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Government of Cape Verde subcontracts port services

Government of Cape Verde subcontracts port services

Rédaction Africa Links 24 with MF_UASE
Published on 2024-03-06 01:00:25

One of the main strategic objectives of Cape Verde is to take advantage of its strategic location in the Middle Atlantic, becoming a maritime platform between the markets of Europe, Africa, North America, and South America, by valuing the potential of the blue economy, which could increase from 8% (2020) to around 25% of GDP and from 11,000 to around 30,000 to 35,000 jobs by 2030.

Cape Verde has 9 ports, with the Ports of Praia and Porto Grande being the largest in terms of operations. The state owns the domain, infrastructure, equipment, and provides all port, logistics, and maritime services to ships and cargo, with ENAPOR as the Port Authority and service concessionaire.

Imports and exports of goods in Cape Verde are expected to increase by 6.3% and 10.8% annually until 2028, reaching approximately 1.5 and 0.4 billion euros, respectively, according to projections by the International Monetary Fund (IMF). This growth will have a positive impact on cargo movement and port calls in national ports.

Bunkering, the supply of fuels to ships, is another priority segment. Studies indicate that Cape Verde is a highly privileged transit zone for routes between North-South, Latin America-Europe, and its proximity to the African coast, considered an attractive fishing area. Excluding cruise, leisure, military, and tug boats, the potential bunkering volume at Porto Grande is estimated to be around 4.4 million tons per year.

There are market segments for a transhipment terminal, with a demand potential of 300 to 500 thousand TEUs over the next 20 years.

In a context of great dynamism, within the Cape Verde Maritime Platform program, the government is implementing an agenda for the Blue Economy, reinforcing investment with ongoing works in its port structures, such as the cruise terminal at Porto Grande, enhancing port services, and consolidating the country’s role as a cruise destination.

Furthermore, conditions are being created for the entry of an international partner specialized in the global commercial circuit, to increase the efficiency of port operations, making the country more attractive and competitive for transshipment activities, becoming a service center in the Middle Atlantic. The entry of an international partner will result in reduced tariffs and costs for importers and exporters, inter-island transports, consumer prices, and overall factors throughout the economy.

Cape Verde’s ports are at a decisive moment, marking a turning point in their development trajectory, with implications for efficiency, effectiveness, and their role in the national economy. This period is characterized by an ambitious, yet prudent approach, anticipating a remarkable growth cycle. Strategic investments aim to strengthen capacities in all business segments and regions, boosting commercial performance, with increased movement of cargo and cruise ships, goods, and passengers.

The subconcession must be awarded through a limited tender, by prior qualification, with international advertising, under the Public Procurement Code and Resolution No. 56/2020, of March 27, for a maximum period of 30 years, potentially covering all ports. The procedure includes two phases, the first being the submission and qualification of applications, and the second being the submission of proposals and their analysis and evaluation.

The government has decided to hold a public consultation prior to the launch of the pre-contractual procedure, starting on March 11, for a period of 30 days, with the purpose of anticipating a strategy that safeguards the country’s strategic interests and ensures the interests of port sector operators. The results of the public consultation should allow the government to make any necessary adjustments to the port service subconcession strategy and enhance the transparency of the process.

For more information, please visit: https://www.mf.gov.cv/web/mf/uase-page

Originally published in the print edition of Expresso das Ilhas No. 1162 on March 6, 2024.

Read the original article(Portuguese) on Expresso das Ilhas

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