Surge in cargo volumes, geopolitical tensions leave Kingston port congested

The Port Authority of Jamaica has indicated that Kingston’s transshipment terminal has been prioritising mainliners that balance container delivery and evacuation.

In a statement yesterday, the Port Authority noted that as of Wednesday, three mainliner vessels were anchored outside Kingston Harbour. One was processed yesterday while the others were awaiting feeder vessels for cargo evacuation.

The Port Authority was responding to recent media reports regarding supply-chain management challenges affecting domestic importers that highlighted ships waiting to enter Kingston Harbour and instances of ships bypassing Jamaica due to terminal congestion.

In a post on social media platform X on Wednesday, Richard Pandohie, CEO of the Seprod Group of Companies, complained that supply -chain challenges “are as bad now as it was in COVID”.

Said Pandohie, “Many ships anchored in harbour waiting to offload, not to mention how many bypassing Jamaica because of congestion … .”

Last night, the Port Authority said that to accommodate increased seasonal demand, additional container pickup slots had been introduced, with only 66 per cent currently utilised.

“Terminal operating hours have also been extended to include Saturdays.”

Cargo volumes surged

In its statement, the Port Authority sought to contextualise the current challenges at the port, noting that cargo volumes processed in Kingston have surged significantly in recent years.

“From 2020 to 2022, volumes increased by 28 per cent, followed by an additional 18.5 per cent growth between 2022 and 2024 (year-to-date). Current cargo volumes are over 50 per cent higher than pre-COVID-19 levels,” the Port Authority said. “This growth reflects significant investments in port infrastructure, equipment upgrades, and operational improvements by Kingston Freeport Terminal Limited (KFTL) and Kingston Wharves Limited in collaboration with the Port Authority and stakeholders in the port and shipping community such as the Shipping Association of Jamaica.”

The Port Authority also noted that periodic vessel queuing outside Kingston Harbour stems from disruptions in mainliner service schedules caused by geopolitical tensions, conflicts along major shipping routes, and adverse weather conditions.

“In 2024, only nine per cent of the 172 mainliners processed in Kingston arrived on schedule, with just one of 11 mainliners arriving on time in November 2024. To manage scheduling uncertainties, shipping lines have reduced regional stops, concentrating cargo at key ports and using feeder vessels to serve bypassed locations,” the Port Authority said.

“This strategy has lengthened container dwell times and increased congestion at transshipment terminals across the region, including Kingston. Ports with larger domestic cargo bases, such as Cartagena (Colombia) and Caucedo (Dominican Republic), often receive service priority over Kingston due to their higher local cargo demand.

Looking forward, the Port Authority noted that it was finalising agreements with KFTL to expand cargo-storage areas, reducing vessel wait times, with construction expected to begin soon.

“Additionally, as announced by [Prime Minister Andrew Holness] in his 2024 Budget presentation, plans are under way to relocate domestic aviation operations from Tinson Pen to Norman Manley International Airport and reroute Marcus Garvey Drive to facilitate port expansion,” the Port Authority said.

“This initiative involves partnerships with the Airports Authority of Jamaica and the National Works Agency.

“Groundbreaking for the 700-acre Caymanas Special Economic Zone is scheduled within three months. Once fully operational, this logistics and industrial hub will feature dedicated transport links to Kingston’s terminals, significantly boosting domestic cargo volumes.”