THE IMPORTANCE OF THE THE IMPORTANCE OF THE

LOCATION OF A PORT IN LOCATION OF A PORT IN

THE LOGISTIC-CHAINTHE LOGISTIC-CHAIN..ZARATE, VISIT ON JANUARY 5 2009ZARATE, VISIT ON JANUARY 5 2009

OF MBA-STUDENTS OF OF MBA-STUDENTS OF THE TEXAS CHRISTIAN UNIVERSITY OF FORT THE TEXAS CHRISTIAN UNIVERSITY OF FORT WORTH, ACCOMPANIED BY DR. NANCY DIX, WORTH, ACCOMPANIED BY DR. NANCY DIX,

MMember of the ember of the Council of Supply Chain Management Council of Supply Chain Management ProfessionalsProfessionals

1

In 1989, a new port-bill was under discussion in In 1989, a new port-bill was under discussion in Congress, which would permit the Congress, which would permit the construction construction of private ports to operate with of private ports to operate with general cargogeneral cargo..

For the first time private ports would be For the first time private ports would be allowed to compete with the Port of Buenos allowed to compete with the Port of Buenos Aires. All parties were in favor.Aires. All parties were in favor.

Murchison decided to buy land Murchison decided to buy land with the with the intention to have it ready to eventually construct intention to have it ready to eventually construct a a private container-portprivate container-port. .

But in 1995, the multinational car-manufacturers of But in 1995, the multinational car-manufacturers of Brazil and Argentina, decided to start building certain Brazil and Argentina, decided to start building certain models in Brazil and others in Argentina. models in Brazil and others in Argentina.

2

The idea was to supply both countries, The idea was to supply both countries, from one plant in either country, that from one plant in either country, that would be selected to construct a certain would be selected to construct a certain model.model.

There were no There were no Car-terminalsCar-terminals in Arg, and in Arg, and these need much space. Therefore it was these need much space. Therefore it was decided in 1996 to start a Car-terminal decided in 1996 to start a Car-terminal first.first.

But the goal always has been to become one But the goal always has been to become one day an day an important container-terminalimportant container-terminal..

3

WHEN WE SPEAK TO WHEN WE SPEAK TO

STUDENTS IN ARGENTINA STUDENTS IN ARGENTINA

ABOUT PORTS, MANY LIKE ABOUT PORTS, MANY LIKE

TO HEAR A LITTLE BIT TO HEAR A LITTLE BIT

ABOUT “GENERATIONS OF ABOUT “GENERATIONS OF

PORTS”.PORTS”.SO LET US DO THIS FIRSTSO LET US DO THIS FIRST 4

1945 1960 1980 1995 2010

GENERAL CARGO BREAKBULK

FIRST Generation of Ports

Simple Interface Ship- Land

pallets-

Containers

SECOND

Generation SOME PORTS OFFER Transport and Distribution

Containers

THIRD GENERATION

Info.Techn.

International Platforms of Trade

Logístic-Centers.

C.F.S.

INDUSTRIES

4th GENERATION

INCREASED USE OF INFORMATION- TECNOLOGY

PORT COMMUNITY SYSTEMS

Ports provide Integrated

Logístics

Services

2001-2003 5TH GENERATION

FOR SECURITY REASONS.

ADVANCED

USE OF I.C.T.

(INFORMATION AND COMMUNICATION TECHNOLOGY)

SATELLITES-G.P.S.

PORTS PARTICIPATE IN SATELLITE TRACKING of the cargo they generate.

EVOLUTION OF PORTS: 1945 TO 2010 : 5 GENERATIONS

Much D/D, Few Sheds, mostly for Customs or Shipping-lines pre-reception / delivery after sailing.

More Sheds.SOME BIGDISTRIBUTION CENTRES.

5

SOME STUDENTS WISH US TO GIVE A SOME STUDENTS WISH US TO GIVE A DEFINITION OF OUR PORT.DEFINITION OF OUR PORT.

BUT FOR US IT IS NOT IMPORTANT, BUT FOR US IT IS NOT IMPORTANT, WHICH WHICH DEFINITION FITS BESTDEFINITION FITS BEST FOR THIS FOR THIS PORT, OR TO WHAT PORT, OR TO WHAT “GENERATION”“GENERATION” IT IT BELONGS. BELONGS.

THE MOST IMPORTANT QUESTION IS: THE MOST IMPORTANT QUESTION IS: IS THIS PORT ABLE TO FULFIL ITS IS THIS PORT ABLE TO FULFIL ITS

FUNCTION AS AN FUNCTION AS AN “EFFICIENT “EFFICIENT LINK” LINK” IN THE IN THE SUPPLY- CHAINSSUPPLY- CHAINS OF OF THE THE HINTERLANDHINTERLAND WE INTEND TO WE INTEND TO SERVE ?SERVE ?

6

““LOGÍSTICA” IN ARGENTINALOGÍSTICA” IN ARGENTINA IN ARGENTINA WE TALK A LOT ABOUT IN ARGENTINA WE TALK A LOT ABOUT

“LOGISTICS” “LOGISTICS” : : “LOGISTIC CHAINS” / “ZONES OF LOGISTIC “LOGISTIC CHAINS” / “ZONES OF LOGISTIC ACTIVITIES” / “LOGISTICS COMPANIES” , AND SO ON : ACTIVITIES” / “LOGISTICS COMPANIES” , AND SO ON :

– MR. SANCHEZ, WHO HAS THREE , 15 YR OLD MR. SANCHEZ, WHO HAS THREE , 15 YR OLD TRUCKS AND A LEAKING OLD WAREHOUSE OF TRUCKS AND A LEAKING OLD WAREHOUSE OF 2000 SQM, GRACEFULLY CALLS HIS COMPANY: 2000 SQM, GRACEFULLY CALLS HIS COMPANY: “COMPAÑÍA LOGÍSTICA SANCHEZ”. (SANCHEZ “COMPAÑÍA LOGÍSTICA SANCHEZ”. (SANCHEZ LOGISTICS)LOGISTICS)

ALTHOUGH MR. SANCHEZ ALTHOUGH MR. SANCHEZ MAY BE A 3PL, MAY BE A 3PL, I CONSIDER THAT I CONSIDER THAT BY CALLING HIS COMPANY “SANCHEZ LOGISTICS”, HE BY CALLING HIS COMPANY “SANCHEZ LOGISTICS”, HE MIGHT CONFUSE MANY PEOPLE ABOUT WHAT “LOGISTICS” MIGHT CONFUSE MANY PEOPLE ABOUT WHAT “LOGISTICS” REALLY MEANS, IT IS NOT JUST REALLY MEANS, IT IS NOT JUST TRUCKS AND WAREHOUSESTRUCKS AND WAREHOUSES..

THEREFORE I ALWAYS TRY TO GIVE A GENERAL PICTURE THEREFORE I ALWAYS TRY TO GIVE A GENERAL PICTURE OF WHAT “LOGISTICS” USUALLY EMBRACE, OF WHAT “LOGISTICS” USUALLY EMBRACE, MAKING CLEAR MAKING CLEAR THAT IT IS NOT INTENDED AS A DEFINITIONTHAT IT IS NOT INTENDED AS A DEFINITION. .

7

““LOGISTICS” IS THE MANAGEMENT OF LOGISTICS” IS THE MANAGEMENT OF THE FLOW OF THE FLOW OF GOODS, INFORMATION & GOODS, INFORMATION & RESOURCES, RESOURCES, THAT STARTS AT THE THAT STARTS AT THE MOMENT IT MOMENT IT IS PLANNED TO BUY A BASIC IS PLANNED TO BUY A BASIC OR FINISHED PRODUCT , OR FINISHED PRODUCT ,

AND AND CONTINUES THROUGH ALL THE CONTINUES THROUGH ALL THE PHASES OF SUPPLY, PRODUCTION, PHASES OF SUPPLY, PRODUCTION, DISTRIBUTION AND SALESDISTRIBUTION AND SALES..

