Port of Koper
Encyclopedia
Port of Koper is a public limited company
, which provides port
and logistic
s services in the only Slovenia
n port, in Koper. It is situated in the northern part of the Adriatic Sea
, connecting mainly markets of Central
and Southeast Europe
with the Mediterranean Sea
. Differently from other European ports, which are managed by port authorities
, the activities of Port of Koper comprise the management of the free zone
area, the management of the port area and the role of terminal operator. The Port of Koper has 12 specialized terminals:
, maritime trade has played an important role in the history and development of Koper. The town received a charter
from Holy Roman Emperor
Conrad II
in the early 11th century, while in the 13th century the Patriarchs of Aquileia granted Koper domain over its northern Istria
n hinterland. In 1279, Koper was absorbed by the Venetian Republic
, and developed into the pre-eminent commercial and administrative centre of Istria. Following the fall of Venice
in 1797, the entire region was absorbed into the Habsburg Monarchy
, and, for a short while, Koper held the somewhat flattering epithet of the Imperial Austrian Port.
When Trieste
and Rijeka
were proclaimed as free ports in 1719, Koper's status, trade and influence began to ebb. The collapse of the Venetian Republic and the later transfer of local administrative and political power to Trieste further hastened this decline. Koper's maritime and commercial stagnation continued, first under the Habsburg rule, and then after 1919 under the Italian rule. Despite liberation in 1945, insecurity as to its future continued into the post-war era, during the period of the Free Territory of Trieste
. Koper's status and long-term future were finally resolved in 1954 through the signing of the London Memorandum of Understanding, by way of which Zone B of the territory - including Koper and Istria - was ceded to Yugoslavia
. The partition of the Trieste Free Territory led to much emigration by ethnic Italians living in Istrian coastal towns. Neglected for more than two centuries, their commercial potential was poor and their industries obsolete, whilst maritime traffic and trade was strictly limited to local needs.
, a group of enthusiasts began considering the potentials for construction of an international seaport. In 1957, they prepared an investment programme for the development of 135 metres of Koper's northern shore, while 23 May that year saw the foundation of the first handling and warehousing company Pristanišče Koper. Thus the new venture was established, employing local workers whose experience was crucial in the organisation of this new and intrepid undertaking.
By August 1957, the Peter Klepec, a floating dredger had deepened the seabed along the northern shore of town, and concreting the area around the first berth began in December. At the same time, work began on a dyke
across the Stanjon inlet, and thus the operative areas of the new port began to take shape by a continuous process of dredging and accumulation. The Port of Koper was eventually permitted to join the Association of Yugoslav Ports , and in October 1958 received the state consent for its investment programme. At last due recognition was at hand.
(Italy) and Port of Rijeka
(Croatia). But development gradually enhanced the port's competitive edge, as did its openness to prospective users, and this led to increasingly widespread commercial co-operation as well as the establishment of what were to become long-term partnerships between the port and its customers. It was mainly companies trading in foodstuffs and timber - including, amongst others, the national Silo and Warehouses Administration, Emona, Slovenijales and Centroprom - that decided to co-finance or invest in the construction of the necessary infrastructure.
Based on the resolution of the company's Workers` Council in October 1961, Pristanišče Koper changed its name to Luka Koper, and operated as a socially owned and managed enterprise. The company's objectives were clear, and by the end of 1962 its integrated operations were functioning efficiently. Development continued with the acquisition of the Dekani
cold storage facility and the purchase of disinfection and fruit ripening units. By 1962, annual throughput amounted to 270,000 tonnes. Freight passing through the port was for the most part hauled by road, with a minor portion travelling by rail to Kozina
, and from there transported by truck to Koper, and vice-versa.
Imports were destined for the Slovenian and Serbian markets; unlike neighbouring Croatia, Serbia did not have its own access to the sea. During the early 1960s, outgoing maritime cargo, exports from the European continent, amounted to a mere 20 percent of total traffic, while the proportion of transit goods was similarly low. With nearly the same capacities and improved organisation, 1963 witnessed a throughput of 628,456 tonnes of cargo. This rapid growth was the result of increased imports of wheat, rice, fertiliser and fodder. As a consequence of its solid performance, in conjunction with its geographic and other advantages, Luka Koper gained the trust of its foreign partners, and recorded record growth.
The excellent results achieved in 1963 were also a consequence of the establishment of the first free zone
, Luka Koper was able to provide a range of services for companies using the port. This new orientation required the reorganisation of the company into six units: Handling, Warehousing
, Timber, Maintenance, Joint Services and Luški dom.
