Ports–the engine of the economy?
How are globalisation, changes in supply chains and modern logistics trends affecting the development of coastal locations? We asked Joanna Sinkiewicz, Accolade’s director in Poland and Group Commercial Director.
Changes in supply chains caused by turbulence in the global order are forcing us to adapt to new requirements in international trade. One area that is fundamentally affected is the development of ports and their infrastructure, which are being forced to modernise and adapt to new demands, which include greater flexibility, automation and growing environmental protection demands
What impact does port development have on the cities and regions they are located in?
Port development translates into the development of city centres and entire regions. This means that cities like Valencia, Szczecin and Zagreb will grow and need space for business development. Here we’re talking about the needs of both local firms and global companies which recognise the advantages of proximity to large port centres and for whom access to end markets is crucial.
One trend in supply chains is nearshoring and friendshoring. How do these concepts affect port development?
It is true that the shortening and diversification of supply chains substantially promotes port development. This involves companies moving production closer to end markets–in Europe this often means Central and East Europe, Turkey or North Africa. This is also linked to the need to expand ports that serve interregional routes, such as those in the Mediterranean or the Baltic Sea.
Among the most promising ports are those with considerable potential for further growth, such as Valencia, which is the fourth largest port in Europe and the largest in Spain, dubbed the gateway to Latin America and North Africa.
German and Dutch ports have traditionally been the key ports for Europe. How is the situation changing?
Yes, these ports are very well established, but unfortunately they seem to have reached the limits of their expansion potential. So alternatives are being sought. Among the most promising ports are those with considerable potential for further growth, like Valencia, which is the fourth largest port in Europe and the largest in Spain, dubbed the gateway to Latin America and North Africa. Similar potential can be seen in Genoa, and Koper may also be a very promising location.
Accolade is investing in the Park Valencia Alzira project. What are its main advantages?
Located less than twenty minutes from the port, the new park in Valencia is one of the most interesting new development projects in our portfolio. It has excellent connections to the rest of Spain and France. It is situated in the centre of what is called the Mediterranean corridor, which has been an important logistics area for many years. Another big advantage is the possibility of building a facility with an area of more than 60,000 square metres, which, combined with excellent transport infrastructure, will represent a unique achievement in this region. And demand is growing all the time, especially from manufacturing companies and large retailers.
Accolade is also interested in Croatia. Why?
Yes, and for good reason. The proximity of the ports of Koper and Rijeka is a key guarantee of further development for the region as a whole. These ports have the potential to serve the Central European region. The constantly improving road and rail infrastructure will further support this process and create demand for industrial real estate in the region.
Friendshoring and nearshoring are supply chain management strategies that respond to geopolitical and economic challenges. Friendshoring means moving supply chains to countries that are political or economic allies. The aim is to minimise the risks associated with instability or conflicts in other regions. Companies prefer to cooperate with countries that share similar values, which increases the reliability and security of supplies. Nearshoring refers to the relocation of business operations to nearby countries, often neighbouring ones. This strategy cuts transport costs, shortens delivery times, and facilitates communication thanks to geographical and cultural proximity. Nearshoring’s efficiency and flexibility makes it a popular strategy in supply chain management.