The seaport of Guayaquil is located on the western coast of South America, in an arm of the sea, the Estero Salado, ten kilometers south of the commercial center of the city of the same name. [1]Main Port or Port City are some of the nicknames that Guayaquil has earned. And it is like this, in essence: a port city whose development comes from the Colony. several port terminals, both public and private, and not only in the south of the city, along the Cobina, Santa Ana, del Muerto and Mongón estuaries, but also in the rural Posorja parish.[2].
Guayaquil is one of the most dynamic sea and river ports practically since its final settlement on the Santa Ana hill "Cerro Santa Ana (Guayaquil)"), on the banks of the Guayas River. The port was relocated to the south (1963) and there are now several port terminals. Ecuador is a country equidistant between the two western extremes of the American continent.[2].
Operations management
During this period, the company, belonging to the International Container Terminals Services Inc. (ICTSI) group, has operated the port terminal since May 2007. Initially, the concession was scheduled for 20 years, until 2027, but with a modifying contract, it was extended until 2046, with the expectation of generating more than $1.7 billion in contributions, income and investments for the country.[3].
Contecon Guayaquil S.A. (CGSA) as concessionaire of the seaport of Guayaquil, reached a historical record of 135 million tons of cargo and the service of 13,807 vessels since its inception. This terminal was consolidated as the main one in the country, representing 40% of the cargo market and projecting to exceed 900,000 TEU by the end of 2023, its investments total more than $360 million and highlight the deepening of the dock to 13.5 meters.[4].
Maersk, a Danish shipping company, changed its operations from the seaport of Guayaquil, operated by Contecon, to the deepwater port of Posorja, under the management of DP World. This change is already evident in port statistics, especially in banana exports. [5].
The decision to move operations was announced by the shipping company A. P. Møller-Mærsk in December last year and was made official on January 4 of this year with the arrival of the ship MSK Evora at the new port. Now, with the first month counted since the transfer, the banana sector reports a notable increase in the Posorja terminal. In January 2023, the terminal shipped 4,011,627 boxes of bananas, while in January 2024, this figure increased to 8,735,977 boxes, representing a growth of 117.77%, according to the most recent report from the Banana Marketing and Export Association of Ecuador (Acorbanec).[5].
Review of historic loading docks
Introduction
The seaport of Guayaquil is located on the western coast of South America, in an arm of the sea, the Estero Salado, ten kilometers south of the commercial center of the city of the same name. [1]Main Port or Port City are some of the nicknames that Guayaquil has earned. And it is like this, in essence: a port city whose development comes from the Colony. several port terminals, both public and private, and not only in the south of the city, along the Cobina, Santa Ana, del Muerto and Mongón estuaries, but also in the rural Posorja parish.[2].
Guayaquil is one of the most dynamic sea and river ports practically since its final settlement on the Santa Ana hill "Cerro Santa Ana (Guayaquil)"), on the banks of the Guayas River. The port was relocated to the south (1963) and there are now several port terminals. Ecuador is a country equidistant between the two western extremes of the American continent.[2].
Operations management
During this period, the company, belonging to the International Container Terminals Services Inc. (ICTSI) group, has operated the port terminal since May 2007. Initially, the concession was scheduled for 20 years, until 2027, but with a modifying contract, it was extended until 2046, with the expectation of generating more than $1.7 billion in contributions, income and investments for the country.[3].
Contecon Guayaquil S.A. (CGSA) as concessionaire of the seaport of Guayaquil, reached a historical record of 135 million tons of cargo and the service of 13,807 vessels since its inception. This terminal was consolidated as the main one in the country, representing 40% of the cargo market and projecting to exceed 900,000 TEU by the end of 2023, its investments total more than $360 million and highlight the deepening of the dock to 13.5 meters.[4].
Maersk, a Danish shipping company, changed its operations from the seaport of Guayaquil, operated by Contecon, to the deepwater port of Posorja, under the management of DP World. This change is already evident in port statistics, especially in banana exports. [5].
