SHENZHEN: The world's fourth-busiest port plans to invest more money to construct additional terminals and berths to alleviate the current shipping backlog, a local official told China Business Weekly.

Li Yongming, deputy chief of Shenzhen Port's department of management, planning and construction, said the port has increased investments in three new projects, which are expected to complete by 2010.

The extra terminals and berths will increase the port's capacity to more than 18 million TEUs (20-foot equivalent units) per year.

The port handled 13.66 million TEUs last year, up 28 per cent year-on-year.

The port will invest an additional 11.1 billion yuan (US$1.34 billion) on the third phase of the Yantian terminal in eastern Shenzhen. Seven berths, with a handling capacity of 3.7 million TEUs, will be constructed.

An additional 3.79 billion yuan (US$46 million) will be invested in the third phase of the Shekou terminal. Those three extra berths, to be operational by 2007, will be able to handle 900,000 TEUs.

In addition, a new terminal, called Dachanwan, is scheduled to be put into operation in 2009. It will be capable of handling 2 million TEUs a year.

The project's first phase will cost about 7 billion yuan (US$850 million). Three berths will be constructed.

Last year, Shenzhen's port handles nearly twice its designed handling capacity of 6.2 million TEUs.

"It is rare to see two empty berths (out of five) in Shenzhen. During busy seasons, the berths are always full," said Li.

Based on international standards, a port is considered busy if 60 per cent of its berths are being used.

Efforts, such as increasing work shifts, have been made to improve the efficiency of cargo and container services, said Li.

Such efforts are only short-term measures, he added.

(China Daily 03/21/2005 page8)