grant project
calls for portions of the
existing track to be replaced.
More than 19,000 linear
feet (3.6 miles or 5.9 km)
of new track will be laid.
Over 12,000 timber ties
(sleepers) will be replaced
and 15 new turnouts (sets of
points) will be constructed.
The Port will contribute
$1.7 million to the project. n
W.. fihA
Fast, Dependable Transit Accurate Documentation
Dry and Refrigerated Containers Machinery & Rolling Stock
-WYL&
/ e3#waEain
MIAMI (305) 592-6060
US General Agents: Seatreight Agencies USA. Inc.
Web site: seafreighlagencies.com
JACKSONVILLE PORT EVERGLADES ARUBA BARBADOS BONAIRE CURACAO GRAND CAYMAN GRENADA
GUYANA HAITI JAMAICA MARGARITA PANAMA ST. LUCIA ST. VINCENT SURINAME TRINIDAD VENEZUELA
CARIBBEAN MARITIME I JANUARY APRIL 2010 21
CARIBBEAN FEEDER SERVICES
A positive outlook
for the year ahead
Caribbean Feeder
Services holds a posi-
tive outlook on the year
ahead. Indeed, CFS head
Frank Wellnitz believes
the fall in volume of con-
tainers imported to and
exported from the Region
has reached bottom. He is
looking forward to 2010
with 'cautious optimism'.
According to Mr Wellnitz,
the CFS forecast is based
on identical volume carried
during 2009.
"The service network and
planning, which is presently
being budgeted and fine-
tuned, will reflect this," he
said. "This means CFS will con-
tinue to employ nine vessels."
Discussing the CFS serv-
ices, he listed the following:
* Merengue Service linking
Kingston with Caucedo and
San Juan
* Island Service linking
Kingston and Caucedo with
Trinidad and Barbados
* Two slings of a Venezuela
service ex-Kingston and Caucedo
* Copaco service linking King-
ston with Colombia, Costa
Rica, Panama and Puerto Rico
* Haiti service from Kingston
* Mexico service from King-
ston to Tampico and Veracruz.
Mr Wellnitz said the compa-
ny's priorities for the coming
year were:
* To go on providing reliable
services and port connections
to its customers
* To continue to employ the
nine vessels of the group
* To cover any additional
requirements by short-term
charter of vessels available in
the market
* To prepare for better years.
"And finally," added Mr Well-
nitz, "to use the somewhat
unpredictable future and
market trend in container
volume and vessel daily rates
to the advantage of CFS."
In planning for the year
ahead, CFS will lean heavily
on its 10 successful years of
business and on the 35 years
of Caribbean experience and
know-how that Mr Wellnitz
brings to the table.
Volumes
Last year CFS saw 20 per cent
less overall volume compared
with 2008. The first quarter
saw volume carried over from
2008 but the second-quarter
graph showed a deep valley.
This trend continued into the
third quarter.
"It was only starting in
November that we saw some
improvements," said Mr
Wellnitz.
As a feeder operator, CFS
links 25 ports in the region
on a regular basis. Final des-
tinations are ports in Mexico,
Central America, Colombia,
Venezuela and Caribbean
ports including Port-au-
Prince, Caucedo, San Juan,
Port of Spain, Barbados,
Aruba and Curacao.
Despite the drastic reduc-
tion in volume, CFS was
able to go on employing its
nine containerships from the
Harren & Partner group of
companies in Bremen, Ger-
many, a partner in CFS.
"The major tool to bring slot
capacity in line with reduced
requirements was to reduce
vessel speed and improve port
call combinations, economising
mostly on bunker consump-
tion," said Mr Wellnitz. "This
compares favourably with
other German KG companies
which show up to 50 per cent
of idle and unemployed vessels
of their fleet. Looking at the
statistics of the Journal of Com-
merce listing those idle vessels,
the name Harren & Partner is
noticeably missing. CFS feels
very good about this." m
22 CARIBBEAN MARITIME JANUARY -APRIL 2010
In planning for the year ahead,
CFS will lean heavily on its 10
successful years of business
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PANAMA CANAL EXPANSION PROGRAMME
PROJECT MOVES TOWARDS
LOCK CONSTRUCTION
Tw o years have passed since the
Memorable groundbreaking blast
at Paraiso Hill on September 3 2007
that marked the beginning of work
on the Panama Canal expansion.
Since then, a lot of dirt has been
removed. Three of the four dry excava-
tion projects are under way. The first
two are nearing completion. The second
project is facing slight delays, how-
ever, with its contractor working round
the clock to make up time. The third
contract is progressing on schedule. The
fourth and most extensive was sched-
uled for award before the end of 2009.
ON SCHEDULE
Contracted dredging operations to
widen and deepen the Pacific entrance
to the Canal continue at full pace. The
contract to widen the Atlantic entrance
was recently awarded, while in-house
efforts to complete the dredging within
canal waters are on schedule.
The Panama Canal Expansion Pro-
gramme was divided into various compo-
nents including the construction of two
sets of locks: one set on the Caribbean
and the other on the Pacific. Each set of
locks has three levels. There are three
water-saving basins on each level.
The excavation of new access chan-
nels for the new locks on both sides
of the isthmus is divided into phases
known as Pacific Access Channel 1-4
(PAC); widening and deepening of the
existing channels; and elevation of the
maximum operating level of Gatun Lake.
By 31 October last year 98 per cent
of the works had been completed under
PAC-1 awarded to Constructora Urbana
SA (CUSA). Works under this contract
included the levelling of Cerro Paraiso
from 136 to 46 metres; excavation of 7.3
million cubic metres of material; clearing
of 146 hectares of land contaminated
with unexploded ammunition (UXO);
and the relocation of 3.4 km of the
Borinquen Road.
PAC-2, carried out under contract
by the Mexican-based company Cilsa
Panama Minera Maria, reported 91 per
cent completion as of October 31. This
work included excavation of 7.5 million
cubic metres of material; construction
of a 3.5 km diversion channel for Cocoli
River; and relocation of 1.3 km of the
Borinquen Road.