In 2019, the Guayaquil Port Authority reported that between January and July, the public docks, Contecon and Andipuerto, moved 4.9 million tons of cargo. This included both container and multipurpose terminals (Contecon) and the bulk terminal (Andipuerto), moving a total of 4,969,424.26 million metric tons of cargo.[6] Additionally, the Container Terminal handled 477,402 TEUs, contributing to the country's economic growth.[6] The port of Guayaquil handles 85% of Ecuador's non-oil commercial transactions, including public terminals and private. According to the Port Authority of Guayaquil, from January to July 2019, 1,625 vessels of different draft entered the Main Port, of which 490 were serviced at the concessioned docks.[6].
The movement of containerized cargo in Ecuador's ports experienced an increase last year, going from 2,294,681 TEU in 2020 to 2,370,031 TEU in 2021, representing a growth of 3.28%. In addition, metric tons (MT) increased by 8%, going from 52,743,426 MT to 57,029,484 MT, according to the Undersecretariat of Ports and Maritime and River Transport.[7].
In the province of Guayas, DP World Posorja, responsible for the Posorja deepwater port, set productivity records at the regional level, achieving movements of up to 47.1 containers per hour. Regarding participation in the port market, it captured 10% and handled 35% of transshipment cargo, competing with important ports on the West Coast of the South Pacific. In addition, it reached a draft of 14.65 meters upon receiving the Post Panamax vessel CMA – CGM.[7].
For its part, Contecon, operator of the Container and Multipurpose Terminal “Libertadores Simón Bolívar” in Guayaquil, continued with the expansion of the cranes (QC5-QC6), allowing the quick and safe handling of ships with greater draft and greater load. The investment in the work exceeded 10 million dollars. It is important to highlight that 85% of the country's non-oil cargo transfer is carried out through the port of Guayaquil through its public and private terminals. The (public) Bulk Terminal, concessioned to Andipuerto Guayaquil S.A., moved 2,681,433 MT of bulk cargo.[7].
The Port Authority of Guayaquil reported that the Guayaquil seaport moved 4.89 million tons between January and July 2020, with diversified cargoes and a focus on COVID-19 safety. Contecon, Andipuerto and the Port of Deep Waters managed the attention of 490 and 101 vessels, respectively. [8].
Investments
Contecon Guayaquil delivered at least $1.1 billion in contributions to the State and made investments that exceed $360 million. [3]The company highlighted achievements such as the mobilization of more than 13.3 million containers and the service of more than 13,000 vessels. The Special Economic Development Zone (ZEDE), with additional investments of at least $500 million, generating employment for 40,000 jobs, being the main logistics node in Ecuador and one of the most relevant in the South Pacific.[3].
Contecon Guayaquil (CGSA) signed an addendum to the investment agreement in 2022, increasing the investment amount from $18 million to $22 million. The company, part of the ICTSI group, operated the port terminal since May 2007, and its concession was extended until 2046 following an amending contract. In the first 15 years of the concession, CGSA contributed at least $1.3 billion to the State and invested more than $360 million. The additional investment was allocated to infrastructure improvements, including dredging and the acquisition of cranes, with the aim of strengthening logistics capacity and increasing the competitiveness of the country's foreign trade.[9].
Security
The terminal concessionaire, Contecon, implemented state-of-the-art scanners in compliance with Executive Decree 227 of President Guillermo Lasso in 2021. This decree establishes that all containers leaving the country must undergo an anti-drug scanning system. [10]In an effort to strengthen anti-narcotics controls, the Contecon terminal implemented a scanner intended to review all of its exportable cargo. Previously, the Police carried out manual checks on 33.43% of the containers leaving the city's main terminal.[11].
This measure aims to combat drug trafficking, crime and organized crime. The scanners used are designed to inspect moving vehicles, guaranteeing fast inspections and efficient fluidity to avoid delays.[10].
