South Korea’s Ministry of Oceans and Fisheries (MOF) will co-operate with the Colombian government to upgrade the port of Buenaventura.
The MOF said in a press statement, “We will support the Colombian government’s port of Buenaventura development by conducting a business feasibility study and establishing a master plan.”
Buenaventura, located close to Panama Canal, is Colombia’s principal trading port in the country’s Valle del Cauca district. The port handles containers and general cargo.
The port also deals with approximately 60% of Colombia’s main exports such as coffee, sugar, and tannin, and cargo volume there is rising. However, Buenaventura has been in need of expansion and maintenance of the hinterland due to wear and tear and congestion.
The move comes after the ministry signed a memorandum of understanding (MOU) with the Colombian government in December 2014 to co-operate in developing ports in Colombia.
The MOF will be in charge of surveying the current situation – such as cargo volume – of Buenaventura, establishing a master plan by selecting the port and the size of the development, reviewing environmental impact, and conducting economic feasibility studies.
The MOF plans to invite local experts and companies during the process and is set to form the MOF-Colombia public and private sector joint committee on the port development within the year. The committee will advise on matters such as financing for the development.
The MOF expects the MOU to offer opportunities for South Korean ports and logistics companies to enter Latin American markets.