PAC-3, awarded to MECO, SA,
includes the excavation of 8 million
cubic metres of material; levelling of
Paraiso Hill from 46 to 27.5 metres; and
clearing of 190 hectares of UXO. It was
reported to be 39 per cent complete as
of October 31.
The contract for PAC-4 was published
on July 30 2009 and was scheduled
for award on December 3 2009. This
is the most extensive of the excavation
projects. It involves the excavation of
some 27 million cubic metres of unclas-
DREDGING OPERATIONS TO WIDEN
AND DEEPEN THE PACIFIC ENTRANCE
CONTINUE AT FULL PACE
all Let
PANAMA CANAL EXANSO *PROGRAMM
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JOHN FERNANDES LTD
JOHN FERNANDES LTD
CELEBRATES 50TH ANNIVERSARY
One of the premier
shipping companies of
Guyana, John Femandes Ltd,
celebrated its 50th anni-
versary in October with
an event worthy of the
milestone.
Chairman and CEO Chris
Fernandes, a former member
of the CSA's General Council,
played chief host at the main
event. Among those present
were President Bharrat
Jagdeo; the head of Sea-
Freight, Roland Malins-Smith;
Seaboard Marine's regional
vice-president, Stephen Bell;
and the CSA's Group A chair-
man, Michael Bernard.
Mr Fernandes told the
story of the company's rich
history. Most of his speech is
given below.
HISTORY
John Alvaro Fernandes, born
in 1901, was the eldest of 11
children. His parents, John
Fernandes and Deolinda
Mario Franco, were second-
generation Portuguese immi-
Chris Fernandes (centre) makes a
presentation to Roland Malins-Smith.
A right is Philip Fernandes, Director
and Secretary of John Fernandes Ltd
grants from Madeira.
In 1924 John married
Alda Jardim. This coincided
with the death of his father
and also the collapse of the
world sugar market after the
First World War. His father,
a businessman, was almost
bankrupt when he died and
the family had to dispose of
most of their assets to pay
his debts. They were able to
salvage only the cycle store
known as DM Fernandes Ltd.
DM Fernandes Ltd could
not sustain the entire family,
forcing John to branch out
on his own. Securing a
timber concession at Wara-
tilla in the Kamuni Creek,
on the Demerara River, he
worked long hours produc-
ing firewood and charcoal for
local consumption.
During the Second World
War, his market for the wood
products developed both
locally and in the English-
speaking Caribbean as a
result of the fuel shortage.
He rented a small area of
property from W.M. Fogarty
Ltd which he later bought.
This was the birth of John
Fernandes Shipping as he
was now able to load and
discharge inter-island sail-
ing vessels. He would later
export large volumes of char-
coal to Liverpool, England,
using the international ship-
ping lines calling at Bookers
Shipping Wharves.
John Fernandes Ltd (JFL)
was officially registered in
October 1959. During politi-
cal riots in Georgetown in
February 1962 the offices,
wharf and warehouse of JFL
were destroyed by fire. While
others waited for the political
unrest to settle, John Fern-
andes built a small wharf,
office and warehouse and
was back in business within
three months. Later, these
facilities were expanded.
John Fernandes closed his
wood products division in
1967 and, with the nation-
alisation of the shipping
companies Bookers, Sanbach
Parker and Sprostons in 1976,
JFL found itself in the unique
position of being the only pri-
vately owned commercial pier
and warehouse operation in
Guyana. The company offered
an efficient personalised
service and in time was able
to capture over 50 per cent of
the containerised trade it has
maintained up to today.
On his retirement in 1970,
John was succeeded by three
of his sons. His eldest, John
Junior, managed the com-
pany until he migrated to the
USA in 1978. He was suc-
ceeded by Bernard (Bunny),
who retired in February 1992.
I succeeded Bunny as
chairman and CEO on 1
March 1992 bringing to the
company a new style of lead-
ership. In 1993 we purchased
the entire shareholding in
De Freitas Investments Ltd
for G$200M with funding
from NBIC. This allowed us
to commence our expansion
programme. We purchased
additional waterfront prop-
erty from Gandhi Invest-
ments, which allowed us to
further extend our wharf.
MARKET
Having reached the market
to the south, we turned our
attention north to J.P. Santos
and Co Ltd, with whom we
established a lease agree-
ment in 1997 for the use of
their warehouse and wharf.
This significantly increased
our capacity to handle export
rice. In addition, we entered
into a lease agreement with
GNSC for the use of their No
1 wharf. We have subse-
quently leased from them a
mudflat. We reclaimed the
area, compacted, land-filled
and surfaced it with concrete
bricks to further increase our
container storage for import
cargo and to free up space to
facilitate the export trade.
We needed to find a way
to purchase the JPS property,
which we considered vital to
our future development, but
the valuation of the real estate
made it beyond our reach.
In 1999 we made the major
shareholders an offer per share
and in less than three months
we had acquired more than 50
per cent of the company. We
now have over 90 per cent of
the shares.
In 2005 J. P. Santos pur-
chased the Guyana Stores
Agencies building. This has been
refurbished and is leased by
John Fernandes Ltd as our LCL
warehouse and sales office.
30 CARIBBEAN MARITIME JANUARY -APRIL 2010
JOHN FERNANDES LTD
In 1994, as breakbulk cargo
gave way to containerisation,
the need for increased storage
became evident. The only solu-
tion was the establishment of
an off-port terminal on six acres
of land on Mandela Avenue,
Riumveldt, later purchased
from Central Garage Ltd.
EXPANSION
In 1999 a further six acres
were leased from Sanata Tex-
tile Ltd and finally purchased
from NICIL in February 2008.
We have been continu-
ously developing our terminal
and have recently purchased
additional land from Houston
Estate for possible future
expansion to the south.