THIS GLOBAL MANAGEMENT MUST THIS GLOBAL MANAGEMENT MUST ASSURE THE BEST RESULTS THRU ALL ASSURE THE BEST RESULTS THRU ALL THESE PHASES,THESE PHASES,

AND MUST MAKE SURE THAT THE AND MUST MAKE SURE THAT THE PRODUCTS ARE AVAILABLE AT THE PRODUCTS ARE AVAILABLE AT THE RIGHT MOMENT AND PLACE,RIGHT MOMENT AND PLACE, 8

THIS MEANS, WHEN THE PRODUCT IS THIS MEANS, WHEN THE PRODUCT IS NEEDED IN THE PRODUCTION-LINE OR AT A NEEDED IN THE PRODUCTION-LINE OR AT A PLACE OF SALE,PLACE OF SALE,

WITH THE REQUIRED AND MOST ECONOMIC WITH THE REQUIRED AND MOST ECONOMIC PACKAGING,PACKAGING,

UNITIZED AS NEEDED, IN ORDER TO PERMIT UNITIZED AS NEEDED, IN ORDER TO PERMIT APPROPIATE HANDLING DURING THE APPROPIATE HANDLING DURING THE INDIVIDUAL CHAINS,INDIVIDUAL CHAINS,

TO BE TRANSPORTED AT THE LOWEST TO BE TRANSPORTED AT THE LOWEST COSTS, TAKING INTO ACCOUNT THE COSTS, TAKING INTO ACCOUNT THE FINANCIAL COSTS FINANCIAL COSTS OF TRANSPORTATION,OF TRANSPORTATION,

INCURRING THE LEAST POSSIBLE COSTS OF INCURRING THE LEAST POSSIBLE COSTS OF WAREHOUSING & TO HAVE THE LOWEST WAREHOUSING & TO HAVE THE LOWEST POSSIBLE COSTS OF INVENTORY. POSSIBLE COSTS OF INVENTORY.

9

IT IS IMPORTANT TO BE ALWAYS IT IS IMPORTANT TO BE ALWAYS ALERT, TO AVOID THAT SOMETHING ALERT, TO AVOID THAT SOMETHING GOES WRONG.GOES WRONG.

GOOD LOGISTIC-MANAGEMENT CAN GOOD LOGISTIC-MANAGEMENT CAN ONLY BE ACHIEVED, WITH A WELL-ONLY BE ACHIEVED, WITH A WELL-STUDIED SYSTEM OF DISTRIBUTION-STUDIED SYSTEM OF DISTRIBUTION-CENTERS, CENTERS,

““WHERE AND HOW MUCH”.WHERE AND HOW MUCH”. A COMPANY A COMPANY ( OR A COUNTRY) ( OR A COUNTRY) WITH WITH

GOOD LOGISTICS, IS A COMPETITIVE GOOD LOGISTICS, IS A COMPETITIVE COMPANY COMPANY (OR A COMPETITIVE COUNTRY).(OR A COMPETITIVE COUNTRY).

10

GOOD “LOGISTIC-CHAINS” NEED GOOD “LOGISTIC-CHAINS” NEED EFFICIENT TRANSPORT-NETWORKSEFFICIENT TRANSPORT-NETWORKS,,

AND THOSE NETWORKS NEED AND THOSE NETWORKS NEED EFFICIENT TERMINALS EFFICIENT TERMINALS FOR THE FOR THE INTERCHANGES BETWEEN MODES,INTERCHANGES BETWEEN MODES,

GOOD “LOGISTIC-CHAINS” ALSO NEED GOOD “LOGISTIC-CHAINS” ALSO NEED THE APPLICATION OF THE APPLICATION OF “INFORMATION AND COMMUNICATION “INFORMATION AND COMMUNICATION TECHNOLOGIES” TECHNOLOGIES” FOR EFFICIENT FOR EFFICIENT COMMUNICATIONS BETWEEN ALL COMMUNICATIONS BETWEEN ALL THE INTERVENING PARTIES. THE INTERVENING PARTIES.

11

““LOGISTIC-COSTS”:LOGISTIC-COSTS”: OFTEN IT IS TRIED TO COMPARE OFTEN IT IS TRIED TO COMPARE

“LOGISTIC-COSTS” OF COUNTRIES, BUT “LOGISTIC-COSTS” OF COUNTRIES, BUT THERE IS NO UNIFORM CRITERION AND THERE IS NO UNIFORM CRITERION AND NOT ALWAYS DO THEY INCLUDE THE NOT ALWAYS DO THEY INCLUDE THE SAME COSTS.SAME COSTS.

MOREOVER VERY FEW COUNTRIES HAVE MOREOVER VERY FEW COUNTRIES HAVE GOOD STATISTICS THAT ALLOW ITS GOOD STATISTICS THAT ALLOW ITS CALCULATION, especially costs of stock. CALCULATION, especially costs of stock.

BUT BUT TRANSPORTATION-COSTS TRANSPORTATION-COSTS AND AND PORT-PORT-COSTS ARE ALWAYS COSTS ARE ALWAYS AN IMPORTANT AN IMPORTANT PART OF THE TOTAL COSTS IN THE PART OF THE TOTAL COSTS IN THE SUPPLY-CHAIN.SUPPLY-CHAIN.

VERY OFTEN THESE COSTS DECIDE IF A VERY OFTEN THESE COSTS DECIDE IF A COUNTRY IS COMPETITIVE OR NOT.COUNTRY IS COMPETITIVE OR NOT.

12

GLOBALIZATION :GLOBALIZATION : WE ARE ALWAYS REMINDED THAT WE WE ARE ALWAYS REMINDED THAT WE

LIVE IN THE ERA OF GLOBALIZATION, LIVE IN THE ERA OF GLOBALIZATION, WHICH HAS CREATED A FIERCE WHICH HAS CREATED A FIERCE

WORLDWIDE COMPETITION,WORLDWIDE COMPETITION, WHICH OBLIGES ALL COUNTRIES TO WHICH OBLIGES ALL COUNTRIES TO

CREATE CREATE EFFICIENTEFFICIENT SUPPLY CHAINSSUPPLY CHAINS,, WITHIN THESE CHAINS, WITHIN THESE CHAINS, PORTSPORTS MUST MUST

FUNCTION AS FUNCTION AS “INTERMODAL NODES”“INTERMODAL NODES”– IN THE PAST PORTS HAD THEIR OWN CAPTIVE IN THE PAST PORTS HAD THEIR OWN CAPTIVE

HINTERLAND. HINTERLAND. ALL GENERAL CARGO COMING ALL GENERAL CARGO COMING INTO OR LEAVING ARGENTINA, WENT THRU INTO OR LEAVING ARGENTINA, WENT THRU THE PORT OF BUENSO AIRES.THE PORT OF BUENSO AIRES.

– NOW OVER NOW OVER 52%52% OF THE MOVEMENTS OF THE OF THE MOVEMENTS OF THE PORT OF PORT OF MONTEDEO IS ARGENTINE CARGO.MONTEDEO IS ARGENTINE CARGO.

13

NOW PORTS ARE JUDGED ACCORDING NOW PORTS ARE JUDGED ACCORDING

TO THEIR POSITION IN THE SUPPLY- TO THEIR POSITION IN THE SUPPLY-

CHAIN CHAIN AND THE TOTAL COSTS THAT AND THE TOTAL COSTS THAT

ARE GENERATED FROM ARE GENERATED FROM “ORIGIN TO “ORIGIN TO

DESTINATION”.DESTINATION”.

