DEVELOPMENT OF FEFD SEAPORTS IN THE NEW STATUS OF "THE FREE PORT OF VLADIVOSTOK"

Authors

  • Alexander S. Sergeev Far Eastern Federal University

Keywords:

Far East region, transport infrastructure, seaports of FEFD, coastal territories, free port of Vladivostok, structure of a cargo turnover, stevedoring services, strategy

Abstract

Seaports of DVFO traditionally come to the forefront in the strategy of development for transport infrastructure of the region, providing a direct exit of foreign trade of Russia to Asia-Pacific countries. At the same time, the cost efficiency of operation of FEFD seaports is determined not only by the level of their cargo turnover, but also by the appropriate level of profitability of rendering port (stevedoring) services to the clients - to transport organizations, freight owners and other agents of logistics. Now cost efficiency of operation of FEFD seaports has considerably decreased in comparison with the pre-reform period (the 1980s). Despite a relative growth of the cargo turnover and rates for port services, the income for transfer of freights has dramatically decreased because of the change in structure of a cargo turnover towards decrease in labor input on transferring the oil and bulked cargoes. This problem is generally connected with economy of all Far East region, which still remains oriented to the commodity and raw market of the Pacific Rim. Other problem is connected with the decrease in transit of general cargoes and, especially containers due to rather low competitiveness of the regional land transport infrastructure in comparison with the sea transport of the leading Asia-Pacific countries. With respect thereto, many ports of the region suspended projects of reconstruction and development of container and RORO terminals. In some ports, a number of specialized container berths had to be re-equipped for handling coal or scrap metal. These problems have affected both the economy of seaports, and the economic and social situation of coastal administrative territories (seaports and settlements). Now the major part of the port business of the RFE has been passed to large freight owners who are registered in the central part of Russia or in foreign offshore zones. At the same time the share of contributions of seaports into the local budgets was sharply reduced. Besides, the environmental pressure on adjacent settlements because of the obsolete technology involving open transfer of bulked cargoes, especially coal, has considerably increased in the ports of Nakhodka, Vanino, Posyet and Vladivostok (a fishing port). The article also reviews the problem of the development strategy of seaports of the Far East region in a new management system within the adopted federal law "About the Free Port of Vladivostok" (No. 212 Federal Law of 13.07.2015) that includes the primary ports of FEFD. Since no general strategy of developing the Free Port of Vladivostok have been elaborated so far, every port is still involved into the inertia of unsystematic search for clients and minor residents who don't answer real strategic development objectives for the foreign trade communications of the FEFD territories with Pacific Rim countries.

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Published

18-11-2022

Issue

Section

ЭКОНОМИКА РЕГИОНА

How to Cite

Sergeev, A. S. (2022). DEVELOPMENT OF FEFD SEAPORTS IN THE NEW STATUS OF "THE FREE PORT OF VLADIVOSTOK". PACIFIC RIM: Economics, Politics, Law, 1, 72-81. https://journals.dvfu.ru/ATR/article/view/365