The country of Ecuador in South America has a population of more than 16 million. Yet it doesn’t really have a deep-water port yet. That’s about to change, with construction underway for nearly a year on a new port. It will change shipping to South America at least so far as Ecuador is concerned
Currently, shipping to Ecuador relies on smaller ports with less capacity and large ship access. This increases costs and shipping time. Ecuador exports will also become less expensive. Larger vessels save on costs because they can carry more cargo at once, and a deep-water port is the only kind that can allow them in.
The new port will boast an annual capacity of 750,000 TEU. Ports are rarely built without surrounding infrastructure. Ecuador’s is no different. New roads are being built and expanded, and the Guayas River is being made more accessible. This will help smaller vessels take cargo from the port and ship it inland.
A new Special Zone of Economic Development will create trade opportunities and contain logistics and industrial elements that take advantage of their proximity to the port. The port and Special Zone will be major job builder for Ecuador.
The total cost will be $1.2 billion. While such a port doesn’t compare to the average American deep-water port, let alone a major Chinese port, it can help change the shape of Ecuadorian trade. Shipping to South America will be made easier and more precise. This translates into reduced costs and more efficient scheduling.
With a deep-water port also come new opportunities for businesses shipping to Ecuador. Ports help drive trade, which increases buying power for the populace. New roads and jobs mean more cars, more mechanics. It’s an exciting time for shipping to Ecuador or expanding businesses in South America.
The port should be active in the second half of 2019, ramping up operations over time. Ecuador exports include bananas, flowers, shrimp, and coffee.