14

IN ORDER TO KNOW HOW A PORT IN ORDER TO KNOW HOW A PORT WILL BE ABLE TO FULFIL ITS WILL BE ABLE TO FULFIL ITS MISSION IN THE “SUPPLY-CHAIN”, MISSION IN THE “SUPPLY-CHAIN”, ONE MUST KNOW : ONE MUST KNOW :

WHAT TRANSPORTATION-WHAT TRANSPORTATION-NETWORKS ARE AVAILABLE (OR NETWORKS ARE AVAILABLE (OR CAN REASONABLY BE EXPECTED ) CAN REASONABLY BE EXPECTED ) IN THE PROPOSED HINTERLAND,IN THE PROPOSED HINTERLAND,

ROADS,ROADS, RAILWAYS,RAILWAYS, RIVER-TRANSPORT.RIVER-TRANSPORT.

15

PAMPA HUMEDA - AGRICULTURE

CATTLE-BREEDING,AGRO-INDUSTRIES.INDUSTRIAL BELT

SEE POSITION T.Z.

IN THE HEART OF THEZONE OF MAJOR

ECONOMIC ACTIVITIES.

THE CENTRE OF ARG. GENERATES THE MOST

IMPORTANT MOVEMENTS OF

CARGOES.

DOMESTIC CARGOES, IMPORTS, EXPORTS,

CONTAINERS.KEEP THIS IN MIND

WHEN WE SHOW THE MAPS OF ROADS AND

RAILWAYS.

FISHING

FRUIT-EXP

16

NOTE THE IMPORTANT

RIVER PARANA ,NAVEGABLE WITH

34 FT TILL ROSARIO.

MOST EXPORT- PRODUCTS HAVE

THEIR ORIGIN TO THE NORTH AND TO THE WEST OF THE PORT OF BUENOS AIRES.

IDEM DESTINATIONS OF

IMPORTS 17

THE PORT-SYSTEM OF THE RIVER PLATE &

PARANA –RIVER IS THE MOST IMPORTANT OF

THE 3 SYSTEMS. ( 2 OTHERS: ATLANTIC /

PATAGONIAN PORTS).OLD PORTS IN CITY-

CENTRES

SANTA FE / ROSARIO

BUENOS AIRES, LA PLATA.

•IMPORTANT NEW TERMINALS OUTSIDE CITIES ON THE RIGHT BANK OF THE RIVER PARANA :

• GRAIN ROSARIO

•TIMBUES (N), PUNTA ALVEAR ( S OF ROSARIO)

• GENERAL CARGO AND CONTAINERS

•ZARATE-CAMPANA2022018

FISHING

1919

TRADITIONAL EXPORT-TRADITIONAL EXPORT-PRODUCTSPRODUCTS

PRODUCTPRODUCT ORIGINORIGIN DISTANCE- B.A. DISTANCE- B.A.

BEANSBEANS/TOBACCO /TOBACCO SALTA -JUJUYSALTA -JUJUY 1.600 KM1.600 KM

WOODPROD.WOODPROD. MISIONES/FOR MISIONES/FORM M 1.200 KM1.200 KM TEATEA MISIONES/CORR MISIONES/CORR 1.200 KM1.200 KM TOBACCO MISIONES/CORR TOBACCO MISIONES/CORR 1.200 KM1.200 KM

COTTONCOTTON CHACOCHACO 1.000 KM1.000 KM WINEWINE/FRUIT/FRUIT MENDOZAMENDOZA 1.000 KM1.000 KM

PEANUTSPEANUTS CORDOBACORDOBA 700 KM700 KM

20

WITH SUCH LONG WITH SUCH LONG DISTANCES, THE COUNTRY DISTANCES, THE COUNTRY

SHOULD HAVE SHOULD HAVE “INTERMODAL POLICIES”, “INTERMODAL POLICIES”,

WHICH REQUIRE AN WHICH REQUIRE AN INTERMODAL NETWORK, INTERMODAL NETWORK, INTEGRATED WITH THE INTEGRATED WITH THE

PORTSPORTS. . 21

COMPETITIVE COUNTRIES COMPETITIVE COUNTRIES DO STUDIES AND COMPARE DO STUDIES AND COMPARE TOTAL TOTAL COSTSCOSTS OF EACH OF EACH

MODE: MODE: ROADROAD, , RAIL OR BY WATERRAIL OR BY WATER..– TAKE INTO ACCOUNT COSTS OF CONSTRUCTION – MAINTENANCE - TAKE INTO ACCOUNT COSTS OF CONSTRUCTION – MAINTENANCE -

OPERATION – ESPECIALLY FUEL-CONSUMPTION,OPERATION – ESPECIALLY FUEL-CONSUMPTION,

– ESTIMATE COSTS TO CONSTRUCT HIGHWAYS, RAILWAYS, ESTIMATE COSTS TO CONSTRUCT HIGHWAYS, RAILWAYS, CHANNELS AND INTERFACES, CHANNELS AND INTERFACES,

» TAKE PRICES OF TRUCKS AND TRAILERS, LOCOMOTIVES AND TAKE PRICES OF TRUCKS AND TRAILERS, LOCOMOTIVES AND WAGONS, TUGS AND BARGES, ETC, INTO ACCOUNT,WAGONS, TUGS AND BARGES, ETC, INTO ACCOUNT,

» ESTIMATE COSTS OF MAINTENANCE AND LIFE-CYCLE OF EACH ESTIMATE COSTS OF MAINTENANCE AND LIFE-CYCLE OF EACH ELEMENT, ELEMENT,

» CALCULATE COSTS OF EACH OPERATION: PERSONNEL, CALCULATE COSTS OF EACH OPERATION: PERSONNEL, HANDLING-COSTS IN THE TOTAL CHAIN, HANDLING-COSTS IN THE TOTAL CHAIN,

» AND ALSO INCLUDE AND ALSO INCLUDE “EXTERNAL COSTS”, ACC. “EXTERNAL COSTS”, ACC. ENVIRONMENT ETCENVIRONMENT ETC. .

» THIS MEANS THAT THEY CONSIDER ALL THE COST- THIS MEANS THAT THEY CONSIDER ALL THE COST- COMPONENTS INHERENT TO EACH MODE.COMPONENTS INHERENT TO EACH MODE.

IN OTHER WORDS, THEY CALCULATE WHAT IN OTHER WORDS, THEY CALCULATE WHAT THE WHOLE COMMUNITY FINALLY PAYS FOR THE WHOLE COMMUNITY FINALLY PAYS FOR A TRANSPORT IN EACH MODE.A TRANSPORT IN EACH MODE.

22

100 km100 km

ROADROAD

GRAPH OF A STUDY IN HOLLANDGRAPH OF A STUDY IN HOLLAND

INLAND WATERWAYSINLAND WATERWAYSRAIL

268 km*268 km*200 km *200 km *

ENERGY-CONSUMPTIONENERGY-CONSUMPTION PRODUCTION OF GASSES PRODUCTION OF GASSES

WITH THE SAMEWITH THE SAMEAMOUNT OF AMOUNT OF

ENERGY:ENERGY:

** LITTLE ** LITTLE COUNTRY.COUNTRY.

BIGGER BIGGER COUNTRIES COUNTRIES

SHOW SHOW MUCH MUCH

HIGHERHIGHERADVANTAGES ADVANTAGES FOR RR AND FOR RR AND WATERWAYS WATERWAYS

•INITIAL / FINAL INITIAL / FINAL TRANSP.TRANSP.

