Upgrades Continue at Port of Tórshavn

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Port of TórshavnTórshavn enhances ro-ro operations and plans to improve maneuverability for passenger ferries calling at the port, after completion of major upgrades to increase container capacity at Kollafjørður.

Overall freight and passenger traffic to and from the Faroese capital of Tórshavn has virtually stayed unscathed by the current economic downturn, according to the port authority. With a new connection to England recently added following the shutdown of a traditional route to Scotland, container lines to Iceland, the UK, Scandinavia, and Continental Europe remain fully operational, while cruise liner tourism appears to have stabilized at 40 to 50 calls per year.

“Tórshavn remains attractive as a hub,” said harbormaster Jónsvein Lamhauge. “Generally speaking, volumes of both imported and exported goods have fallen somewhat over the past two years but we have retained most of the business. The three major freight carriers make several calls per week and while one of the UK services was shut down a couple of years ago, it was replaced by a new one.”

Those three operators are Faroe Ship (Eimskip), Samskip, and Smyril Blue Water. The two first offer regular container services between the Port of Tórshavn and ports in Iceland, the United Kingdom, Scandinavia, and the European Continent, while Smyril Blue Water offers a year-round ro-ro (roll-on/roll-off) service between Tórshavn and ports in Denmark and Iceland.

Many seafood exporters have their shipments moved by truck to the Port of Tórshavn from where the goods are taken on board outbound container liners or ro-ro ferries.

Whereas an estimated 40 percent of the 48,000 strong population of the Faroe Islands resides in the Municipality of Tórshavn, about two-thirds of all imported cargo is consigned to the Tórshavn municipal area.

The area has extended well beyond the town of Tórshavn after municipal consolidation has seen several mergers and annexations over the past two decades, including the incorporation of Kollafjørður into the Municipality of Tórshavn.

Thus the Port of Tórshavn — with the port authority governed by the Municipality of Tórshavn — encompasses the East Harbour and the West Harbour in Tórshavn as well as the harbors of Sund and Kollafjørður.


Better ferry maneuvering: At Kollafjørður — home to Samskip operations and a small but thriving business community with comprehensive transport and logistics services available including a large cold storage facility — major harbor developments have taken place in recent years.

Importantly, there is also the newly reopened Faroe Pelagic processing plant for food fish where a growing number of vessels land their catch. A Dutch company, Parlevliet & Van der Plas, has joined hands with Klaksvík’s JFK to operate the facility with an option to purchase it from Eik Banki.

“We’re fairly optimistic about Faroe Pelagic and hope that P&P’s assessment of the opportunity will lead to a permanent operation there,” Mr. Lamhauge said.

With Kollafjørður’s new container and ro-ro terminal, consisting of a 150-meter quay with alongside depth of 12 m and a 20,000 m2 container yard, the Port of Tórshavn has had its total container storage capacity increased to 45,000 m2; this includes Tórshavn’s East Harbour which likewise has a 20,000 m2 container area for Faroe Ship operations.

Another area of land suitable for development, spanning some 25,000 m2, is situated along the two main berths at Sund, well away from residential areas yet close to the main road that connects Tóshavn with Kollafjørður, Vagar Airport, Eysturoy, and Klaksvík.

In Tórshavn itself, current harbor development consists of extending a ro-ro ramp at the East Harbour to accommodate large passenger and car ferries that regularly call at the port.

In addition, to improve maneuverability for such ferries in the inner basin between the East Harbour and the West Harbour, submarine demolition work is to be undertaken off Tinganes — a somewhat delicate project with technical surveys and political precautions involved to prevent any damage from happening to the old houses where the Faroese Government has most of its offices.

“We’ve finally been given the permission required to deepen the inner basin in order to make it easier for ferries to maneuver,” Mr. Lamhauge said. “Some solid rock will need to be blasted but it will be done with great care so that no damage will be caused on buildings.

"This is good news for the Port of Tórshavn. Without clearing of the bottom, ferry maneuvering in the inner basin will continue to be unnecessarily slow and risky; with this solution, on the other hand, operations will become quicker and safer to the benefit of everyone.”

 

Welcome to the 2011 Edition of the Faroe Business Report

Cover of FBR 2011

I’m proud to present the 6th edition of the Faroe Business Report. It’s a pleasure again this year to bring you this information package about the Faroese business scene in cooperation with leading businesses and government departments and agencies. I encourage you to take a read to check the state of affairs in the Faroese business environment and see what some of the main events are compared to last year or a few years back. I guarantee that there’s quite a few things that happen in the course of a single year — major change can occur very quickly in the Faroe Islands.


Búi Tyril
Publisher and Editor in Chief


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Sannførandi søgur byggja álit millum viðskiftarar og veitarar

Fyri bæði fyritøkur og stovnar er umráðandi at samskifta væl við umheimin, soleiðis at góð og hóskandi kunning altíð er tøk í rættari tíð. Hesin samskiftis tørvur ger seg altíð galdandi, eisini tá vit ikki beinleiðis síggja hann.

Hetta kemst millum annað av at broytingar við meir ella minni avgerandi ávirkan á virksemið hjá fyritøkuni ella stovninum kunnu henda óvæntað skjótt.

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