“It is in the national interest that our ports remain able to handle current UK trade and its potential development efficiently and sustainably.”

Former DETR Minister Robert Ainsworth MP, 30th January 2001.

In 2001, UK ports handled some 6.68 million TEUs (Twenty-foot Equivalent Units, the industry measure of capacity) of containers - an increase of 93.8% since 1990. Growth has been sustained during every year over this period, and current research suggests that the growth in container traffic will continue at between 3.7% and 4.7% per annum over the period 2000 to 2020 (Figure 1).
 
Growth has been most rapid in the direct deep-sea and transhipment sectors, which have increased their share of the total UK major ports market - comprising the UK's five main ports of Felixstowe, Southampton, Liverpool, Thamesport and Tilbury - from 75.6% in 1990 to 84.1% in 2001. This trend is set to continue and it is anticipated that between 5.36 and 5.66 million TEUs will be carried on deep-sea routes (that is, those directly linking the UK with non-European distant markets) through the major ports by 2010. Partly driven by these increases, the total container throughput of the major ports is forecast to increase by between 46% and 59% over the same period. Depending on the pace of UK economic growth, this will result in a total container throughput in the range of 7.80 to 8.47 million TEUs by 2010 at these ports.
 
 The UK Government has already recognised that some ports need to increase capacity to meet future demand, and stated in its policy paper that “the pressure for expansion is greatest at ports handling container and roll-on roll-off traffic.” (Modern Ports, DETR, 29th November 2000, Paragraph 2.4.6)
 
The increasing reliance of the global economy on international trade has resulted in container volumes growing nearly three times as quickly as GDP (Gross Domestic Product). Although this margin is forecast to narrow, container traffic is nevertheless forecast to be growing at over twice the level of GDP by 2015.
 

Bar graph
 
Figure 1: Major UK ports: Forecast base/low case container traffic
growth in the UK 2000/2020
UK deep-sea container port demand
 
By far the most significant trend in container flows has been the rapid surge in market share for the Far East trades. This has developed from 30.5% in 1992 to around 47.5% in 2001. Despite recent economic uncertainties, it is forecast that continued strong exports to Europe from the Far East will continue this trend.
 

Bar graph
 
Figure 2: Major UK ports: Total Container Port Demand by Type 1990/2000

In this sector, the consolidation of freight into ever-larger container vessels has been the most marked. To meet the increasing dominance of the very largest vessels in this trade, it will be necessary to invest in further deep-sea container handling capacity. Given current and anticipated new vessel ordering patterns, it is forecast that the proportion of UK direct deep-sea container port traffic handled in vessels over 6,500 TEUs will increase from 2.5% in 2000 to 30% in 2020. The deep-sea container shipping industry is considering vessels as large as 12,000 TEUs, for which designs currently exist.
 
 It is therefore essential that modern container ports are able to berth the largest container ships afloat with minimal delay. The new facility will be developed to a depth of 15 metres alongside the quay to accommodate these vessels. The new terminal will also share the same approach channel as the nearby Port of Felixstowe, which is already maintained by Harwich Haven Authority at a depth of 14.5 metres below chart datum - the deepest approach to any UK container port and one of the deepest in Europe. The location of Harwich International Port close to the existing deep-water approach channel means that only limited dredging will be required to secure access for the largest vessels.
 
The new facility will also be developed in keeping with Government policy of encouraging alternatives to road transport for freight. It is envisaged that approximately 20-30% of the Port's total container throughput will be transhipped within the Port. As these containers will be handled ship-to-ship, they will create no impact on the country's road network. It is also forecast that a similar proportion of inland movements to/from the Port will be by rail, thereby further reducing the number of containers on the UK's roads.
 
With 95% of the United Kingdom's trade arriving or leaving by sea, and much of the world's trade passing near our coasts, we cannot afford to let a lack of capacity affect this vital sector of the economy. It is essential that the UK is equipped with the right port facilities to service future trade, and this extension of Harwich International Port will provide the capacity needed to retain and build upon the existing custom, reaping the rewards for Harwich, the Eastern region and the UK as a whole.