Partners In Progress

    

Here in an exclusive interview with TEAM NORTHPORT, as he recalls, with a

sense of nostalgia the bond that has evolved between Northport and P&O Nedlloyd.

 

Strong parallel could be drawn in more than one way between Northport (Malaysia) Bhd and P&O Nedlloyd, one of our biggest and longest-serving customers.
 
Like Northport, P&O Nedloyd has undergone significant corporate structural change in response to changing market requirements. Its predecessor was Overseas Container Line Limited (OCL), United Kingdom in 1971 before it became P&O Containers Limited in the 1980s.
 
Later, in 1997, P&OCL merged with Nedloyd Line of the Netherlands to become P&O Nedlloyd, one of top two largest container shipping lines in the world today.
 
However, it is not just corporate developments that bring Northport and P&O Nedlloyd close. There is indeed strong relationship between Northport (Malaysia) Bhd and P&O Nedlloyd that is also very much steeped in history.
 
It was commitment given by OCL, then a senior member of the TRIO Consortium in the Far East- Europe trade, that provided the impetus for the development of the original container terminal at Northport, Port Klang which was inaugurated on 5 August 1973 with the maiden call of the OCL's vessel
"Tokyo Bay".
 
OCL, which was then headed in Malaysia by Mr Tony Blummer was relentless in his support for Northport when container operations in Northport were privatized in 1986, it was P&O (Australia), a member of the UK-based P&O Group, that took up equity in Klang Container Terminal Bhd and was given a term contract to manage the terminal.
 
Despite the changes there was a strong continuity that kept the relationship close and warm. This comes in the form of Mr Patrick Lim Keng Lee, the Managing Director of P&O Nedlloyd - Malaysia who has seen through the history of container handling development at Port Klang from the beginning in 1973 until present times.
 
Patrick was a young executive in 1973 with Boustead Shipping Agencies Sdn Bhd, one of the local shareholders of the general agents for OCL when the history of container handling operations unfurled at Port Klang.
 
Patrick Lim said when Port Klang Authority (PKA) wanted to build the container terminal at North Port, it was natural that they sought the commitment and support from the shipping lines - not just any shipping line, but the best and the largest.
 
“It so happened in 1973 that Oversea Container Line (OCL) was a major shipping line and the senior member of the TRIO Consortium in the Far Eastern Freight Conference and its views and commitment were crucial for the success of the container terminal at Port Klang,” he said.
 
“Building a container terminal was not only expensive but also the nature of container operations then was new, and thus fraught with risk for our country in 1973,” he said. The support from TRIO Consortium was thus essential to strengthen the case for the development of the container terminal.
 
OCL as a leading container shipping line readily availed itself, proffering advise to PKA and sharing its knowledge and experience in container shipping. Soon the relationship developed further.
 
“We were delighted when in 1986, the privatization of container handling operation at Port Klang went to Klang Container Terminal, a company in which a member of our group, P&O (Australia) Ltd was involved," recalled Patrick Lim.
 
As a flag-bearer of privatization the success of KCT (which is now Northport (Malaysia) Bhd) was very important and this was quickly reflected in the ability of the new terminal operating company to meet the exacting standards of shipping lines. This further strengthened the shipping line’s support for KCT.
 
As a merged company later, P&O Containers continued to give strong support to what was then KCT, including by routing direct or mainline services. As a member of the then Grand Alliance, P&O Containers played an important role in adding new strings at Port Klang that had been declared in 1993 as the National Load Centre by the Malaysian Government.
 
“We are happy that we have in our own way contributed towards the growth of container activities at Port Klang and in particular to the development of what we see now as Northport,” said Patrick, who later went on to become the Managing Director of P&O Containers - Malaysia and subsequently P&0 Nedlloyd - Malaysia.
 
Patrick stressed that the important thing that drew the shipping line’s commitment to Northport has been the positive approach and attitude.
 
Patrick said the positive response from the management of Northport (Malaysia) Bhd to P&O Nedlloyd’s proposal to bring in their largest super post-panamax container ships of the whale class in 2001 despite some initial operational constraints is an example of the commitment that has existed between the two organizations.
 
“We do hope the strong sense of commitment will continue to be reflected under TEAM NORTHPORT that must seek to address the new challenges and the changing and dynamic circumstances that the container shipping industry is faced with," he said.  

 
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