John Fernandes Senior
also established Bounty Farm
Ltd (Bounty) in 1976. The
company is a fully integrated
poultry farm on the East
Bank of the Demerara River
at Soesdyke / Timehri. Dad's
first love was agriculture.
In 1965 his son William
(Billy) was given the task of
managing the farm. Poultry
was soon introduced, with
peak production being 4,200
chickens per week. However,
in 1982 Guyana was expe-
riencing foreign currency
difficulties and the importa-
tion of hatching eggs was
put on a quota system where
only established hatcheries
were allotted eggs. Being
forced to seek other sources
of revenue, Bounty converted
its chicken pens to pig pens.
The first manager, Billy Fern-
andes, migrated to Canada
in 1987 and Patrick de Groot,
the current managing direc-
tor, was appointed.
In 1990 foreign currency
availability improved and
once again Bounty was able
to recommence its poultry
development. The company
is accepted as the leader in
the poultry Industry, produc-
ing an average of 80,000
chickens per week.
In 1985 John Fernandes
Ltd and Bounty Farm Ltd
together formed Fairfield
Investments Ltd and pur-
chased a 600-acre rice estate
and a rice mill at Fairfield,
East Coast Demerara. They
were able to utilise the by-
products of bran and broken
rice from the rice milling in
the poultry feed production
of Bounty. The company
is now a 50 per cent joint
venture partner with the
Seaboard Corporation of
America in Fairfield Rice
Inc, which produces rice for
export, the majority of which
is being shipped to Jamaica.
EXEMPLARY RECORD
While we are not big enough
to be the leader in the indus-
try, we pride ourselves on the
exemplary payment record
we have maintained with the
farmers who supply paddy to
our mill.
In 2000 the decision was
made to have J.P. Santos &
Co Ltd invest in the purchase
of a 51 per cent sharehold-
ing in the newly established
firm of Bryden & Fernandes
Inc (B&F).The remaining 49
per cent being held by A.S.
Bryden & Sons Barbados and
Trinidad. B&F, which is in
the distribution trade, rents
offices and warehouse space
from JP Santos & Co Ltd and
has been a success.
The John Fernandes Ltd
Group of Companies cur-
rently employs about 1,000
people and considers their
welfare to be our priority.
We have already indi-
cated to the president our
willingness to work with the
government to improve the
efficiency of Port George-
town and to assist in the
development of the deepwa-
ter harbour. This would be
Chris Fernandes (right) holds the
attention of Guyana's President,
His Excellency Bharrat Jagdeo (2nd
right); Dr. Peter De Groot (2nd left), a
Director and the CEO of JFL's rice entity,
Fairfield Rice, which produces white
rice for the Jamaican market. JFL's joint
venture partner in that Company is the
Seaboard Corporation, represented
in the photograph by its Regional Vice
President, Mr. Stephen Bell
necessary in the long term
to cater for possible cargo
movement to and from Brazil
and the further development
of our export trade.
Bounty Farm has
responded to the call made
by the president to diversify
into non-traditional areas
of agriculture. Currently an
80,000 sq ft model crop
farm is being established at
our Timehri location.
We are optimistic about
Guyana's future, if we can
find a way to put aside our
politics and all put our minds
and shoulders to the wheel
we can achieve anything.m
John Fernandes Ltd.
.: ..-- . .. .
.^ .. ., -
y -ars
24 Water Street. Georgetown, Guyana
Tek 227-3344.227- 3350,227-3363.226-8843.225 294. 226-1506
Fax: S92-226-1881.592-2 273360 Email. ale@ji -fd comn
hI -
.X"
The
Cargo Handling ..
EXPERTS ,. .
NEWSBRIEFS
1N EWSBRIEFS
,EALL[IRE [OF THEl
IEST BE:IL It:I I]i~~
TI he All ure1 of,, th[e] Seas the'
209. Th Aillur of the' Seas
is theP secondina seiesI'LP of th-e]
to the owners, Roy&' al Caib-ii
v1 ,ess[els of"L a totallylw type.
Thei fuuistLic des' lign~ andII
cruise industry.Under tl he G
Sea iwi~ll beiih'liveedtomthe
of 2010.The AF'I Illur ofhel
Seas11' isl atin of theI Oais'Tf
maeial chngs.il TheI projet'
Alueoihet Seas'will be
M 84 ft, eam 2i1 6.5 I ftl'! aG r nd
S n- shipping Lne a new 5n iln y with *ervinde
SCante, 'hpaina ra Mexc, n enBty il, h SArg vine
Cl:o Haiti. was launr hed lale last year in South
Florida Fo:rrer direr:lor of the P:,rl :f Miarl. Chu:k
Ta:wsle. is the new i .::mrrpany a.n Pfresdent glnrl
olunc:hed li new ::nltainfer Dervi:e ,:n OR:I:tlcber 23
laIsi with a new a 131 leu ,.:,ntainer *.hip nr v San,.
