Poti increased its cargo handling capacity just in time to take over cargo destined to Russian and Ukrainian ports

Poti, Georgia (Ports Europe) March 6, 2022 – The Georgian-American transport company PACE Group, the country’s largest, opened on January 29 a new multifunctional marine terminal in the port of Poti on the Black Sea coast of Georgia. It was perfectly timed to take over the increased Chinese, Kazakh and other Central Asian cargo that was until now transported via Russian ports. Russia and all its ports are under U.S. and European Union sanctions and are practically off limits to foreign transport and logistics companies. Russia invaded Ukraine on February 24 and is waging an increasingly brutal war there. As a result, all Ukrainian ports in the Black Sea and the Sea of Azov are closed. As we already reported, after the introductions of comprehensive sanctions against Russia for its invasion in Ukraine, and in the absence of new mechanisms for determining the country of origin of goods, Kazakhstan’s cargo to European Union countries, transiting Russia, is blocked. The solution to this problem is better utilisation of the Kazakh port of Aktau on the Azov Sea, which can rely on reliable and affordable connection to Azerbaijan’s ports there, mostly Baku. From Baku containers and goods can be transported via road and railway to Poti. Poti in turn is well connected to Bulgaria’s ports of Varna and Burgas as well as to Romanian port of Constanta. The $120 million project will make it possible to carry an additional 2.5 million tonnes of cargo per year via Georgian biggest port and logistics centre, or twice the current annual turnover of the company. The 30 years old PACE controls shipping agencies, brokerage companies, logistics and container services, companies operating berths and terminals. It operates eight berths and the PACE terminal in Poti. The new terminal on 25 hectares of land provides Georgia with a "great opportunity" to become an East-West transport hub and facilitate the delivery of goods from Central Asia to Europe. It also includes the deepening of the seabed up to 12 meters, which will allow the port to receive ships with a carrying capacity of up to 50,000 tonnes. The port is also home to APM Terminals Poti, part of the Danish Maersk group. In 2020, APM Terminals Poti announced plans to create a deep-water port by investing over $250 million of private capital for phase 1 and a substantial amount for phase 2 in an extensive development of the port infrastructure and superstructure. In January, APM Terminals Poti published an interview with Iain Rawlinson, Chief Commercial Officer at APM Terminals Poti, in which he presents the company’s plans to develop the port in 2022. More Ports Europe news about the Georgian Port of Poti Copyright (C) Ports Europe. All Rights Reserved. 2022.

Poti increased its cargo handling capacity just in time to take over cargo destined to Russian and Ukrainian ports

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Poti increased its cargo handling capacity just in time to take over cargo destined to Russian and Ukrainian ports

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Kazakh ambassador visits Shahid Rajaee Port, Iran

Russia’s Makhachkala port privatized, new owner is a sanctioned billionaire

India operates first phase of Chabahar port, Iran

Russia’s Far Eastern ports to grow cargo to 316 mln tonnes by 2030

Finland seized tanker with Russian oil suspected of damaging Baltic power, internet cables

Our Expert Analysis

Latest Free Reads

Top Ports