WESTPORT is forecasting a 10 per cent growth in conventional cargo and 20 per cent rise in container throughput for next year.

“The growth is based on the recovery in the Malaysian economy, coupled with the improved confidence of shipping liners as well as Westport’s better productivity,” said Kelang Multi Terminal Sdn Bhd’s executive chairman Tan Sri G. Gnanalingam.

Speaking to reporters in Kuala Lumpur yesterday, he said Westport’s conventional cargo is expected to grow to 8.5 million tonnes this year from 7.5 million recorded in 2002.

Container cargo is forecast to increase to 2.4 million 20-foot equivalent units (TEUs) in 2003 compared with 2.05 million TEUs registered last year. Of the total container throughput, 65 per cent is from transhipment business mainly from China, Vietnam, Europe and Bangkok.

Meanwhile, Gnanalingam said Westport hopes to attract several main liner operators (MLOs) to use its port. He expects new MLOs by the end of this year.

Gnanalingam said Westport is currently talking to several MLOs but declined to mention names. However, he said the MLOs are among the top 14 in South-East Asia. At the moment, 20 MLOs call at Westport.

On other developments, Gnanalingam said Westport expects its feeder business to grow and service at least 10 destinations in the next five years.

Its two-month-old feeder operation is a supplementary business that will help shipping liners for transhipment cargo as well as direct cargo, thus indirectly boosting cargo volume at Westport.

“We plan to be a big player in the feeder business and expect to capture about 5 per cent of the six million TEUs cargo market for feeders beyond the Straits of Malacca within the next five years,” he added.

Currently, Westport has two feeder vessels plying to Jakarta once a week with plans to increase the frequency to twice a week by October.

Westport is also planning to add another destination to Tanjung Wangi, Surabaya in Indonesia in the next two months.

The feeder business, which started in July this year, is expected to churn a profit of about RM1 million in its second year of operation and recoup its investment by year three.

Gnanalingam said Westport’s investment in the feeder business is estimated to be about RM2 million a year, mainly for the lease of feeder ships.

Gnanalingam said the annual amount of cargo traffic for the feeder business is expected to be about 70,000 TEUs.