MANNA The e.-rvi:e djeFparts Miari every lv:
weeks io Cap Haitien and GC:nalves THowsley said
Soart will be filling a niche by pulhina direct: servir:es
l:, sronaller p or s II plans t: add oa btarge early in
2010 I,: tranrspcOrt .::lods frcni iis r::,tmainer vessel ,:,
even smaller piris in Haitli Plans also a:oll for build-
ing r:ll-ron r,:ll-o:tff barges it serve Puer I c ':r : Tur ks
andj Coa:os Islands anrd the surlhern Bohoanas
Towsley 61 led Ihe Porl I o Miami f:r eight years
He resianed in 2006 I: pursue rmaniiimre .onsuIlin
Brunr:, E Rar,:s is Snil s CECO
PARTNERSHIP
FORMED [
TO lO EXPANDls~"'j i'
,K-ll ING1 STO N ils". Is
DRY DO CK117l iil [ 'lll
J ,amaica Fruit a dSi ppih ng Lim,-.111
lite andLII MaitiI ..me landTrans1porI
ServicesII have[ partnere I to1111 ,expandIL
the Kl111ingsto Dry Dockinfl1 Harbour1
V~tiew, tAndrewll,''T11I with theuseof
f loaing11 IdryT dock system TheJamai
,,-ssels orfup t15 tons. However
w11 ~iith l the I use ofth loating ry oc
system large oceagoin ve1ssels'
canIo be' accomodaed. xecu
tiv chirm nlo, Ja aia Fruit1an1
saidthe devlopet", wll ad Td '1 toL the][
NEWSBRIEFS
DIRECTORS0RETIR
T h 00 r~a PotAthrt'sdrc
0 rs Rihr Lopez-Ra irez an
Agsi Dia wer slae o eie
SHIPPING ASSOCIATION
OF JAMAICA RETURNS
EXECUTIVE EN BLOC
T h Shipping Aswiici n l n i r,-urnd tif. I-.jd,-r..hip e-n hi : i 11 i. nriinual
enr-erol rnmeeti,-- g n DeLeniber -1 Pres.ident Rg,- er Hinds. will Iherel-ire lead the .. I
for a se:crrd term in ,,ffice The SAJ presidjern resioled the A'i l..:, nri :r:.rminitrr-ierin
It work wilh .Iakehl'lder': in the industry in the developrnern arid expranriirn of pirt
o'peralhlicrn'. He Si, that t-he .:lean-up of King's~.'r, n-iri pc.'r ar a. P'r rl B .,sanarite.
wai al.: hi- h n1- his:, drninisr itr nli o agerid The 'A:.1 Marnagirn C,'niniiee for
2010 inrl.jdes Kin- Clrke (Vice-Presidenl). Michael Bernard. (imn edible Pit Presi-
derill Harry Moragh, Granlley 3e phern nr, currentlyy CSA Vice Pres-ident). Charles
JhIl-in isl,. J..Seiph LW.-e. Co rah-Ann R :berli'.In Sylvei' ter. Derri-e Lyn Foll. Evroy Jcohn-
s.r, and Trev,",r Riley (General Man jger of the 3A.1)
nos Pgrea :Pio 2, T4.,
.08 / 2-09, Av. Salom, 3
Cumbflto Sur, Puerto Cabello 2050,
GCorn~,i,,Veazuamelo. P.O. Box 154.
S; E-maoil: maileglobalpandi.com / P6gina Web: www.globolpandi.com
U lit-
The year ahead promises growth
for Martinique. For the Cham-
ber of Commerce and Industry of
Martinique, the main event is the
opening in February of an interna-
tional inter-islands ferry terminal
for passengers at Pier West.
T hi,- :li i ciI ', r ri'I i i' l : ir r* i il
.i .- liT ,- I t h- .,: I T ,f F. rT .1,T FI iTri :T
T: In 1: i- I .,. niq,:ii u .Ttid l.,
1, 1,: L 1' ,u -,. 1,- i I :,d ,._- i-r I l_ :. : T I 1i, I
.i- l .-Irr i, T ir in th t i .-_r ,' r ri L. t'._.- iri
TiI,_- --:..:r l i, "' t Th i .. .i ri ijrii ,
i AtTri ii F' iTi.,ri; .:I ,T E riNA- tr, ri i T- i,-I 1
irn Ti l l, .:, i,.'.r r_ ._ I ., I, ,: l ,:: -n ujlT u r -
FEATURES OF TERMINAL
* *,:, trIri --1 I,.,t',. ,':.t ' I :,..i9I ,n i r ,r .-
., iTh 1 :p .: t .:,t T1. i, i' p l I .'I ._ : ,.
r ,.. ,.- l i, :'[ -i -i ,lT h Ti'i l l_ i i :i l i l :.i .
i l, -I,, : .: IN i I :irII TI,;l ,-T I I
THE MARTINIQUE TERMINAL IS BEING FUNDED AS PART
OF THE EUROPEAN UNION'S 'COMMUNITY INITIATIVE
PROGRAMME'. THE AIM IS TO PROMOTE TOURISM AND
ECONOMIC DEVELOPMENT IN THE GREATER CARIBBEAN
1 i 1 i i''1 l.1 tJ I i-, l.1i r' in T['1h e- I 1 -:' I j I ll I' .1
I T I i r I I T i, I h i I II I' ,
S ng-t l, the t -it I i
II h lII I nI I II I r Ii l l JI I I
ntiiri l I i 1 IF I It It T i,- F I i l '. in I I ,i I r'i I
S ,-1111 i Ii TT'- I i T I I rid rll i I l
34 : RIBBE N N I RITIME i r i- .- I IL -I
* [I- -- ir'iin Ih r- tr i. ir iir T1it iri
I*l t t u T Tn l I r-u 1 .l IF
* .- i 'n .' iTi ':r ii' i ir i I il. ill t r tI -'
l ~jl~i[i t ll i I:Ji~ lI~I] Ii~~i~lll i~jlll~ I il'li~l:._
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* ,.r I[,ij t r I, h l h -T -.:h I ,I-TI f r I t ':,i
r T- T rT.: i , ti r- ',r i :T i. r)n .:.Ii
i [.n t I n Tr r, t ri. I T 'i iri..i
p, r t,':i i nii -I. ,-
WHAT IS INTERREG?
