International Container Terminal Services Inc. (ICTSI) is allocating $230 million for the expansion of its Second Specialized Container Terminal at the Port of Manzanillo in Colima, Mexico.
Managed and operated under unit Contecon Manzanillo SA de CV (CMSA), ICTSI said the expansion will increase the terminal’s capacity by 300,000 twenty-equivalent units (TEU).
The capex “reaffirms ICTSI’s confidence in Mexico and the growth potential of the Manzanillo port,” ICTSI said.
“The investment is intended to expand the operating capacity of the terminal from 1.4 million TEUs to 1.7 million TEUs annually,” said José Antonio Contreras, CMSA chief executive officer.
Enrique Razon Jr., ICTSI chairman, said the injection of private capital into Manzanillo is an “essential part of the ICTSI Group’s strategy that will benefit the supply chain in the region” to be able to serve the growing maritime traffic at the port.
“The additional capital will be used for the construction of berths and yards, as well as for the acquisition of quay cranes, rubber tired gantries, port tractors and other equipment. All these will complement the public project for the expansion and the adaptation of land access to the terminal, which the Federal Government announced for Manzanillo in November,” Razon said.
Contecon and the ICTSI Group will start the facilities expansion during the second half of 2022.
In June 2010, ICTSI signed a 34-year concession for the development and operation of terminal. Ideally located to serve the growing Asian trade, CMSA is Mexico’s gateway to the Pacific coast and is close to major consumer markets, such as Mexico City and thst country’s largest industrial areas.