23

WHAT DO WE COMPARE ?WHAT DO WE COMPARE ? IN ARG. IN ARG. NOBODYNOBODY COMPARES COMPARES COSTSCOSTS. . HERE WE COMPARE HERE WE COMPARE TARRIFFS / CHARGESTARRIFFS / CHARGES, ,

FOR INSTANCE WHAT A TRUCKER CHARGES FOR INSTANCE WHAT A TRUCKER CHARGES

TO BRING A LOAD OF BAGGED PEANUTS FROM TO BRING A LOAD OF BAGGED PEANUTS FROM CORDOBA, WITH WHAT THE RAILWAY- CORDOBA, WITH WHAT THE RAILWAY- COMPANY COMPANY N.C.AN.C.A. CHARGES.. CHARGES.

TRUCK: SUBSIDIZED FUEL, AVERAGE > 15 YRS, TRUCK: SUBSIDIZED FUEL, AVERAGE > 15 YRS, WEIGHT/POWER , ACCIDENTS, OVERLOADED.WEIGHT/POWER , ACCIDENTS, OVERLOADED.

THIS THIS COMPARISON GIVES ACOMPARISON GIVES A FALSE IMAGE AND FALSE IMAGE AND CONFUSES : IT DOES NOT REFLECT THE FINAL CONFUSES : IT DOES NOT REFLECT THE FINAL PRICE THAT IS PAID BY THE WHOLE PRICE THAT IS PAID BY THE WHOLE “COMMUNITY”“COMMUNITY” , INCLUDING ALL ELEMENTS , INCLUDING ALL ELEMENTS THAT COMPOSE THE FINAL COST OF THAT COMPOSE THE FINAL COST OF TRANSPORT, WHICH WE SAW BEFORE.TRANSPORT, WHICH WE SAW BEFORE.

24

HERE “INTERMODALISM” IS HERE “INTERMODALISM” IS A “SLOGAN” , NOT A A “SLOGAN” , NOT A

“POLICY”“POLICY” THERE IS MUCH THERE IS MUCH TALKTALK THAT THAT

INTERMODAL TRANSPORT SHOULD BE INTERMODAL TRANSPORT SHOULD BE FAVORED, BUT NOTHING IS DONE.FAVORED, BUT NOTHING IS DONE.

REAL TRANSPORT-POLICIESREAL TRANSPORT-POLICIES EFFECTUALLY PROMOTE THE MOST EFFECTUALLY PROMOTE THE MOST ECONOMIC MODES,ECONOMIC MODES,

WHICH EVERYBODY KNOWS:WHICH EVERYBODY KNOWS: COASTAL NAVEGATION AND INLAND COASTAL NAVEGATION AND INLAND

WATERWAYS, WATERWAYS, AND RAILWAYS.AND RAILWAYS.

25

ACCESES TO PORTS: A ACCESES TO PORTS: A FUNDAMENTAL PART OF FUNDAMENTAL PART OF

A PORT-SYSTEM.A PORT-SYSTEM. MODERN CONCEPT: A PORT WITHOUT MODERN CONCEPT: A PORT WITHOUT

EFFICIENT RAIL-CONNECTIONS ISEFFICIENT RAIL-CONNECTIONS IS NOT AN NOT AN EFFICIENT PORT. EFFICIENT PORT.

NEITHER IS A PORT EFFICIENT IF ITS NEITHER IS A PORT EFFICIENT IF ITS ROAD-ACCESSES ARE NOT EFFICIENT.ROAD-ACCESSES ARE NOT EFFICIENT.

THE NEW PRIVATE TERMINALS IN THIS THE NEW PRIVATE TERMINALS IN THIS REGION (CAMPANA-ZARATE) CAN EASILY REGION (CAMPANA-ZARATE) CAN EASILY PROVE THEIR ADVANTAGES COMPARED PROVE THEIR ADVANTAGES COMPARED WITH THE PORT OF BUENOS AIRES.WITH THE PORT OF BUENOS AIRES.

26

THE PORT OF BUENOS AIRES IS TOTALLY “STRANGLED” BY 12 MILLION PEOPLE.SUCH A PORT CAN NEVER HAVE EFFICIENT ACCESSES

27

THIS PICTURE , WHICH SHOWS THE SAME FROM ALL ANGLES, TELLS MORE THAN A BOOK.

28AMPLE POSSIBILITIES TO EXPAND.

KM 91

7 KMN.C.AN.C.A.

2 BERTHS / 2 S-T-S-CRANES

PHOTO 2001 ACCESSES TERMINAL ZARATE ““PANAMERICANA” OVER WHICH MOST EXPO & IMPO TRAVEL .PANAMERICANA” OVER WHICH MOST EXPO & IMPO TRAVEL .

28

29

T.I.LT.I.L33 hect.33 hect.

10.000 SQM

2 tracks

x650 m N.C.A.

1 km

STEEP SLOPESTEEP SLOPE

22 tracks xtracks x550 m550 m

2 x 1200 m2 x 1200 m

120 hect120 hect

T.I.L T.I.L CAN OPERATE CAN OPERATE With TRAINS OFWith TRAINS OF

1200 m length1200 m length

TERMINAL ZARATE & THE INTERMODAL- TERMINAL. TERMINAL ZARATE & THE INTERMODAL- TERMINAL. PHOTO later in 2001PHOTO later in 2001

↕

+40 HECT.

+28 hectares

HANDELSVEEM

MAPA ESC 1:2.500.000

30

70 / 75 %

3131

SO WHY ZARATE ?SO WHY ZARATE ? ITS ITS POSITION,POSITION, CHEAP LAND CHEAP LAND WITH WITH

EXISITING ROAD / EXISITING ROAD / IMPORTANT INDUSTRIAL IMPORTANT INDUSTRIAL PARKPARK, , WITH COMMITMENT OF THE PROVINCE WITH COMMITMENT OF THE PROVINCE

OF B. A. TO MAINTAIN OF B. A. TO MAINTAIN .. CLOSE TO PRINCIPAL RAILWAY-NETW.CLOSE TO PRINCIPAL RAILWAY-NETW. ENERGY SUPPLY AVAILABLE FOR CRANES, ENERGY SUPPLY AVAILABLE FOR CRANES,

REEFER-CONT. ETC. REEFER-CONT. ETC. GOOD “LABOR-FORCE - SOCIAL GOOD “LABOR-FORCE - SOCIAL

ENVIRONMENT” / SCHOOLS. ENVIRONMENT” / SCHOOLS. RIVER “SELF-DREDGING”. RIVER “SELF-DREDGING”. NATURAL DRAFT 35’ AT THE NATURAL DRAFT 35’ AT THE

FOOT OF THE PIER. FOOT OF THE PIER. (COFFEE-BREAK(COFFEE-BREAK))

32

ROADS (SHIELDS) MOST ROADS (SHIELDS) MOST PARALLEL TO RAIL-RDS PARALLEL TO RAIL-RDS BELGRANO BLUE 1,00 mBELGRANO BLUE 1,00 m+ /- 7.200 KM TRACKS, + /- 7.200 KM TRACKS, MOSTLY IN POOR MOSTLY IN POOR CONDITIONS. CONDITIONS. RECENTLY TAKEN BACK RECENTLY TAKEN BACK BY THE STATE. BY THE STATE. Privately operated railwaysPrivately operated railways

A.L.L. (MESOP.) A.L.L. (MESOP.) 1.435 mm 1.435 mm

A.L.L. CENTRO 1.676 mm A.L.L. CENTRO 1.676 mm

BS.AS. – CUYO (PINK)BS.AS. – CUYO (PINK)

N.C.A. (YELLOW) 1.676 mmN.C.A. (YELLOW) 1.676 mm

NCA: TUCUMÁNNCA: TUCUMÁN – Santiago – Santiago del ESTERO – del ESTERO – ROSARIOROSARIO , , S. del ESTERO – S. del ESTERO – CORDOBA -CORDOBA -ROSARIOROSARIO

FROM ROSARIO FROM ROSARIO N.C.AN.C.A.. FOLLOWS THE COAST OF FOLLOWS THE COAST OF THE PARANA-RIVER . THE PARANA-RIVER . 33

MAP made in 2001 by MURCHISON with RIVER, ROADS & RAILWAY-SYSTEM OF THE NORTH AND WEST

ANDES

The Govnmt should make this.The Govnmt should make this.