I rIT. t II -q: ,.i ; -; T r h 1-i dli;li T.: I, t.. r.-i
Ti .i l nr'i ri,,. iii .. :) - ,i .- i .iTI: ,Ii t:,- T. - Il
Tr I r i i -I -i, .i i I- ': -.i ,l T h: I-
:j i .rl I Ii n Iu t I: r i I I r -T
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r p I : It r l oI n n
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I j I ri T t i t r I r n t I I ,I ,:[
lP-.hJi l ''-ll, -l',_t,.,,':,-.,i, I i-'t ijr-i. lT E, Cr-'i.I
f t'tII, -:I d t, r l- i nt r,
it i' I'n l t r -II,, ti r n iI r i t ..r '
I:,: : t 1r t 1 _-i r ri il ,., ,1 t ,h ,:t
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t 'i' t n ll l t 'II i l,
HIT I I I I I lI L I .rIj r
1r -.)i .':. i l :..:. j l I ..:.-t I n m J F. .- I I
I I 1 Iri .]i .l II .11I I F I I h ._II l I i I.-B6lI
By Ric 00r th por to sta com eti th. 001 agnd is im rvn 00e ar0etn otifr
tive i0 0ts intenatona role the efficiency .00 the Napo- 00tion at this point-andthe
Sg are wit of 00plin frze 0 olty 00o Av0 u Cotane Temi rue mus be developed,"
an am S b.itiou '.010The ar senge' .B. 0 b0' nl0' .iBs
^^^^^ S*AnnH -~ ^T S *IM -. .0 .00 0 '0BKS- 0. '0 lP '0.ii00BMB.0BKMM0 .00
^55 b- -. 00 i n m e p n fr 'piBd bu shi p B a s to
growt-h 55. up to 2 0 t-. th 0.0'acl .B0.000i w ruled'out'by brni ng the tota lt lso Tigrrn te
Port of NewS Orleans, like 00.tation ad by c e of 0e p d is an e't to te N
moesdt0 pc n21 dr0 it frze carg to a000 wh .r cosruton in Korea shul Bel Ralod aln th
forits expansion plans. that 0-. accommodate c b0 0elivered n e r a C c H
.0 .0.-- 0*0 .0 0.*0. 0 .*00**00. 0^w ^^r ^ ^ '~ wiS*s .0m ^ ~''
"Icrmeta is0 th buz druh vesel detie fo acorin to Mr B r .0 0.t si lsO eri
spk0 ma fo the pot "We in0 th eatr Euopa trds Oren hiprMrB
are working to0 incremen- The0oii alroain as R tit ed in revenueand a said:0"Tis is0anoher ayt
tally inres c i t r r w O s C d lymarkett hepor
exi...............te ls in these envisionedanewquayside "a0 f perenag points" He* said the portremained
troubled |." f w e t pr0 c strong intheimportofcoffee
...... .. . . . . . . . . .. ........
0.~...... ...... 0 0 0
.0 ..... ..........
-0-.tw exception acom odt Ne Orleans
.0ol S*tor000 atGovernor
Nihls a0 sm l bu 66vocal 0 0
.0e handlin g faiiis in the negburod They*
0 0 a.o *7
0am ge 0.0 in Hurcn arue tha th building
Katrna w ichhad ithtoodH55
o integrate is to com-
plete, sometimes imper-
fect things, by addition of
parts and combine into a
whole. No doubt the word
'integrity' is derived from
that meaning.
Integration, once com-
pleted, must have 'integrity'.
Here is a simple real-life exam-
ple in the maritime industry of
what can be integrated:
Positioning of container at
warehouse;loading at ware-
house; trucking to rail station;
rail transport to load port;
storage at port; loading of
vessel; transport to discharge
port; discharging at port;
transport to warehouse, etc.
Such integration would be
covered under intermodalism,
a one-stop service offered
by many regional and global
carriers. I would call this
vertical integration.
Another good example of
integration is a combination
of vessels into a co-ordinated
service, covered under a vessel
sharing agreement. I would
call this horizontal integration.
With all the experiences
of regional and global carri-
ers active in the Caribbean
region, supported by the
forceful voice of the Carib-
bean Shipping Association
(CSA), how come we have
achieved so little by way of
integration? With this kind
of experience, could we not
have identified other poten-
tial areas for integration?
Circumstances
and needs
There is no shortage of
circumstances and needs. In
fact, the list of circumstances
and needs that could be
facilitated or improved with
integration is long.
Are the maritime commu-
nity and our respective gov-
ernments not able to identify
and bring importance to
activities and situations which
could be integrated for the
benefit of our region? Allow
me to look back.
In 1991 at a CSA sympo-
sium on the future of Carib-
bean Maritime Transporta-
tion a paper was presented
for distribution to Caribbean
governments. It included a
composite list of views and
ideas presented by leaders
of the shipping industry in
the public and private sectors
across the Caribbean: from
government representatives,
including Caricom, and a
government-owned shipping
line to private interests rep-
resenting a wide spectrum,
from regional shipping lines
and global carriers to private
wharves and port facilities.
As the rapporteur of that
symposium in Martinique, it
was my task to identify the
main issues raised by the pre-
senters; to weigh the impor-
tance of recurring topics; and
to draw up conclusions to
make the paper into an instru-
ment of information for our
industry and, perhaps more
important, our governments.
The published report of that
event is as important today
as it was back in 1991. You
will find it still as informative
and factual as it was more
than 18 years ago. Allow me
to quote some issues recorded
in that report as examples:
Recurring themes
Maritime transport
needs regional structure,
guidelines and laws
Government is expected
to and must set the frame-
work and provide the neces-
sary regional legislation.
Conclusions
Improve and place more
emphasis on port infrastruc-
CARIBBEAN MARITIME JANUARY APRIL 2010
. ... .
4.oi t .
W~*4F I 1 _
ture and port facilities
Harmonise merchant
shipping legislation and
develop maritime admin-
istration and systems on a
regional basis
Develop a regional co-
ordinated system of mari-
time pollution control in the
region.
At that symposium and
in the resulting document,
the word 'integration' was
not used once. At that time
it was not a phrase in vogue.
But is this not what we were
talking about and trying to
achieve?
The discussions and con-
clusions clearly pointed to the
need for:
Integration of pollution
control in the Caribbean and
the region
Integration of port
infrastructures of the ports in
the region
Integration of presently
fragmented, and at times con-
flicting, regional legislation.
Virtually nothing
done
Eighteen years later we must
admit that we have done
virtually nothing which could
qualify as a move towards
'integration'. The private sector
has done its own thing and
has muddled along. Each of
us has become single-minded,
looking after our own inter-
ests. And the governments
have not only allowed us to do
that, but have turned a blind
eye when the private sector or
the CSA made presentations
such as the 1991 document.
