Bargaining power

French container transportation and shipping company CMA-CGM has shown interest in doing business at Kenya’s Lamu Port on the condition that it secures space at the Port of Mombasa.

“To be able to grow in Lamu port we need to grow in Mombasa port and therefore we expect the Kenya Ports Authority to give us a dedicated berth in Mombasa,” said Ludovic Rozan, vice president Africa at CMA CGM.

Negotiations ahead?

Rozan made the comment during a familiarization tour of the facility when he was received by the general manager of Lamu Port, Abdullahi Samatar, reported Kenya News Agency.

He said that the berth would enable CMA CGM to operate 365 days in the region. He explained that from Lamu, the shipping company would be able to handle transshipments to Tanzania, Ethiopia, South Sudan, Somalia, Mombasa and even Mozambique.

“If you can help us in Mombasa, we are ready to help you here in Lamu,” Rozan said.

Samatar said that the concerns raised during the discussions would be escalated with a view to seeking mutual and favourable conclusions.

Lamu capacity

Samatar said Lamu Port, which opened in May, is envisaged to have a total of 23 modern deep-sea berths with a quay length of 400m each. Phase one of the project comprises three berths, with the first already operational. The remaining two are expected to be ready by the end of October.

He said the port has capacity to handle large ships with carrying capacity of between 12,000 to 18,000 TEUs.

The government has initiated the construction of a second commercial port in Lamu archipelago, added Samatar.