. Various problems pertaining to the co-ordination of rail and road transport between Koper and Kozina increased the demurrage
costs of vessels, wagons and trucks. Nevertheless, the freight handled by Luka Koper continued to rise, and in 1966 amounted to 788,616 tonnes.
Both the Yugoslav as well as the Slovenian authorities did not look favourably to the construction of a rail link for Koper, thus Luka Koper itself financed the initial study and project documentation. In 1964, following exhaustive negotiations, the company commissioned the scheme, and work on the new railway got underway. Despite financial difficulties and the troublesome terrain, construction work gradually proceeded, and an auspicious and lavish inaugural ceremony on 2 December 1967 marked the commencement of operations on the 31-kilometre line between Koper and Prešnica
.
Soon afterwards, provisions adopted by Yugoslavia's Federal Executive Council gave fresh impetus to Luka Koper's development. Namely, foreign companies were allowed to invest in local enterprises active within the port's free zone. The construction of the Bulk
Liquids Terminal was one such tangible consequence of these provisions.
Foodstuffs still accounted for the majority of cargo passing through Koper. In 1967, the total throughput of tropical fruit amounted to 113,000 tonnes, which placed it top of the list of Yugoslav ports handling such perishables. There was also an increase in transit cargo, in particular for Czechoslovakia
(140,572 tonnes), Hungary (49,645 tonnes), West Germany
(47,592 tonnes), Austria (15,039 tonnes), Italy (11,369 tonnes), Switzerland (1,680 tonnes), as well as Bulgaria, Romania and the USSR (with an aggregate total of 12,479 tonnes). Between 1968 and 1977 the development of the Port of Koper was exclusively dependent on indigenous resources, namely the company's own profits and raised loans. A high degree of indebtedness in conjunction with rapid development led to a number of economic and operational difficulties.
derivatives saw the greatest rates of annual growth over the ensuring years. The railway was now proving itself to be an excellent investment, and even more ardent opponents to the project were finally forced to admit its worth. As a result of favourable public opinion and excellent performance, the Koper line was officially incorporated into the national rail network. At the same time the state
committed itself to an interest-rate subsidy
on loans raised for the development of port infrastructure, an action which greatly relieved the company's debt burden, particularly as regards the financing of the railway and port infrastructure. Accelerated development, and the large liabilities accrued through such ceaseless investment, affected cash flow
and solvency
. Employment conditions deteriorated, which led to a large turnover in personnel: 703 new workers were employed in 1969, while 490 also left the company. Due to the shortage of domestic labour, workers were brought in from other Yugoslav Republics. All of these conditions concerted negatively on Luka Koper's operations, and the countermeasures adopted ameliorated the situation only slightly.
The Port of Koper began operations by handling a variety of cargo, in particular fruit, timber, wheat and fodder, general cargos and oil
. Initially, imports accounted for more than half of throughput, and a mere ten percent were Slovenian exports. The balance was accounted for by transit goods destined to the countries of Eastern Europe
.
From this period on, Luka Koper began to increasingly specialise and concentrate on certain types of cargo. The volume of timber throughput rose, whilst mineral and ore cargo shipments became ever more frequent. In addition to petroleum, other liquid cargos, such as chemicals, wine and vegetable oil were also handled. Containers
and RO-RO were crucial innovations of the 1970s for which a specialised terminal came on stream in 1979.
In this era, half of cargo handled, not including petroleum derivatives, pertained to the domestic market of which imports accounted for 35 percent, and exports 15 percent of total. The other half was transit cargo pertaining to Czechoslovakia, Hungary and Austria.
s increased eightfold over the decade.
In addition, the 1980s witnessed the first major shipment of cars, a trade which - over the years - was to develop into one of the most important areas of business. The second half of the decade was characterised by considerable down-turns in raw timber and fruit throughput, which was due mainly to the more widespread introduction of containerisation
.
The proportion of transit freight rose throughout the 1980s, and bulk cargos for Austria particularly so. By 1990, Koper's total business, with Hungary and Czechoslovakia each still holding some 10 percent.
. The late 1990s marked a particularly successful period of development for Luka Koper, while between 1990 and 2000 cargo throughput increased by over 70 percent, i.e. some 8 percent per annum.
