Eurogate’s new projects and why it wants to make the port of Limassol a gateway for transit trade

Eurogate Container Terminal Limassol wants to further strengthen transit trade in Cyprus, boosting its own turnover, but also the state's revenues, which have already doubled, after the German company took over the operations of Limassol Port’s container terminal.

This is considered to be a very important chapter in the management company’s plans, which were also discussed during the term of the previous government. However, and despite the fact that - at that time - after prior negotiations, the financial framework had been agreed with the competent ministries (Transport and Finance), some other issues that arose wrecked the effort at that time.

It is noted that the agreement (2017) between Eurogate and the state does not make any provision for transit trade.

New effort within the next two months

As reported by the company's management, in a journalists’ briefing on the Limassol Port Container Terminal, the company has brought the issue up again and promises have been received from the current government that it will be examined within the next two months.

"We have a big advantage, we are (geographically) the last port in the EU and we will not have to compete with the ports of Piraeus or Malta. We will compete with ports outside the EU, south of Cyprus," explained Eurogate's Chief Operating Officer (COO) Alexandros Demetriades, adding that "because we have political stability, peace and infrastructure, we believe that many companies will prefer us for transit trade."

He said that the plan submitted to the government for transit trade initially provided for a volume of work of around 100 thousand TEU, which, after investments by the company - approximately €40 million - could rise to 400-500 thousand TEU.

Attracting large shipping companies and the impact on the market

According to the information InBusinessNews received on the progress of the terminal, from 2017 onwards, through Eurogate and the improved productivity indicators it records, channels of cooperation with major shipping companies have been opened, with the company's terminal in Limassol being included in the service network of all major shipping lines (MSC, CMA, MAERSK, ONE, COSCO and EVERGREEN).

An indicative fact is that today recipients have the ability to receive their cargo within 20 minutes after unloading, compared to two days in the pre-Eurogate era.

As noted, this development has significantly benefited large companies in Cyprus and the Cypriot market in general.

Eurogate's arrival on the island has exceeded expectations in terms of the Cypriot economy and market, it was further emphasised.

New projects underway

After the first phase of investments in infrastructure and equipment, Eurogate CTL's plans for the next two years focus on further upgrading the services provided, with an emphasis on digitalisation and security.

For 2025-2026, Eurogate is launching the implementation of Twin Sim technology, where the use of AI algorithms will provide the possibility of interactive visualiaation and optimal operation of the yard, which will save the company energy and time.

The company's plans include the installation of OCR (Optical Character Recognition) cameras on crane bridges and other points - which, among other things, will record any damage to cargo -, the operation of an automatic port entrance gate via X-Rays and the implementation of a more advanced refrigerated container management system.

"For Eurogate CTL, the modernisation of the container terminal is a strategic goal and a comprehensive investment plan has been drawn up in this direction. For the period 2025-2026, our plans include the further upgrade of the terminal with new technologies and the use of artificial intelligence.

"A strategic priority is also the sustainable development of the port industry, the implementation of ESG criteria and the support of the local community. Finally, we participate in three subsidised programs: AeRos Project, CY-Trust Project and DecarbonLim," Demetriades said.

The volume of work, investments and concession fees to the state

According to the company's CFO Petros Sophianos, the terminal's business volume is on an upward trend, with 89% relating to imports and 11% to exports, while the company's turnover currently reaches approximately €100 million per year.

At the same time, investments made since 2017 to upgrade equipment, security, quality of service provision, as well as digital transformation exceeded €36 million.

More specifically, Eurogate completed the expansion and upgrade works of the yard at the container terminal, increasing the total capacity of the terminal to approximately 12,000 TEU.

Regarding the concession fees received by the state from the operation of the terminal, they have amounted to almost €315 million.

Electricians and engineers are hard to find

At the same time, as mentioned during the briefing, there is a large gap in the market for electricians and engineers, which is not related to wages, but to the general shortage of specialised technicians in technical professions.

There were some attempts to import personnel from Greece, which, however, fell through, on the one hand due to the growth that the country has experienced in recent years and on the other hand due to the high cost of living in Limassol, especially concerning rents.

As the journalists were told, on this issue, Eurogate Container Terminal Limassol maintains partnerships with domestic universities and colleges, with which it collaborates for student internship purposes.

(Source: InBusinessNews)