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AMSTERDAM’S

WHITE ELEPHANT:
ACT
PRESENTERS:
• RIDDHISH CHAUHAN
• MANTHAN SUTHAR
• PRIYAM JAIN
• MOHIT AHIR
• SHUBHAM SAWANT
INTRODUCTION
• The Ceres Paragon terminal in Amsterdam has been
getting a lot of attention because of its unique
indented berth.

• The indented berth, the first of its kind in the world,


poses many special requirements and challenges for
the cranes.

• The indented berth is capable of serving ship from


both sides. As many as nine cranes can operate on
the ship in the slip at one time. Operating cranes on
both sides of the ship introduces the potential of
collision of cranes and boxes over the ship.

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PROJECT DESCRIPTION
Failure of world’s only container terminal to feature an indented berth that
allowed cranes to service box ships from both sides

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PROJECT FAILURE REASONS

• One of the reason that ACT failed is that the


draught of the sea canal was very low
• There were no commitments from potential
carrier customers
• Expectation of very high demand
• Less use of Japanese shipping line using of
the terminal.
• Indecorous supply demand ratio
• 2008 financial crisis is also the reason of the
failure.

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GEOGRAPHICAL LOCATION

The Ceres Paragon terminal, which opened in


August 2001, was marketed as Europe's most
efficient terminal because its indented berth
allows it to work the biggest container vessels
from both sides. But it failed to attract carriers,
mainly due to Amsterdam's inland location,
several hours from the ocean, the proximity of
Rotterdam and the lack of rail freight capacity
to inland Europe.

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SUGGESTIONS & LEARNINGS

MEASURES SUGGESTION • Have to build container terminals


where there is demand from shippers
and carriers, and perhaps not in the
• Generate more traffic shadow of one of the world’s biggest
• Divert the traffic from Rotterdam port container ports
• Price tariff should have been as low as • Estimate proper demand
possible • Trying new ideas should have enough
• Economics of scope contingency plans to mitigate risks
• Availability of high-end ships to carry
large ships
LEARNINGS FROM THE ARTICLE
• Commitments from potential carrier
customers

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NEXUS CLUB

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