N.C.A and A.L.L. N.C.A and A.L.L. CONNECT just CONNECT just

below ROSARIO below ROSARIO AND FORM AND FORM A A SYSTEM THAT SYSTEM THAT

CONNECTS THE CONNECTS THE IMPORTANT IMPORTANT

ZONE OF THE ZONE OF THE CENTRE AND THE CENTRE AND THE

WEST WITH WEST WITH POPORRTS TS OF THE OF THE

PPARANA. ARANA.

SEE NEXT MAP SEE NEXT MAP FOR ZARATE- FOR ZARATE-

BUENOS AIRES.BUENOS AIRES.

3535

PASSENGER-RAILWAYS IN RED A.L.L.

A.L.L.N.C.A.

BELGRANO

CONFLICTS OF INTERESTSCONFLICTS OF INTERESTS EVERYWHERE WHERE HEAVY AND EVERYWHERE WHERE HEAVY AND

SLOW FREIGHT- TRAINS HAVE TO SHARE SLOW FREIGHT- TRAINS HAVE TO SHARE THE TRACKS WITH PASSENGER- TRAINS, THE TRACKS WITH PASSENGER- TRAINS, A CONFLICT OF INTEREST IS CREATED.A CONFLICT OF INTEREST IS CREATED.

THIS HAPPENS EVEN IN THE U.S.A., THIS HAPPENS EVEN IN THE U.S.A., WHICH HAS THE BEST RAILWAY-WHICH HAS THE BEST RAILWAY-SYSTEM OF THE WORLD.SYSTEM OF THE WORLD.

ANOTHER EXAMPLE CLOSEBY CAN BE ANOTHER EXAMPLE CLOSEBY CAN BE FOUND IN GREATER SAO PAULO -FOUND IN GREATER SAO PAULO -BRAZIL.BRAZIL.

IN THE CASE OF THE PORT OF BS. AS, IT IN THE CASE OF THE PORT OF BS. AS, IT PUTS THE FREIGHT-RAILWAYS NEARLY PUTS THE FREIGHT-RAILWAYS NEARLY OUT OF THE COMPETITION.OUT OF THE COMPETITION.

36

METROPOLITAN INTERESTSMETROPOLITAN INTERESTS IMPROVE PUBLIC TRANSP. FOR IMPROVE PUBLIC TRANSP. FOR PASSENGERS.PASSENGERS.

INCREASEINCREASE FREQUENCIES, FREQUENCIES, INCREASEINCREASE SPEED OF TRAINS. SPEED OF TRAINS.

TRY TO STOP THE TREMENDOUS INCREASE OF TRY TO STOP THE TREMENDOUS INCREASE OF CARS ENTERING THE CITY EVERY DAYCARS ENTERING THE CITY EVERY DAY..

CONFLICTSCONFLICTS:: SLOW AND HEAVY FREIGHT-TRAINS SLOW AND HEAVY FREIGHT-TRAINS INTERFERE / PRODUCE MAJOR WEAR OF TRACKSINTERFERE / PRODUCE MAJOR WEAR OF TRACKS FREQUENT DERAILMENTS / DELAYS / ACCIDENTSFREQUENT DERAILMENTS / DELAYS / ACCIDENTS

METROPOL. RAILWAYS IMPOSE METROPOL. RAILWAYS IMPOSE RESTRICTIONS :RESTRICTIONS : TIME-WINDOWS / NUMBER OF AXLES / 40 WAGONSTIME-WINDOWS / NUMBER OF AXLES / 40 WAGONS

IN THE PORT AGP / SEPARATED TERMINALS / IN THE PORT AGP / SEPARATED TERMINALS / CUSTOMS-CONTROL / TRANSPORT RETIRO – PORT & CUSTOMS-CONTROL / TRANSPORT RETIRO – PORT & v.v. BY TRUCK WITH HIGH EXTRA v.v. BY TRUCK WITH HIGH EXTRA COSTS. COSTS.

HARD FOR RAILWAYS TO COMPETE WITH HARD FOR RAILWAYS TO COMPETE WITH TRUCKS, EVEN OVER LONG DISTANCES.TRUCKS, EVEN OVER LONG DISTANCES. 37

INFORMATION N.C.AINFORMATION N.C.A TUCUMAN – ROSARIO TERMINAL 6 : 880 KM. TUCUMAN – ROSARIO TERMINAL 6 : 880 KM. TRACKS REPAIRED (p. BAJO LA ALUMBRERA)TRACKS REPAIRED (p. BAJO LA ALUMBRERA) ONE-TRACK SYSTEM (11 ONE-TRACK SYSTEM (11 CROSSING-ZONES OF 1,5 KM CROSSING-ZONES OF 1,5 KM

EACH) EACH)

2 LOCOs PULL 2 LOCOs PULL 7474 WAGONS WAGONS 3.700 TONS CARGO3.700 TONS CARGO TOTAL CONVOY TOTAL CONVOY 1.1001.100 metres. metres. SPEED. 30 km/hrSPEED. 30 km/hr SECTOR CORDOBA - ROSARIO - ZARATESECTOR CORDOBA - ROSARIO - ZARATE

– MAX. MAX. 6060 WAGONS PULLED BY 1 LOCOMOTIVE WAGONS PULLED BY 1 LOCOMOTIVE– IMPROVEMENTS PLANNED.IMPROVEMENTS PLANNED.

ZARATE – RETIROZARATE – RETIRO– MAXIMUM MAXIMUM 4040 WAGONS / RETIRO-PORT BY TRUCK WAGONS / RETIRO-PORT BY TRUCK

THIS EXPLAINS WHY FREIGHT- TRAINS LOSE THIS EXPLAINS WHY FREIGHT- TRAINS LOSE COMPETITIVITY WHEN ENTERING BS AS.COMPETITIVITY WHEN ENTERING BS AS.

38

CAMPANA-ZARATE16 SPECIALIZED TERMINALS

CONTAINERS / CARS / PIPES / FRUIT / FOREST-PRODUCTS / CHEMICALS.

STRATEGIC ZONEWITH EXCELLENT

LOGISTICSSERVICES 39

T.Z: UPRIVER T.Z: UPRIVER 60 MILES UPRIVER FROM ENTRANCE TO 60 MILES UPRIVER FROM ENTRANCE TO

THE B.A. PORT-CHANNEL THE B.A. PORT-CHANNEL 52 MILES EXTRA STEAMING 4 / 5 HRS52 MILES EXTRA STEAMING 4 / 5 HRS RIVER 350 M / RIVER 350 M / IF VSL DOCKS PORTSIDE-TO, NO TUG BOAT IF VSL DOCKS PORTSIDE-TO, NO TUG BOAT

IS NECESARRY. FOR DEPARTURE NONE OR 1. IS NECESARRY. FOR DEPARTURE NONE OR 1.

COMPARED TO B.A.: COMPARED TO B.A.: PILOTAGE-COSTS ARE HIGHER. PILOTAGE-COSTS ARE HIGHER. TUGBOAT-COSTS AND PORT-DUES ARE TUGBOAT-COSTS AND PORT-DUES ARE

LOWER ,LOWER , OVERALL PORT-COSTS ARE LOWER AT T.Z.OVERALL PORT-COSTS ARE LOWER AT T.Z.

