Hong Kong's Kwai Chung terminals handled a total of 13.43mn TEUs in 2004, at a growth rate of 11.2%. Modern Terminals contributed about one-third of that total, registering a healthy, just under 10% growth and handling a total of 4.35mn TEUs in 2004. The entire South China market, meanwhile, grew by about 4mn TEUs in 2004 with about one-third of this increase handled by Hong Kong.

As the South China trade continues to flourish and throughput growth is maintained at the double-digits for Hong Kong, Modern Terminals is getting ready to meet the challenges of the future by embarking on a facilities upgrading project and other optimization measures that will contribute in boosting the overall Hong Kong total throughput capacity in the coming years from the present 19mn TEUs to 24mn TEUs.

Work is underway on the over HK$1bn project that will comprehensively upgrade Modern Terminals' facilities at Container Terminals 1, 2 and 5 (CT125). The aim is to boost total throughput capacity by up to 25% by enhancing productivity and efficiency. The project, according to Modern Terminals, is in line with the recommendations contained in the Government-commissioned Hong Kong Port Master Plan 2020, which is to improve existing operations at Kwai Chung port before constructing additional terminals.

CT 1, 2, and 5 were originally designed and built some 30 years ago with an alongside draft of -12.2 metres mCD and 13-across quayside cranes (QC) to cater for the container vessels of 2,500-TEU that were in use at the time. The quay decks were upgraded in 1997 to accommodate larger vessels and QC loading; and the berths were deepened to -14 metres mCD in 2003 to align them with the alongside draft of the initial phase of Rambler Channel dredging for CT9. Modern Terminals intends to enhance the standards of CT 1, 2, 5 facilities, so they match those of the new berths at CT9 (South) and meet the needs of the increasingly large container vessels now being constructed. Plans have already been drawn up to accommodate the even bigger vessels in the 12,000 TEU range in the future. The water depth alongside of CT 1, 2, 5 will be dredged to -15.5 metres mCD.

Six new quayside gantry cranes will be deployed at CT 1, 2, 5, which will have an outreach capability of 22 boxes across a ship's deck; four more such mega-cranes will also be installed at CT9 (South). The existing, obsolete rail-mounted gantry crane (RMG) stacking area will be converted into an RTG yard with the capacity to stack containers six high. Other terminal equipment will be rationalized, while the quay deck is being strengthened to accommodate heavier cranes and higher mooring/berthing loads. The yard layout, gatehouses and workshop are all being reconfigured.

The upgrade project is scheduled for completion in 2006 and CT 1, 2, 5 will be able to handle the new generation of ultra-large vessels. They will also have sufficient yard area, stacking capacity and equipment for quayside productivity of 150-200 moves per hour.

Port security

With much of its throughput destined for the US and Europe, Modern Terminals has been taking proactive measures to enhance security at the port. Following confirmation that all its facilities are compliant with the International Maritime Organization's International Ship and Port Facility Security (ISPS) Code that came into effect July 1, 2004, Modern Terminals, in collaboration with other Kwai Chung terminal operators, participated in a pilot project using two models of high-tech Integrated Container Inspection Systems (ICIS) to screen each container that arrives at its entry gate and quayside barge facility.

ICIS is provided by US company, Science Applications International Corporation (SAIC). ICIS performs optical character recognition, radiographic imaging, radiation scanning of all containers entering Modern Terminals' facilities since September 2004 to date.

This integrated system has the potential to scan high volumes of container traffic without significantly impeding traffic flow. The data gathered and provided by the system can help Customs authorities and other relevant parties worldwide. The comprehensive, integrated scanning data on every export container will enable inspectors to identify high-risk containers quickly and efficiently by the differences from expected contents.

The ICIS at the entry gate scans containers on trucks as they pass through the entry gate at speeds of up to 16 km/h. The non-stop drive-through with integrated capability helps avoid any significant delay to traffic flow. In addition, a mobile ICIS system is also being deployed to screen transshipment and export containers as they enter the terminal by barge.