Contecon, with more than 1,300 meters of docks for simultaneous service of three Neopanamax ships, highlights the reception of the largest Maersk and ZIM vessels. Additionally, in terms of security, the installation of scanners and the investment of more than $15 million guarantee compliance with national requirements. Smart Port 4.0 complements the digital transformation with a private LTE network and the Port To Door platform to track cargo in real time through CGSAPP.[4].
During 2021, the largest drug seizure was carried out in Ecuador, with the seizure of seven tons of cocaine in the seaport of Guayaquil. The cargo, valued at $330 million in Europe, was discovered hidden in two containers that apparently were transporting tuna. This event highlights the magnitude of drug trafficking in the region and the creativity of traffickers to camouflage illegal substances in apparently legitimate shipments.[12].
The port of Guayaquil was identified as especially susceptible to international drug trafficking due to being the terminal with the largest volume of exportable cargo containers in Ecuador. From January to April 2023, the Police seized a total of 26 tons and 547 kilos of drugs in the country's port terminals, with 18 tons and 128 kilos seized specifically in the port of Guayaquil, constituting 68% of port seizures nationwide. [11].
On September 3, 2023, the National Police of Ecuador announced the seizure of around 300 kilograms of cocaine in a container in one of the ports of Guayaquil. Through the collaboration of a trained dog, the agents discovered eight black suitcases inside the container destined for Mexico. The suitcases contained 300 rectangular packages with a whitish substance that, after testing, was confirmed to be cocaine. The amount seized, according to the Police, represents approximately three million doses on the market.[13].
During 2021, fourteen workers at the seaport of Guayaquil were murdered.[14] The incidents were a series of murders of port workers who have received threats and been the target of attacks linked to drug trafficking. Violence against port workers has been a persistent problem, with fourteen officials murdered in recent years, revealing the constant threat faced by those who work in this industry in the region. [15][16][17].
The decision to move operations was announced by the shipping company A. P. Møller-Mærsk in December last year and was made official on January 4 of this year with the arrival of the ship MSK Evora at the new port. Now, with the first month counted since the transfer, the banana sector reports a notable increase in the Posorja terminal. In January 2023, the terminal shipped 4,011,627 boxes of bananas, while in January 2024, this figure increased to 8,735,977 boxes, representing a growth of 117.77%, according to the most recent report from the Banana Marketing and Export Association of Ecuador (Acorbanec).[5].
In 2019, the Guayaquil Port Authority reported that between January and July, the public docks, Contecon and Andipuerto, moved 4.9 million tons of cargo. This included both container and multipurpose terminals (Contecon) and the bulk terminal (Andipuerto), moving a total of 4,969,424.26 million metric tons of cargo.[6] Additionally, the Container Terminal handled 477,402 TEUs, contributing to the country's economic growth.[6] The port of Guayaquil handles 85% of Ecuador's non-oil commercial transactions, including public terminals and private. According to the Port Authority of Guayaquil, from January to July 2019, 1,625 vessels of different draft entered the Main Port, of which 490 were serviced at the concessioned docks.[6].
The movement of containerized cargo in Ecuador's ports experienced an increase last year, going from 2,294,681 TEU in 2020 to 2,370,031 TEU in 2021, representing a growth of 3.28%. In addition, metric tons (MT) increased by 8%, going from 52,743,426 MT to 57,029,484 MT, according to the Undersecretariat of Ports and Maritime and River Transport.[7].
In the province of Guayas, DP World Posorja, responsible for the Posorja deepwater port, set productivity records at the regional level, achieving movements of up to 47.1 containers per hour. Regarding participation in the port market, it captured 10% and handled 35% of transshipment cargo, competing with important ports on the West Coast of the South Pacific. In addition, it reached a draft of 14.65 meters upon receiving the Post Panamax vessel CMA – CGM.[7].
For its part, Contecon, operator of the Container and Multipurpose Terminal “Libertadores Simón Bolívar” in Guayaquil, continued with the expansion of the cranes (QC5-QC6), allowing the quick and safe handling of ships with greater draft and greater load. The investment in the work exceeded 10 million dollars. It is important to highlight that 85% of the country's non-oil cargo transfer is carried out through the port of Guayaquil through its public and private terminals. The (public) Bulk Terminal, concessioned to Andipuerto Guayaquil S.A., moved 2,681,433 MT of bulk cargo.[7].
