Peruvian trade set for boost as DP World completes $400m Callao port expansion

DP World landed a historic feat in Peru’s port sector with the official inauguration of the Bicentennial Pier (Muelle Bicentario), making the South Dock at the Port of Callao the number one on the West Coast of South America in terms of container handling capacity.

Under DP World Callao’s administration for 18 years, the terminal has grown increasingly more competitive and efficient, solidifying the Callao port zone as an important regional logistic hub, according to the company itself.

The expansion required an investment of approximately 350 million dollars, bringing the container handling capacity to an 80% rise, up from 1.5 million TEUs per annum to 2.7 million. Additionally, the pier was expanded from 650 to 1,050 meters, making Callao one of the few ports in South America that can accommodate three vessels (or two mega-vessels) simultaneously.

“The Bicentennial Pier is vital for Peru. DP World had the honor to deliver this project to the country using fully private resources, strengthening even further the country’s insertion into international trade,” commented Carlos Merino, the CEO of DP World Ecuador and Peru.

The expansion of the pier took two and a half years to wrap and added 700 more workers to the 1100 direct employment that DP World had already produced, on top of the 10,000 indirect jobs that the terminal’s presence in the area had fostered.

This expansion will also aid Peruvian exporters, allowing their products to reach the market faster and at more competitive prices.

“To this day, DP World Callao offers direct services to 51 ports around the globe, including twelve in Asia that benefit from eight weekly direct calls,” explained Merino.

DP World is dedicated to environmental sustainability, aiming to reduce emissions by 90% by 2030 in scopes 1 and 2. The Bicentennial Pier features state-of-the-art electrical equipment, including three new quay cranes, twelve yard cranes, and 20 fully electric trucks for internal use. Notably, it houses Latin America’s first electric charging station for this fleet of trucks. Future investments of $40.5 million are planned for acquiring additional port equipment, including two quay cranes, three yard cranes, and six internal transport trucks.

“This substantial investment in port infrastructure and cutting-edge equipment, which often exceeded our initial plans, underscores DP World’s commitment to enhancing terminal operations and amplifying our positive impact in the region,” emphasized Carlos Merino. “This aligns with global market trends where customers demand efficient, safe, and sustainable port and logistics solutions.”

The Port of Callao is the economic hub of Peru, handling over 90% of the country’s imports and exports. DP World Callao accounts for 60% of the container throughput, and with the additional capacity provided by the Bicentennial Pier, this volume is expected to rise further. Its strategic location provides a reliable connection from the west coast of South America to key global markets.

“Main exports include fruits, fishmeal, and mineral ores, while imports are dominated by machinery, spare parts, plastics, and textiles,” added Merino.

According to the 2023 World Bank Container Port Performance Index (CPPI), the port ranked second in efficiency in Latin America and the Caribbean, and 26th out of 405 port districts worldwide, climbing 17 positions from 2022.

Source: Andina

To access the original article in Spanish, click here.

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