With an initial emphasis on defining a short-term strategy, Moffatt & Nichol was tasked with preparing a business plan for a container terminal in Colombia.
Moffatt & Nichol began by undertaking a regional market assessment, focusing on both national and foreign origin/destination cargo as well as the transhipment market. The study included an evaluation of the existing shipping line network, shipping market trends, and the competitive hinterland, including new projects in Colombia.
As a next stage, Moffatt & Nichol developed an LCMA (Least Cost Modelling Analysis) to assess which additional areas in the country could be targeted by the client if specific infrastructure upgrades were developed in the Colombian network or if a reduction in tariffs was offered. During the model development, Moffatt & undertook various interviews with transport operators and shipping lines to ensure its structure and base information was robust.
Once the results were available, Moffatt & Nichol undertook additional interviews with cargo producers and BCOs to assess potential target areas for the client. Not only was the available market considered, but also the inland network capacity and its limitations.
A SWOT analysis identified business opportunities and the potential risks associated with the container terminal in question and its perceived competition. The outcome of the SWOT analysis was a short and mid-term strategy based on the market dynamics, the client’s strengths and weaknesses and conversations with all supply chain stakeholders.
A 20-year cargo forecast (laden, empty, import and exports) was also developed, including scenarios based on economic performance and the specific potential of different opportunities identified during the process.