The Port Authority of Guayaquil reported that the Guayaquil seaport moved 4.89 million tons between January and July 2020, with diversified cargoes and a focus on COVID-19 safety. Contecon, Andipuerto and the Port of Deep Waters managed the attention of 490 and 101 vessels, respectively. [8].
Investments
Contecon Guayaquil delivered at least $1.1 billion in contributions to the State and made investments that exceed $360 million. [3]The company highlighted achievements such as the mobilization of more than 13.3 million containers and the service of more than 13,000 vessels. The Special Economic Development Zone (ZEDE), with additional investments of at least $500 million, generating employment for 40,000 jobs, being the main logistics node in Ecuador and one of the most relevant in the South Pacific.[3].
Contecon Guayaquil (CGSA) signed an addendum to the investment agreement in 2022, increasing the investment amount from $18 million to $22 million. The company, part of the ICTSI group, operated the port terminal since May 2007, and its concession was extended until 2046 following an amending contract. In the first 15 years of the concession, CGSA contributed at least $1.3 billion to the State and invested more than $360 million. The additional investment was allocated to infrastructure improvements, including dredging and the acquisition of cranes, with the aim of strengthening logistics capacity and increasing the competitiveness of the country's foreign trade.[9].
Security
The terminal concessionaire, Contecon, implemented state-of-the-art scanners in compliance with Executive Decree 227 of President Guillermo Lasso in 2021. This decree establishes that all containers leaving the country must undergo an anti-drug scanning system. [10]In an effort to strengthen anti-narcotics controls, the Contecon terminal implemented a scanner intended to review all of its exportable cargo. Previously, the Police carried out manual checks on 33.43% of the containers leaving the city's main terminal.[11].
This measure aims to combat drug trafficking, crime and organized crime. The scanners used are designed to inspect moving vehicles, guaranteeing fast inspections and efficient fluidity to avoid delays.[10].
Contecon, with more than 1,300 meters of docks for simultaneous service of three Neopanamax ships, highlights the reception of the largest Maersk and ZIM vessels. Additionally, in terms of security, the installation of scanners and the investment of more than $15 million guarantee compliance with national requirements. Smart Port 4.0 complements the digital transformation with a private LTE network and the Port To Door platform to track cargo in real time through CGSAPP.[4].
During 2021, the largest drug seizure was carried out in Ecuador, with the seizure of seven tons of cocaine in the seaport of Guayaquil. The cargo, valued at $330 million in Europe, was discovered hidden in two containers that apparently were transporting tuna. This event highlights the magnitude of drug trafficking in the region and the creativity of traffickers to camouflage illegal substances in apparently legitimate shipments.[12].
The port of Guayaquil was identified as especially susceptible to international drug trafficking due to being the terminal with the largest volume of exportable cargo containers in Ecuador. From January to April 2023, the Police seized a total of 26 tons and 547 kilos of drugs in the country's port terminals, with 18 tons and 128 kilos seized specifically in the port of Guayaquil, constituting 68% of port seizures nationwide. [11].
On September 3, 2023, the National Police of Ecuador announced the seizure of around 300 kilograms of cocaine in a container in one of the ports of Guayaquil. Through the collaboration of a trained dog, the agents discovered eight black suitcases inside the container destined for Mexico. The suitcases contained 300 rectangular packages with a whitish substance that, after testing, was confirmed to be cocaine. The amount seized, according to the Police, represents approximately three million doses on the market.[13].
During 2021, fourteen workers at the seaport of Guayaquil were murdered.[14] The incidents were a series of murders of port workers who have received threats and been the target of attacks linked to drug trafficking. Violence against port workers has been a persistent problem, with fourteen officials murdered in recent years, revealing the constant threat faced by those who work in this industry in the region. [15][16][17].