40

TERMINAL ZARATE:TERMINAL ZARATE:PORT AND RAIL-TERMINALPORT AND RAIL-TERMINAL INTEGRATED SYSTEM :INTEGRATED SYSTEM : ““PORT TERMINAL”PORT TERMINAL” 120 HECTARES / 300 ACRES:120 HECTARES / 300 ACRES: ““RAIL-TRANSFER AND LOGISTICS / T.I.L”RAIL-TRANSFER AND LOGISTICS / T.I.L” 33 HECTARES / 82 ACRES, 33 HECTARES / 82 ACRES, ONLY PORT IN THE COUNTRY WITH OWN ONLY PORT IN THE COUNTRY WITH OWN

“NEAR - DOCK” TRANSFER-TERMINAL.“NEAR - DOCK” TRANSFER-TERMINAL. CLOSE TO MAIN MOTORWAYS/ RAILWAYS CLOSE TO MAIN MOTORWAYS/ RAILWAYS AWAY FROM URBAN TRAFFIC.AWAY FROM URBAN TRAFFIC.

41

ONE PORT, ONE PORT, TWO SPECIALIZED TWO SPECIALIZED

TERMINALSTERMINALS

CONTAINER TERMINAL PHASE ONE: CONTAINER TERMINAL PHASE ONE:

10 HECT + 50 HECT FOR EXPANSION.10 HECT + 50 HECT FOR EXPANSION.

CAR-DIVISION OVER 90 HECTARES CAR-DIVISION OVER 90 HECTARES PORT : 1.000 m BORDERING RIVER x 1.200 m PORT : 1.000 m BORDERING RIVER x 1.200 m 3 BERTHS / ROOM FOR 2 MORE. 3 BERTHS / ROOM FOR 2 MORE. NATURAL DRAFT 35’. (34’ RESTR. R. PLATE)NATURAL DRAFT 35’. (34’ RESTR. R. PLATE) NO NEED TO DREDGE. NO NEED TO DREDGE.

42

2003

43

200344

20034545

2004200446

First shed

2008 47

ADVANTAGES TERM. ZARATEADVANTAGES TERM. ZARATE PROVEN STRATEGIC POSITION,PROVEN STRATEGIC POSITION, EXCELLENT EXCELLENT ROADROAD CONNECTIONSCONNECTIONS, OUTSIDE , OUTSIDE

OF URBAN ZONES,OF URBAN ZONES, EXCELLENT EXCELLENT RAILRAIL CONECTIONS WITH CONECTIONS WITH

DIRECT LINK TO TRUNK-SYSTEMDIRECT LINK TO TRUNK-SYSTEM N.C.A. & N.C.A. & A.L.L. - CENTRAL / FFCC-BELGRANOA.L.L. - CENTRAL / FFCC-BELGRANO

LOWER TRANSPORT COSTS FOR MOST LOWER TRANSPORT COSTS FOR MOST EXPORT- AND IMPORT-CARGOES.EXPORT- AND IMPORT-CARGOES.

MUCH CHEAP LAND AVAILABLE AROUND MUCH CHEAP LAND AVAILABLE AROUND THE PORT FOR “LOGISTIC ACTIVITIES” , THE PORT FOR “LOGISTIC ACTIVITIES” , WITHOUT FACING URBAN CONGESTION.WITHOUT FACING URBAN CONGESTION.

EXCELLENT POSSIBILITIES TO COMPETE EXCELLENT POSSIBILITIES TO COMPETE WITH THE PORT OF BUENOS AIRES.WITH THE PORT OF BUENOS AIRES.

48

RESULTSRESULTS DURING 2003 & 2004 A WEEKLY SERVICE TO DURING 2003 & 2004 A WEEKLY SERVICE TO

NORTH – EUROPE CALLED AT T.Z.:NORTH – EUROPE CALLED AT T.Z.: THE RAILWAYS TRANSPORTED > THE RAILWAYS TRANSPORTED >

40 %40 % OF THE EXPORT-CARGO AND OF THE EXPORT-CARGO AND > > 10 %10 % OF THE IMPORT-CARGO. OF THE IMPORT-CARGO.

APPROX. APPROX. 28% 28% OF TOTAL MOVES. OF TOTAL MOVES. OTHER COMPANIES CONSTRUCTED OTHER COMPANIES CONSTRUCTED

WAREHOUSES IN THE ZONE.WAREHOUSES IN THE ZONE. THIS DEVELOPMENT WAS CLEARLY TO THE THIS DEVELOPMENT WAS CLEARLY TO THE

BENEFIT OF OUR ECONOMY .BENEFIT OF OUR ECONOMY . COMPARE: RAILWAYS HAVE A SHARE OF COMPARE: RAILWAYS HAVE A SHARE OF

LESS THAN LESS THAN 6 %6 % IN THE IN THE TOTALTOTAL MOVEMENTS MOVEMENTS OF THE PORT OF BUENOS AIRES. (OF THE PORT OF BUENOS AIRES. (NEARLY ALL BY NEARLY ALL BY

TRUCK FROM RETIRO-STATIONTRUCK FROM RETIRO-STATION))

49

OCT. 2004 SETBACKOCT. 2004 SETBACK T.Z. T.Z. THE LINE DECIDED TO MAKE CHANGES / HAD TO THE LINE DECIDED TO MAKE CHANGES / HAD TO

TAKE OUT THE LINE TO N.E. / OFFERED LINE TO TAKE OUT THE LINE TO N.E. / OFFERED LINE TO THE U.S.GULF. MORE CARGO / BIGGER SHIPS THE U.S.GULF. MORE CARGO / BIGGER SHIPS (243(243,3,3 m). m).

NORM NORM = 230 m / 241,5 m WITH SPECIAL PERMISSION.= 230 m / 241,5 m WITH SPECIAL PERMISSION. SIMULATIONS 265m/ REAL TRIAL / ALL SATISFACTORY.SIMULATIONS 265m/ REAL TRIAL / ALL SATISFACTORY. 10.08.04 COAST GUARD GAVE WRITTEN10.08.04 COAST GUARD GAVE WRITTEN

AUTHORIZATIONAUTHORIZATION TO TO ESTABLISH A REGULAR LINE ESTABLISH A REGULAR LINE WITH SHIPS OF WITH SHIPS OF 243243,3,3 m TO TERMINAL . Z . m TO TERMINAL . Z .

13.10.04 FIRST SHIP ARRIVED AT THE ROADS OFF 13.10.04 FIRST SHIP ARRIVED AT THE ROADS OFF MONTEVIDEO, BUT WAS REFUSED TO PROCEED TO MONTEVIDEO, BUT WAS REFUSED TO PROCEED TO ZARATE. ZARATE. (ORDERS FROM THE MIN. OF HOME-AFFAIRS).(ORDERS FROM THE MIN. OF HOME-AFFAIRS).

EXPORT-CONTAINERS ALREADY IN T.Z.EXPORT-CONTAINERS ALREADY IN T.Z. OWNERS OBLIGED TO URGENTLY FIND A OWNERS OBLIGED TO URGENTLY FIND A

TERMINAL IN BUENOS AIRES TO DISCHARGE.TERMINAL IN BUENOS AIRES TO DISCHARGE. IMPACT: T.Z. NEVER COULD RECOVER “DEEPSEA” IMPACT: T.Z. NEVER COULD RECOVER “DEEPSEA”

CLIENTS, ATTENDS ONLY BARGES, ONE MIXED CLIENTS, ATTENDS ONLY BARGES, ONE MIXED RO-RO SERVICE, 1 RO-RO SERVICE, 1 TRANSSHIPMENTTRANSSHIPMENT SERVICE (MSC) SERVICE (MSC) AND A SERVICE TO BRASIL. 2008 ONLY 35.000 TEU. AND A SERVICE TO BRASIL. 2008 ONLY 35.000 TEU.

