FESCO investment program for 2023: development of the port, terminals and the acquisition of new vessels

November 22 2022

The Group plans to purchase vessels with a capacity of 6-7 thousand TEU

The main objective of the FESCO investment program for 2023 is the purchase of new vessels, as well as the modernization of port facilities and the development of the terminal network. Investments will be made from net income, Andrey Severilov, Chairman of the Board of Directors of FESCO, said at a meeting with journalists during the “Transport Week” in Moscow.

In connection with the opening this year of a new route from the ports of China to Novorossiysk and with a plan to create a similar route to the ports of the North-West of Russia, the company is considering the possibility of acquiring large-capacity vessels.

“We plan to purchase vessels with a capacity of approximately 6-7 thousand TEU, which is approximately twice as much as the capacity of the vessels we have. The project will pay off even if, as we expect, freight rates will drop in 2023 on routes from China to Europe and from China to the USA. Freight rates on routes from China to Russian ports will remain at the same level. This is due to the fact that our market is now somewhat isolated from the world market, and after the departure of the majors, Russian shipping companies must buy new ships. However, the other side of the coin is that the reduction of rates on routes from China to Europe and from China to the USA leads, in fact, to a cooling of the global market and the emergence of additional opportunities for us. We see that, finally, there are offers on the market for the purchase of ships that we need,” Andrey Severilov explains.

In November, the transport group introduced the FESCO Black Sea Service on the route Novorossiysk – Istanbul – Shekou – Ningbo – Shanghai – Qingdao and in the opposite direction. Transit time on the way from the ports of China to Istanbul, where transshipment is carried out, is 30-35 days, to Novorossiysk – 40-45 days.

FESCO Transport Group is one of the largest private transport and logistics companies in Russia with assets in the field of port, rail and integrated logistics business. The Group owns the Vladivostok Commercial Sea Port, the railway operators Transgarant, Dalreftrans, and the fitting platform operator Russkaya Troika. FESCO operates dry terminals in Novosibirsk, Khabarovsk and Tomsk. The group manages more than 100 thousand TEU, the fleet of fitting platforms exceeds 10 thousand units. The fleet includes 22 transport vessels, which mainly carry out transportation on their own sea lines.

Source: https://portnews.ru/news/338970/



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