Boldly speaking, we have
become indifferent. It is time
to wake up. Let us not just
use 'integration' as a new
buzzword. Let us do some-
thing about it now. It is late,
but not too late.
Let us recognize that there
is no other body like the CSA,
which has a mandate to make
integration its responsibility,
to address these issues and
to be the focal point in its
successful implementation.
Today, the voice of the CSA is
stronger than it was back in
1991. The governments of the
region will listen.
We need to identify what
is important to integrate on a
regional level.
'ish list'
Here is a 'wish list' for
integration that could be
adopted by the CSA:
Legislation and laws to
protect our vessels when
they visit our ports. An arrest
of a vessel in Kingston, for
whatever reason, should not
be different from an arrest
in Port of Spain. The same
standard of P&I Club guaran-
tees should be known to all
and applied by all.
Clearing of vessels and
imported goods should
have a regional procedure
to reduce port time for the
vessel and dwell time.
In 1991 security issues
were of low priority, but
today are high on our list of
importance. In addition to the
already co-ordinated efforts
by international organizations,
the Caribbean region can fur-
ther integrate implementation
of systems and procedures.
Integration of cargo flow
between designated hub ports
and destination ports. This ver-
tical integration could reduce
the cost of transportation.
There is a long 'wish list'
of important issues of inte-
gration, but let us start with
a few. Having said that, I am
mindful that the integration,
vertically or horizontally, of
certain commercial activities
could be subject to anti-trust
laws in the USA.
CARIBBEAN MARITIME I JANUARY APRIL 2010
I
1'/
i I
-w
CSA CAMERA EXHIBITION
Every year the Caribbean Shipping
Association puts on a business
exposition that runs the three days of the
October conference. The event, the "Shipping
Insight" series, is declared open the evening
before the first day of the conference.
"Shipping Insight 2010" was opened on
Sunday October 11 on the grounds of the
Torarica Hotel, the venue of the conference.
Guests and exhibitors were welcomed by
CSA President Fernando Rivera in one of
his final acts as CSA President. Dr John
A. Defares (4), General Manager of N.V.
Havenbeheer Suriname, gave a special
Suriname welcome and (10) Mrs Linda
Profit, Manager Commercial Affairs at N.V.
Havenbeheer Suriname, in her capacity
as head of the Suriname organising
committee for the CSA conference, the
CSA President (centre) and Vice President,
Carlos Urriola cut the ribbon to symbolically
open the exposition.
Following the ceremonies, the CSA
President and Vice President toured the
booths, stopping for photographs at
Wartsila display (9); the Port of Port of Spain
(8); and, Phaeros (7). Linda Profijt introduced
media personnel to CSA's Carlos Urriola
(6) following which he was 'arrested' (12)
by (still Immediate Past President) Corah
Ann Robertson-Sylvester (left) and former
member of the CSA's General Council, Sonja
Voisin-Tom of Trinidad and Tobago, for this
shot. President of their respective national
shipping associations: Hernan Ayala (11 left)
of Puerto Rico; and Rhett Chee Ping (3 right)
of the Shipping Association of Trinidad and
Tobago share the happy moment. Linda
Profijt's sister Joyce (2 left) and her daughter
Angela (2 right) worked with the Suriname
conference organising committee to make
the conference and in particular the
spouses programme a great success.
Mike Jarrett photos
nSB~iTroiBOHii ?[ "ir
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xecutives^^ ^ ^^ J|l^^^^^^ iswa1od1ocmngoto h onun apoc a emra
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................
MAMME
THE HUMAN FACTOR
Resilience: the best medicine
for economic recovery
Why do some people bounce back from life's hardships
while others despair?
In light of the recent
global meltdown and
unpredictable future
conditions, there is under-
standable worry about
what the future holds for
the shipping industry.
One thing is certain, what-
ever form recovery takes,
it will need resilience at all
levels more than education,
experience and training.
Theories abound about
what produces resilience but
three fundamental charac-
teristics seem to set resilient
people and companies apart
from others. One or two of
these qualities make it pos-
sible to bounce back from
hardship but true resilience
requires all three.
The capacity to accept
and face reality: In looking
hard at reality, we prepare
ourselves to act in ways that
allow us to endure and sur-
vive hardships.
Resilient people and
organizations have an ability
to find meaning in some
aspects of life. And values
are just as important as
meanings: value systems at
resilient companies change
very little over the long haul
and are used as scaffolding
in times of trouble.
Resilience is the ability
to improvise. Within an arena
of personal capabilities or
company rules, the ability to
solve problems without the
usual or obvious tools is a
great strength.
Facing reality
A common belief about
resilience is that it stems from
an optimistic nature. That
is true, but only as long as
such optimism doesn't distort
an organisation's sense of
reality. In extremely adverse
situations, 'pie in the sky'
thinking can actually spell
disaster. People can overlook
or fail to accept reality and
slip into denial as a coping
mechanism.
Sometimes bigger chal-
lenges call for an almost
pessimistic sense of reality.
For example, prior to 9/11
Morgan Stanley was the larg-
est tenant in the World Trade
Centre. The company had
some 2,700 employees work-
ing in the South Tower on
22 floors between the 43rd
and 74th. On that tragic day,
the first plane hit the North
Tower at 08.46 and Morgan
Stanley started evacuat-
ing just one minute later,
at 08.47. When the second
plane hit the South Tower 15
minutes after that, Morgan
Stanley's offices were largely
empty. All told, the company
lost only seven employees
despite receiving an almost
direct hit.
What was Morgan
Stanley's hard-nosed realism
that enabled the company to
benefit from its luck?
Soon after the 1993 attack
on the World Trade Centre,
senior management at the
company recognized that
working in such a symbolic
centre of US commercial
power made the company
vulnerable to attention from
terrorists and possible attack.