50

PLEASE SEE THE FULL EXPLANATION PLEASE SEE THE FULL EXPLANATION

IN THE DOCUMENT “ HOW THE IN THE DOCUMENT “ HOW THE

ALLOWED LENGTHS IN THE RIVER ALLOWED LENGTHS IN THE RIVER

PARANÁ EVOLVED FROM THE EIGHTIES PARANÁ EVOLVED FROM THE EIGHTIES

TO THE PRESENT. TO THE PRESENT.

51

WHILE T.Z IS IDLE:WHILE T.Z IS IDLE: BUENOS AIRES & DOCK SUD SUFFER A BUENOS AIRES & DOCK SUD SUFFER A

GROWING CONGESTION,GROWING CONGESTION, WHICH CAUSES STEEP COST- INCREASES,WHICH CAUSES STEEP COST- INCREASES, WHICH ARE PAID BY CONSUMERS AND WHICH ARE PAID BY CONSUMERS AND

PRODUCERS OF THE WHOLE COUNTRY.PRODUCERS OF THE WHOLE COUNTRY. THE SHIPPING-LINES ALSO FACE GREAT THE SHIPPING-LINES ALSO FACE GREAT

PROBLEMS IN BUENOS AIRES.PROBLEMS IN BUENOS AIRES. MORE AND MORE VESSELS TURN AROUND IN MORE AND MORE VESSELS TURN AROUND IN

BRAZIL OR MONTEVIDEO,BRAZIL OR MONTEVIDEO, AND THAT IS THE DECLARED REASON WHY AND THAT IS THE DECLARED REASON WHY

M.S.C. DECIDED IN APRIL 2008 TO START A M.S.C. DECIDED IN APRIL 2008 TO START A SERVICE WITH TRANSSHIPMENT IN SOUTH SERVICE WITH TRANSSHIPMENT IN SOUTH BRASIL.BRASIL.

SEVERAL HAVE ANNOUNCED THAT THEY SEVERAL HAVE ANNOUNCED THAT THEY WILL FOLLOW THIS EXAMPLE IN 2009.WILL FOLLOW THIS EXAMPLE IN 2009.

52

TITLE UNCTAD STUDY TITLE UNCTAD STUDY 20042004

AN ASSESSMENT OF THE LAND-AN ASSESSMENT OF THE LAND-

SEA-PORT INTERFASE. SEA-PORT INTERFASE.

ARGENTINA SHOULD PAY ARGENTINA SHOULD PAY

ATTENTION TO THIS UNITED ATTENTION TO THIS UNITED

NATION´S STUDY:NATION´S STUDY:

53 of 65

UNCTAD FOUND THATUNCTAD FOUND THAT MANY “DEVELOPING” COUNTRIES DO MANY “DEVELOPING” COUNTRIES DO

NOT EVALUATE CORRECTLY, HOW NOT EVALUATE CORRECTLY, HOW THEIR INEFFICIENT PORTS AFFECT THEIR INEFFICIENT PORTS AFFECT THEIR NATIONAL ECONOMIES:THEIR NATIONAL ECONOMIES:– MANY ANALIZE ONLY HOW THE PORTS MANY ANALIZE ONLY HOW THE PORTS

SERVE THE INTERESTS OF THE VESSELS,SERVE THE INTERESTS OF THE VESSELS,– THEY DO NOT PAY ATTENTION TO THE THEY DO NOT PAY ATTENTION TO THE

QUALITY OF THE QUALITY OF THE SERVICE THEIRSERVICE THEIR PORTS PORTS DELIVER TODELIVER TO THE THE PRINCIPAL CLIENT,PRINCIPAL CLIENT,

– WHICH IS THE “ CARGO “ WHICH IS THE “ CARGO “ – AND NOT THE VESSEL AS MANY BELIEVE AND NOT THE VESSEL AS MANY BELIEVE

OR WANT TO MAKE BELIEVE.OR WANT TO MAKE BELIEVE. AUTHORITIES SHOULD PAY MORE AUTHORITIES SHOULD PAY MORE

ATTENTION TO THE TOTAL COSTS. ATTENTION TO THE TOTAL COSTS. 5454

MANY PORTS ONLY MANY PORTS ONLY INFORM :INFORM :

THE BIGGEST SHIP THEY CAN RECEIVE THE BIGGEST SHIP THEY CAN RECEIVE ( LENGTH, WIDTH, ( LENGTH, WIDTH, DRAFTS ETC.)DRAFTS ETC.)

BERTHS, YARDS, CRANES AND BERTHS, YARDS, CRANES AND EQUIPMENTS OF THE PORT,EQUIPMENTS OF THE PORT,

HOW MANY MOVES OR TONS PER HOUR HOW MANY MOVES OR TONS PER HOUR THE PORTS CAN PERFORM, THE PORTS CAN PERFORM,

IF THE PORT IS FREE OF DELAYS AND IF THE PORT IS FREE OF DELAYS AND CONGESTION , CONGESTION ,

AND OTHER SIMILAR INFORMATION AND OTHER SIMILAR INFORMATION THAT HAS TO DO WITH THE SERVICE THAT HAS TO DO WITH THE SERVICE TO THE SHIP-OWNER.TO THE SHIP-OWNER.

55

BUT THIS IS NOT ENOUGHBUT THIS IS NOT ENOUGH THEY DO NOT INFORM HOW THE THEY DO NOT INFORM HOW THE

PORT AFFECTS THE TOTAL PORT AFFECTS THE TOTAL COSTS COSTS FROM “ORIGIN TO DESTINATION”.FROM “ORIGIN TO DESTINATION”.

THE AUTHORITIES IN DEVELOPING THE AUTHORITIES IN DEVELOPING COUNTRIES SHOULD PAY MORE COUNTRIES SHOULD PAY MORE ATTENTION TO THE QUALITY OF THE ATTENTION TO THE QUALITY OF THE SERVICES THAT THEIR PORTS GIVE SERVICES THAT THEIR PORTS GIVE TO THE OWNERS OF THE CARGO: TO THE OWNERS OF THE CARGO:

THEY MUST INFORM HOW THE THEY MUST INFORM HOW THE POSITION OF THE POSITION OF THE PORT IS IN THE PORT IS IN THE SUPPLY-CHAIN,SUPPLY-CHAIN,– WHAT LOGISTIC-CENTERS (Z.A.L.) ARE WHAT LOGISTIC-CENTERS (Z.A.L.) ARE

AVAILABLE AND WHAT INTERMODAL AVAILABLE AND WHAT INTERMODAL SERVICES ARE OFFERED,SERVICES ARE OFFERED,

– THEY MUST EVALUATE BETTER HOW THE THEY MUST EVALUATE BETTER HOW THE PORTS SERVE THE PORTS SERVE THE “CARGO – INTERESTS”“CARGO – INTERESTS”

56

HOW DO WE SEE THE FUTUREHOW DO WE SEE THE FUTURE 2009 2009 CHANGES IN PORT-POLICIES IN BRAZIL.CHANGES IN PORT-POLICIES IN BRAZIL. MANY NEW PROJECTS THAT WILL OFFER MANY NEW PROJECTS THAT WILL OFFER

TRANSSHIPMENT SERVICES :TRANSSHIPMENT SERVICES : SEPETIBASEPETIBA / ITAGUAÍ, (75 km DE R.de J.) / ITAGUAÍ, (75 km DE R.de J.) SANTOS !!!SANTOS !!!,, PARANAGUAPARANAGUA,, SAN FRANCISCO DO SUL / SAN FRANCISCO DO SUL / ITAPOÁITAPOÁ ((HSD)HSD)

MSC: MSC: NAVEGANTES ORNAVEGANTES OR SANTOS SANTOS ?????? ( ( RIO GRANDE DO SUL)RIO GRANDE DO SUL) ( SOME SHIPPING-LINES ( SOME SHIPPING-LINES

ALREADY TURN AROUND IN RIO GRANDE AND ALREADY TURN AROUND IN RIO GRANDE AND TRANSSHIP CONTAINERS TO VESSELS OF THEIR TRANSSHIP CONTAINERS TO VESSELS OF THEIR OTHER LINES TO MVD AND BUENOS AIRES).OTHER LINES TO MVD AND BUENOS AIRES). 57

Photo taken in Buenos Aires

HAMBURG SUD

LENGTH 286 m BREADTH 40 m DRAFT 44 FEET 13,5 m 58

THIS TYPE IS THE BIGGEST CONTAINER-

VESSEL THAT ENTERED THE

PORT OF BUENOS AIRES SO FAR,

AND MOST PEOPLE AGREE

THAT IT HAS THE MAXIMUM

DIMENSIONS THIS PORT CAN

SAFELY ACCEPT.

