Zeeland and onions are practically synonyms. Of every ten onions grown in the Netherlands, more than eight are processed in Zeeland. Yet many exporters traditionally chose export through major ports such the Port of Rotterdam and the Port of Antwerp in recent years. The port of Vlissingen also appeared to be out of the picture for the inhabitants of Zeeland themselves. Zeeland Seaports, the port installation of Vlissingen en Terneuzen, is working hard to put the port on people’s radar, and not without success.
In 2015, the onion sector managed to connect CMA CGM to the port of Vlissingen. “That was quite a tricky process,” remembers Jean Ruinard, commercial manager for Zeeland Seaports. “Everyone was working on their day-to-day activities, and it took quite a bit of persuasiveness.” The process is made even more difficult by the fact that two things have to happen at the same time. The shipping company has to be interested and show commitment to the plans, but the same is true for, in this case, the onions sector. For that, both parties are dancing a complicated tango: the shipowner wants commitment from the exporters, because an empty ship costs money. The exporter wants commitment from the shipowner, because every day the onions are left on the quay, it costs money.
More containers
Jean started with the port installation about five years ago. It’s his job to put Vlissingen on the map as a container port. “When I started five years ago, I noticed that few containers could be found in the port,” Jean says. By now, that image has changed, and there are even places in the port where the containers are stored. This last part was marketed quite recently as ‘the Vlissingen concept.’ Containers that arrive in the port, used to be sent back to Rotterdam, for example. Nowadays, more and more shipowners see the importance of the Zeeland Seaports, and they leave their containers in Vlissingen as well. Those containers are then used for the increasing export flows from the port.
Onions low-hanging fruit
“We conducted a study to see how the loading flows are for companies in the region,” Sean says. “After that, we looked into ways to bundle those flows, and to couple them to shipping companies. In that regard, the onions were low-hanging fruit.” Two years ago, an agreement was reached, and CMA CGM started a service between Vlissingen and West Africa. That started with three exporters who shipped 70 to 100 TEU during the season, from September until February. Last year, a congress was organised to point out Vlissingen to more companies in the onion sector. Now, ten to 15 onion exporters are using the port, and 300 to 350 TEU is shipped per week.
“During the season, many onions are shipped to West Africa,” Jean says. “West Africa buys about 300,000 tonnes of onions per year.” The onion export can be divided into two categories: deep sea and short sea. West Africa is in that first category. In total, 369,000 tonnes are exported to far-off destinations. For short sea, Russia used to be a good buyer, good for 136,000 tonnes. Poland is the second destination with 41,550 tonnes. Export is both conventional and in containers. The importance of reefer containers is increasing in export. That’s also because the price difference with, for example, ventilated containers is practically non-existent. For terminals and shippers, these are important developments.
North Sea just around the corner
Although the onion export is no small export, it’s no high-flyer within the entire Zeeland Seaports either. “I look at it more like the icing on the cake,” Jean continues. “For a shipping company, it’s important to have a base of other products, but it’s a major product during the season.” By devoting themselves to onions, the port hopes to increase its reputation for container shipping companies. The port has many advantages compared to most nearby competitors: Antwerp and Rotterdam. “Vlissingen is only an hour away from the North Sea,” according to Jean. “Antwerp is five to six hours from the North Sea.”
Besides, these large ports regularly have delays. “We’ve heard from inland shippers that they sometimes have to wait 48 hours before they can start loading or unloading. We do that much simpler,” he states. Flexibility in the port and a good connection with the hinterland via water, road and railway all plead for Zeeland Seaports.
Niche port
The depth of the port is no limit to receiving container boats. The cranes on the quay, however, are a limiting factor. These have a range to unload a maximum of 4,000 TEU. “We are specialised in short sea and niche markets. We don’t want to get services from the Middle East, we want to be the best niche port, with the most focus on service.”
While the onions are a good example of the port wanting to be put on the map by starting a flow of export, the Chiquita bananas arriving in the port are a good example of the import side of things. “Everything helps, and the port is being mentioned on the market. There are also many shipping companies looking into the possibilities for sailing from Zeeland. I am certain the port will look very different in five years.”
More information:
Zeeland Seaports
Jean Ruinard