With this grim realisation,
Morgan Stanley launched a
programme of preparedness
at the micro level. Morgan
Stanley's vice-president
of security, Rick Rescorla,
brought a military discipline
to the job. Mr Rescorla, him-
By Fritz Pinnock
self a highly resilient, deco-
rated Vietnam veteran, made
sure that people were fully
drilled about what to do in a
catastrophe. When disaster
struck on 9/11, Rescorla was
on his bullhorn telling all
employees at Morgan Stanley
to stay calm and follow their
well practised drill. Sadly,
Mr Rescorla was one of the
seven who did not make it
out.
Trying to make
meaning of terrible
times
We know people who throw
up their hands and ask:
"Why me?" Such people
see themselves as victims
and living through hardships
carries no lessons for them.
On the other hand, resilient
people devise constructs
about their suffering to
create some sort of meaning
for themselves and others.
"Why not me?" Use your
challenge as a bridge to
better things.
CARIBBEAN MARITIME I JANUARY APRIL 2010 45
One thing is certain, whatever
form recovery takes, it will need
resilience at all levels more than
education, experience and training
1THE HUMAN FACTOR
Finding meaning in one's
environment is an important
aspect of resilience. It should
not come as a surprise that
the most successful organi-
sations and people possess
strong value systems. Strong
values infuse an environment
with meaning because they
offer ways to interpret and
shape events. Businesses that
survive also have their creeds,
which give them purposes
beyond just making money.
Strikingly, many companies
describe their value systems
in religious terms. Johnson &
Johnson, for instance, calls
its value system, set out in
a document given to every
new employee at orientation,
the 'Credo'.
Value systems at resilient
companies change very little
over the years and are used
as support in times of trou-
ble. For example, UPS chair-
man and CEO Mike Eskew
believes that the 'Noble
Purpose' of UPS helped the
company to rally after the
agonising strike in 1997.
"It was a hugely difficult
time, like a family feud,"
said Mr Eskew. "Everyone
had close friends on both
sides of the fence and it was
tough for us to pick sides.
But what saved us was our
'Noble Purpose'. Whatever
side people were on, they
all shared a common set of
values. Those values are core
to us and never change; they
frame most of our important
decisions. Our strategy and
our mission may change, but
our values never do."
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Through resilience one
has the capacity to be robust
under conditions of stress
and change. Values, positive
or negative, are actually more
important for organisational
resilience than having resil-
ient people on the payroll.
If resilient employees are all
interpreting reality in differ-
ent ways, their decisions and
actions may well conflict,
calling into doubt the survival
of their organisation. And as
the weakness of an organi-
sation becomes apparent,
highly resilient individuals are
more likely to jump ship than
to imperil their own survival.
Bouncing back
Bouncing back requires
the ability to make do with
whatever is at hand. This
speaks to inventiveness; an
ability to improvise a solution
to a problem without proper
or obvious tools or materi-
als. Richard Feynman, winner
of the 1965 Nobel Prize in
physics, out of pure curiosity
reportedly made himself an
expert at cracking safes. He
not only studied the mechan-
ics of safecracking but also
psychological insights about
people who used safes and
set the locks. He reportedly
cracked many of the safes
in Los Alamos, for instance,
because he guessed that theo-
retical physicists would not set
the locks with random code
numbers they might forget but
would instead use a sequence
with mathematical signifi-
cance. It turned out that the
thr., f ,.-.nt-iini i.-i -ill th.,
secrets to the atomic bomb
were set to the same math-
ematical constant, e, whose
first six digits are 271828.
Companies which survive
recessions regard improvisa-
tions as a core skill. Consider
UPS, which empowers its
drivers to do whatever it takes
to deliver packages on time.
"We tell our employees to get
the job done. It then means if
they need to improvise, they
improvise. Otherwise we just
couldn't do what we do every
day. Just think of what can go
wrong: a busted traffic light, a
flat tyre, a bridge washed out.
If a snowstorm hits Louisville
tonight, a group of people
will sit together and discuss
how to handle the problem.
Nobody tells them to do that.
They come together because
it's our tradition to do so,"
says Mr Eskew.
Tradition
That tradition meant the com-
pany was delivering parcels
in south-east Florida just one
day after Hurricane Andrew
devastated the region in 1992
causing billions of dollars in
damage. Many people were
living in their cars because
their homes had been
destroyed, yet UPS drivers and
managers sorted packages
at a diversion site and made
deliveries even to those who
were stranded in their cars.
It was largely the improvi-
sational skills of UPS that
enabled it to keep functioning
after the catastrophic hit. And
the fact that the company
..-.nItiiini. .-.n i -Iq ." ,-,th,-r-
46 CARIBBEAN MARITIME JANUARY -APRIL 2010
Through resilience one has the
capacity to be robust under
conditions of stress and change
A MATTER OF LAW;
sense of purpose and mean-
ing amid the chaos.
Improvisation of the sort
practised by UPS, however, is
a far cry from unbridled crea-
tivity. Indeed, much like the
military, UPS lives on rules
and regulations. As Mr Eskew
says: "Drivers always put
their keys in the same place.
They close the door the same
way. They wear their uni-
forms the same way. We are
a company of precision."
Rules
He believes that, although
they may seem stifling, UPS's
rules were what allowed the
company to bounce back
immediately after Hurricane
Andrew, for they enabled
people to focus on the one
or two fixes they needed to
make in order to keep going.
Karl Weick, a professor
of organisational behaviour
at the University of Michi-
gan Business School in Ann
Arbor, said: "What we do
not expect under life-threat-
ening pressure is creativity."
In other words, the rules and
regulations that make some
companies appear less crea-
tive may actually make them
more resilient in times of real
turbulence.
Being lucky is not the
same as being resilient.
Resilience is a reflex, a way of
facing and understanding the
world, that is deeply etched
into a person's mind and
soul. Resilient people and
companies face reality with
staunchness, make meaning
of hardship instead of crying
out in despair and impro-
vise solutions from thin air.