Knud Maersk ( 7000 TEU) which reportedly soon will enter the

service betweenNorth Europe / East Coast South America.

5959

60

SuapeSuape

Buenos AiresBuenos AiresMontevideo

Santos

EEUU Europa

FAR EAST / S. AFRICA also 1 serv. F.E.

ONE IMPORTANT SHIPPING-LINEPARTICIPATESWITH 12 VSLS

IN 2 U.S.A. SERV. AND ANOTHER

12 VSLS in 2 SERVICES TO

EUROPE RIO-SANTOS-PAGUARIO-SANTOS-PAGUA-- 2.476.500 2.476.500 TEUTEU 45%45%

S.CS.C.- .- 561.400561.400R.GR.G. . 368.500368.500

AND ALL CONTINUE TO THE SOUTH

ALL 24 CALL AT SANTOS

AFRICA

CARGO-MOVEMENTS 2007 IMPO/ EXPO

BRASIL / UR./ ARG. FULL CONT. ± 5.5005.500.000 TEUTEU

RIO GRANDERIO GRANDE

ARG. 1.291.500 TEU ARG. 1.291.500 TEU 23%23%

s.c

6132 % S.C./R.G./ MDEO/ REST N. BRAZIL

IN THE PRESENT IN THE PRESENT SYSTEM,SYSTEM, NEARLY ALL VSLS NEARLY ALL VSLS CARRYING CARGO FOR ARGENTINA, CALL SANTOS CARRYING CARGO FOR ARGENTINA, CALL SANTOS WHERE THEY DROP A MAJOR PART OF THEIR WHERE THEY DROP A MAJOR PART OF THEIR CARGO,CARGO,

AND THEN CONTINUE SOUTHWARD, AND THEN CONTINUE SOUTHWARD, SOME TURN AROUND INSOME TURN AROUND IN RIO GRANDE, RIO GRANDE, SOME IN SOME IN

MONTEVIDEO AND MANY CONTINUE TOMONTEVIDEO AND MANY CONTINUE TO BUENOS BUENOS AIRESAIRES. .

THE BEST SIZE OF THE VESSELS TO SERVE THE THE BEST SIZE OF THE VESSELS TO SERVE THE REGION, IS NOT BASED ON THE VOLUME THAT REGION, IS NOT BASED ON THE VOLUME THAT ARGENTINA PROVIDES, BUT ON WHAT THE ARGENTINA PROVIDES, BUT ON WHAT THE BRAZILIAN MARKET OFFERS. BRAZILIAN MARKET OFFERS.

THIS MEANS THAT AFTER SANTOS, VESSELS OF 5 / 6000 THIS MEANS THAT AFTER SANTOS, VESSELS OF 5 / 6000 TEU SAIL SOUTH WITH SOME 2000 TEU, IN OTHER WORDS, TEU SAIL SOUTH WITH SOME 2000 TEU, IN OTHER WORDS, LESS THAN LESS THAN 40% OF CAPACITY 40% OF CAPACITY . .

62

YOU CAN SEE THAT WITH YOU CAN SEE THAT WITH TRANSSHIPMENT IN SANTOS, THE TRANSSHIPMENT IN SANTOS, THE LINES CAN OFFER THE SAME LINES CAN OFFER THE SAME QUALITY OF SERVICES FOR PORTS QUALITY OF SERVICES FOR PORTS TO THE SOUTH, WITH LESS VESSELS.TO THE SOUTH, WITH LESS VESSELS.

SO FAR THIS IS IMPOSSIBLE, SO FAR THIS IS IMPOSSIBLE, BECAUSE BRAZILIAN PORTS CAN BECAUSE BRAZILIAN PORTS CAN NOT YET OFFER THIS SERVICE.NOT YET OFFER THIS SERVICE.

( IT IS NOT YET CLEAR, HOW THE ( IT IS NOT YET CLEAR, HOW THE CRISIS, WITH PLUMMETING CRISIS, WITH PLUMMETING CHARTER-RATES, WILL AFFECT THE CHARTER-RATES, WILL AFFECT THE COST-CALCULATIONS). COST-CALCULATIONS).

63

DL. 3.500

ARG. +/- 1.300.000 23%

SANTOS-RIORIO-STS-PÁGUA +/-2.500.00 TEU

6000 TEU

6464

DIRECT LINES

I BELIEVE TIME IS UP:I BELIEVE TIME IS UP: ARGENTINA URGENTLY NEEDS TO DEVELOP REAL ARGENTINA URGENTLY NEEDS TO DEVELOP REAL

TRANSPORT - POLICIES :TRANSPORT - POLICIES : IT MUST STUDY ALL TRANSPORT- PROBLEMS IN A IT MUST STUDY ALL TRANSPORT- PROBLEMS IN A

GLOBAL MANNER : PORTS - AND INLAND-GLOBAL MANNER : PORTS - AND INLAND-TRANSPORT TOGETHER, NOT SEPARATELY. (TRANSPORT TOGETHER, NOT SEPARATELY. (NOW NOW PRACTICALLY NOTHING AT ALL OF THIS IS STUDIED IN ARGENTINAPRACTICALLY NOTHING AT ALL OF THIS IS STUDIED IN ARGENTINA).).

– IT MUST CREATE A MORE IT MUST CREATE A MORE EFFCIENT SYSTEM EFFCIENT SYSTEM AND SEE HOW THE PORTS AND THE OVERALL AND SEE HOW THE PORTS AND THE OVERALL TRANSPORT NETWORKS CAN BE TRANSPORT NETWORKS CAN BE INTEGRATEDINTEGRATED..

– IT MUST SOLVE THE SERIOUS PROBLEMS OF IT MUST SOLVE THE SERIOUS PROBLEMS OF THE FREIGHT-RAILWAYS (AND OUR CASE , T.Z.)THE FREIGHT-RAILWAYS (AND OUR CASE , T.Z.)

ONLY BY LOWERING OUR EXCESSIVE INTERNAL ONLY BY LOWERING OUR EXCESSIVE INTERNAL TRANSPORTATION - COSTS, CAN THE COUNTRY TRANSPORTATION - COSTS, CAN THE COUNTRY BECOME COMPETITIVE.BECOME COMPETITIVE.

TERMINAL ZARATE TERMINAL ZARATE , WITH ITS REAL ADVANTAGES, SHOULD , WITH ITS REAL ADVANTAGES, SHOULD BE PROMOTED, BE PROMOTED, INSTEAD OF BEING INSTEAD OF BEING ELIMINATED FROM THE ELIMINATED FROM THE COMPETITION COMPETITION BY A MONOPOLY BY A MONOPOLY ( PORT OF B.A. & DOCK SUD)( PORT OF B.A. & DOCK SUD)..

6565