The port of Riga, which holds the top position in Latvia's maritime sector in terms of both total tonnage and container throughput, is set to post growth in 2014, with increases forecast both in total cargo and box volumes.
Riga has a strong position to build on in 2014 in terms of box throughput, enhanced by robust increase in volumes over the last four years, and in terms of tonnage throughput, which demonstrated strong growth at the beginning of the year.
Over the medium term, we project further throughput growth at the port of Riga and tonnage throughput growth at Ventspils, the country's second largest port in terms of the total throughput, which will try to resume recovery to its pre-downturn tonnage levels.
Headline Industry Data
2014 port of Riga tonnage throughput forecast to grow 15%; over the medium term we project a 22% increase.
2014 port of Riga container throughput forecast to grow 3%; over the medium term we project a 17% rise.
2014 total trade growth forecast at 1.25%.
Key Industry Trends
Mariner To Invest EUR20mn in Riga Expansion Plans: Baltic Container Terminal's Malta-based owner Mariner is injecting EUR20mn in expanding its facility at the port of Riga. Through the expansion, the company intends to tap opportunities from the Baltic, Adriatic and Black Sea regions, the UK and the Mediterranean. The investment will be used to boost the yard capacity and acquiring additional equipment and doubling its warehousing facilities.
Risks To Outlook
The base for container throughput growth at Latvia's ports stems in part from BMI's positive outlook for the country's economy, with real GDP growth of 3.5% anticipated for 2014. Our positive medium-term forecast for Latvia's ports' box throughput also holds upside risks, with Latvia getting better connected, displaying a solid domestic demand outlook and developing its role as a gateway for cargo to and from Russia and Central Asia. This upside risk is further enhanced by Russia's membership...