Others do not. This is what
the shipping industry needs
to face the interesting year
ahead. m
Is Copenhagen
a sideshow?
Two significant events
I were unfolding at
the time of writing. One
was being held over a
defined period of days.
The other has been going
on for some time. I speak,
of course, of the United
Nations climate change
conference in Copenha-
gen, Denmark, and the
ongoing expansion of the
Panama Canal.
UN conference
The Copenhagen confer-
ence took place from 7 to
18 December. Clearly, the
nations of the world consider
the matter important enough
to set aside two whole weeks
for deliberations and signifi-
cantly, for negotiations. The
ambitious agenda of this con-
ference was pursuant to the
response to the global outcry,
led by scientists worldwide,
that warned of dire con-
sequences to the Earth if
nations failed to control the
level of greenhouse gases in
the atmosphere, for failure to
do so would result in undesir-
able climate change.
Following the Rio de Janeiro
conference, and since the
entry into force of UNFCCC on
21 March 1994, the nations
who are party to UNFCCC
have met annually as the Con-
ferences of the Parties (COP),
the supreme body under the
convention. The latest meeting
in Copenhagen was one such.
At the COP meetings, the
nations undertake a rigorous
review of the continued chal-
lenge and an equally rigorous
assessment of any progress
made. It was COP 3, held in
By Milton Samuda
COP 15, held in Copenha-
gen, was intended to agree
a comprehensive programme
to unfold from 2012.
The Copenhagen confer-
ence was really an amalgam
of meetings. It was not
only the 15th session of the
Conference of the Parties of
UNFCCC (COP 15) but also:
The fifth session of the
Conference of the Parties
serving as the meeting of the
Parties to the Kyoto Protocol
(CMP 5)
The 31st session of the
Subsidiary Body for Scientific
and Technological Advice
(SBSTA 31)
The 31st session of the
Subsidiary Body for Imple-
mentation (SBI 31)
The 10th session of the
Ad Hoc Working Group on
Further Commitments for
Annexe I Parties under the
Kyoto Protocol (AWG-KP 10)
The eighth session of
the Ad Hoc Working Group
on Long-term Co-operative
Action (AWG-LCA 8).
Now, readers, place in the
context of this two-week
international law contained in
the UN Framework Conven-
tion on Climate Change
(UNFCCC). This international
environmental agreement was
the output of the UN Confer-
ence on Environment and
Development (UNCED) in Rio
de Janeiro in 1992, popularly
known as the Earth Summit.
That conference was itself a
Kyoto, Japan, in December
1997, that resulted in the
Kyoto Protocol on Climate
Change, a far-reaching agree-
ment which, among other
things, sought to benchmark
greenhouse gas emissions at
1997 levels. It also called for
mandatory and legally binding
reductions to agreed levels
between 2008 and 2012.
CARIBBEAN MARITIME I JANUARY APRIL 2010 47
Clearly, the nations of the world
consider the matter important
enough to set aside two whole
weeks for deliberations and
significantly, for negotiations
A MATTER OF LAW
conference in Copenhagen
the reference in my previous
column to the global con-
siderations that must attend
any consideration of cruise
shipping and its environmen-
tal impact. You will begin to
understand the importance
of the UNFCCC. The shipping
industry must be mindful of
the UNFCCC as a part of the
framework of international
law. Refer specifically, if you
will, to the SBSTA session
held on the second day of
the conference and you will
note that Item 7 dealt, in
part, with emissions from
fuel used for international
aviation and maritime trans-
port. The future of shipping
will be determined in part
by the commitments made,
and to be made, pursuant to
UNFCCC and similar treaties.
The very configuration of
ships and their facilities will
be designed in the light of
international commitments.
Is Copenhagen a side-
show? Assuredly not.
Panama Canal
When Panama regained con-
trol of the canal at the end of
1999, concern was expressed
about whether the Panama-
nians could maintain the level
of efficiency associated with
control and management
by the USA. Recent history
has resolutely dealt with all
doubt. In fact, the Panama-
nians, through the Panama
Canal Authority, have so
distinguished themselves that
the world awaits without fear
the completion of the ambi-
tious canal expansion now
being undertaken.
The impact on the future
of international shipping is
patent and palpable. In a
recent article in 'The Econo-
mist', the author addressed
the 'high hopes for a $5.25
billion expansion of the
waterway'. That expansion
will see locks 60 per cent
wider and 40 per cent longer,
leading to a marked increase
in traffic and timing. The
improved facility, driven by a
historic increase in traffic at
an annual rate of between
five and eight per cent, will
not only respond to the
immediate demands of an
insatiable market but will also
position the canal for the
future, anticipating both the
continued increase in traffic as
well as a continued increase
in the size of ships passing
through. On completion in
2014, the expanded canal will
be able to receive practically
all mega vessels container-
ships, breakbulk carriers and
tankers and will accommo-
date the anticipated increase
in traffic from Asian interests.
This 24-hour, year-round
operation will continue to be
the single most important
maritime construction.
Conclusion
In the midst of the global
recession, with the experts
still not agreed on when it
will end, the shipping industry
must continue to look to
the future, seeking always
to expand its reach, impact
and profitability but with due
regard for environmental and
social considerations that
must be addressed if develop-
ment is to be sustainable. The
UN conference in Copen-
hagen, and the soon to be
completed expansion of the
Panama Canal, call us towards
a challenging but bright
future. I remain optimistic
that our industry will survive,
contribute and thrive. m
Milton Samuda is managing
partner of the Jamaican-based
law firm Samuda & Johnson.
48 CARIBBEAN MARITIME JANUARY -APRIL 2010
F
L -
DRIMENI
DAMN SHIPYARDS GORINCHEM
Industrieterren Avelingen West 20 P.O. Box 1
4202 MS Guoinchem 4200 AA Gorinchem
The Netherlands
phone +31 0)183 6399 11
fax +31 (0)183 63 21 89
Member of the DAMEN SHIPYARDS GROUP
infowdamen.ni
www.damen.nl
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