War of words reignites between London Gateway and Felixstowe Port


London Gateway’s Commercial Manager makes case against using Felixstowe
The war of words between the developers of London Gateway and the Port of Felixstowe has been reignited once more following comments made by London Gateway’s Commercial Manager Peter Ward at a logistics networking event last week.

Speaking at the Logistics Leaders Network event at London Gateway, set to be the UK’s largest port when completed next year, Ward claimed that the DP World facility would prove to be a more attractive alternative to neighboring Felixstowe.

“Our promise is to provide 40 percent improvement in productivity compared with existing ports,” said Ward.

“This will be about increased schedule reliability leading to shorter transit times and compressed lead times compared with Felixstowe, especially in high wind situations when Felixstowe has to close.”

“Given our location, that will happen less often here,” he added.

Wards comments followed his claims that only Rotterdam and Antwerp were in direct competition with London Gateway, according to the IFW.

Earlier this month, Hutchison Ports, the owner of Felistowe Port, noted how when open London Gateway would be a “massive threat” to business.

The owners of London Gateway, DP World, are hoping that 3.5 million TEU will be handled annually by the facility located on the Thames Estuary.

Each year, the Ports of Antwerp and Rotterdam handle 10 million TEU and 15 million TEU respectively.

“The new 18,000 TEU vessels that London Gateway is designed for cost something like US$1 million per day to run, so we want to deliver the most efficient service possible and change some of the legacy practices in the industry,” said Ward.

“Without this extra capacity the UK risks turning into a feeder nation for Antwerp or Rotterdam, and the extra costs of transporting goods from those locations will ultimately mean higher costs for consumers in the UK.”

“We’re trying to persuade the industry to make London Gateway the bill of lading destination of choice and to avoid Rotterdam altogether,” added Ward.

The Logistics Leaders Network event also gave Ward the chance to announce that two ‘major household names’ were interested in the development of major warehouses at the logistics park adjacent to the London Gateway site.

London Gateway is scheduled to begin operations in the fourth quarter of 2013.

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