PKA In Irainan Distribution Venture

Port Klang Authority has concluded a joint venture agreement with Tidewater Marine Co. Middle East Marine Services of Iran to set-up Tide Klang Company Ltd(TKC) which will look into the development of a distribution park in the Shahid Rajaee Special Economic Zone of Bandar Abbas. The details of the ventures have been finalised in a recent discussion with the Iranian delegation which visited Port Klang Authority on March 25, 2000.

The Iranian delegates to the three-day meeting were led by the Chairman of Tide Water Marine Co., Mr.Ghodrat Allah Farhang, the Managing Director of Tidewater Marine Co, Mr.Jamal Mirshokraee, the Hormozon Province Ports Operation Deputy, Mr. Mohammad Reza Ashkriz and the Port Affairs Manager Mr. Masoud Rashidi and the Legal Affairs Manager, Mr. Hamid Reza Ghaderi.

Following the mutual agreement of the Malaysian government and the Iranian government, both parties agreed that the Distribution Centre, operated by TKC, would be given priority in all aspects related to the distribution business at Bandar Abbas port to ensure its viability and future growth.

The Ports and Shipping Organization (P.S.O) and Tide Water Marine Co. through the support of the Iranian government plans to upgrade its present distribution and logistics business arrangement at Bandar Abbas.

This will enable TKC to be the main provider of distribution and logistics services in the Shahid Rajaee Special Economic Zone of Bandar Abbas.

The distribution park will be linked to the Shahid Rajaee Port Special Economic Zone which has an area of 32.5 sq. km. with a complete range of port facilities and services.

The Bandar Abbas Port has a main and two secondary basins with 15.8 meters depth and quays with a total length of five kilometers capable of handling larger vessels including container vessels and oil tankers. Vessel traffic and pilotage are monitored from a control tower using advanced electronic devices.

To facilitate the joint venture project and to create greater awareness of the potential opportunities in Iran, Port Klang Authority, Tidewater Co. and Ports and Shipping Organization (P.S.O) will be organising a special seminar for shippers in Kuala Lumpur.

Currently, Port Klang is well linked with Bandar Abbas in Iran by six dedicated container shipping services.

The shipping lines serving the two ports are expected to position Port Klang as a transhipment center for cargo coming into and from Iran besides expanding trade into CIS countries and the Middle East area.

The Islamic Republic of Iran Shipping Lines commenced a regular weekly service in March this year calling Westport -G.Khomeyni-Bandar Abbas- Dammam - Dubai - Hong Kong- Inchon- Kaoshiung -Singapore. This service also partly caters for cargo originating from Kuwait, Baharin and Commonwealth Independent States.

Meanwhile, other services which link Port Klang and Bandar Abbas are offered by P& O Nedlloyd, Nippon Yuesen Kaisha Line, Pacific International Lines, UASC, Cho Yang, DSR Senator , Hanjing Shipping ,Malaysia International Shipping Corporation and Yang Ming Line.

ADVANTAGES OF SHAHID RAJAEE PORT S.E.Z

* No Customs formalities for cargo imported into free Zone;

* No customs duties and trade profit tax for cargo imported into the zone;

* Customs duty exemption for value-added or processed cargo (to the extent of its added value) entering the country;

* No export formalities and tenants can enjoy transit, transhipment and re-export of cargo; and,

* Offers direct access to CIS countries, Far East, Russia and Northern Europe through road and railway.