STS transfers fill port infrastructure gap

Ship to ship (STS) transfers are becoming a critical support mechanism for bulk handling operations as port infrastructure struggles to match growing cargo demand

Dimitris Monioudis, chair of the technical committee of INTERCARGO
Dimitris Monioudis, chair of the technical committee of INTERCARGO. Image: INTERCARGO

INTERCARGO’s new STS Transfer Guidelines arrive at a time when larger vessels, rising dry bulk volumes and constrained berth availability are forcing the industry to rethink how cargo moves through global supply chains.

Rather than replacing conventional terminals, the framework positions ship to ship transfers as a complementary logistics solution that can help ports and terminals manage operational pressure while infrastructure investment catches up.

“Overall, the use of STS is expected to grow,” says Dimitris Monioudis, chairman of the technical committee of INTERCARGO.

“That said, INTERCARGO does not see STS replacing conventional port infrastructure. Rather, we expect it to become an increasingly important complementary logistics system in regions where trade growth, vessel size and infrastructure constraints make it operationally and economically attractive.”

Infrastructure rethink

That shift is becoming increasingly visible across major bulk handling markets where cargo volumes are expanding faster than port infrastructure capacity.

In several regions, larger Capesize and Newcastlemax vessels are unable to access conventional berths because of draft restrictions and terminal limitations, increasing the importance of offshore ship to ship transfers as part of wider cargo distribution strategies.

Mr Monioudis says the challenge is not necessarily a lack of willingness to invest, but the pace and complexity of port development itself.

Infrastructure expansion projects often require long-term planning, environmental approvals and substantial capital expenditure before construction can even begin.