By 2000, Luka Koper was again handling 300,000 tonnes of timber per annum. And while petroleum derivates volume reached three-fold the level they had been in the early 90's, the company actively capped the commensurate growth that was occurring in iron ore and coal
traffic. Vehicle throughput increased seventeenfold in a mere decade. The late 1990s also saw the upgrade of livestock operations. Although growth in container freight continued, it only increased by twenty percent over the decade, which for the most part was a consequence of the unstable political and economic situation experienced in many of the hinterland states during the early 1990s.
The 1990s also saw the creation of a cargo market structure that persists to this day. Some one-third of all traffic was attributable to Slovenian domestic market, while the countries of the European hinterland of Koper accounted for the remainder. By 2000, Austria was placed first with over two million tonnes of goods per annum, while Italy accounted for a significant ten percent of total.
The most intensive growth was recorded in trade with Hungary, which surpassed a million tonnes in 2006. Nevertheless, Austrian clients - with 3.5 million tonnes, or a quarter of total throughput - still top the transit freight list, whilst trade with Italy, which now accounts for 15 percent of business, also grew rapidly. The domestic market generated some 30 percent of turnover. The throughput has increased in average for 7 percent annually.
During 2006, cargo throughput almost reached saturation level due to the limitations posed by the single line rail link with the national network. Over recent years the growth in container freight and vehicles has been of particular importance to the prosperity of Luka Koper, and shall remain amongst the company's key strategic development orientations over the coming decade.
Public limited company
A public limited company is a limited liability company that sells shares to the public in United Kingdom company law, in the Republic of Ireland and Commonwealth jurisdictions....
, which provides port
Port
A port is a location on a coast or shore containing one or more harbors where ships can dock and transfer people or cargo to or from land....
and logistic
Logistics
Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and...
s services in the only Slovenia
Slovenia
Slovenia , officially the Republic of Slovenia , is a country in Central and Southeastern Europe touching the Alps and bordering the Mediterranean. Slovenia borders Italy to the west, Croatia to the south and east, Hungary to the northeast, and Austria to the north, and also has a small portion of...
n port, in Koper. It is situated in the northern part of the Adriatic Sea
Adriatic Sea
The Adriatic Sea is a body of water separating the Italian Peninsula from the Balkan peninsula, and the system of the Apennine Mountains from that of the Dinaric Alps and adjacent ranges...
, connecting mainly markets of Central
Central Europe
Central Europe or alternatively Middle Europe is a region of the European continent lying between the variously defined areas of Eastern and Western Europe...
and Southeast Europe
Southeast Europe
Southeast Europe or Southeastern Europe is a relatively recent political designation for the states of the Balkans. Writers such as Maria Todorova and Vesna Goldsworthy have suggested the use of the term Southeastern Europe to replace the word Balkans for the region, to minimize potential...
with the Mediterranean Sea
Mediterranean Sea
The Mediterranean Sea is a sea connected to the Atlantic Ocean surrounded by the Mediterranean region and almost completely enclosed by land: on the north by Anatolia and Europe, on the south by North Africa, and on the east by the Levant...
. Differently from other European ports, which are managed by port authorities
Port authority
In Canada and the United States a port authority is a governmental or quasi-governmental public authority for a special-purpose district usually formed by a legislative body to operate ports and other transportation infrastructure.Port authorities are usually governed by boards or...
, the activities of Port of Koper comprise the management of the free zone
Free economic zone
Many countries have, or have had at some time, designated areas where companies are taxed very lightly or not at all to encourage development or for some other reason...
area, the management of the port area and the role of terminal operator. The Port of Koper has 12 specialized terminals:
- ContainerIntermodal containerAn intermodal container is a standardized reusable steel box used for the safe, efficient and secure storage and movement of materials and products within a global containerized intermodal freight transport system...
and Ro-Ro Terminal - Car Terminal
- General cargo Terminal
- Fruit Terminal
- TimberTimberTimber may refer to:* Timber, a term common in the United Kingdom and Australia for wood materials * Timber, Oregon, an unincorporated community in the U.S...
Terminal - Terminal for minerals
- Terminal for cereals and fodder
- AluminaAluminium oxideAluminium oxide is an amphoteric oxide with the chemical formula 23. It is commonly referred to as alumina, or corundum in its crystalline form, as well as many other names, reflecting its widespread occurrence in nature and industry...
Terminal - European Energy Terminal
- Liquid Cargoes Terminal
- Livestock Terminal
- Passenger Terminal
Before the World War II
From its establishment during the era of the Roman RepublicRoman Republic
The Roman Republic was the period of the ancient Roman civilization where the government operated as a republic. It began with the overthrow of the Roman monarchy, traditionally dated around 508 BC, and its replacement by a government headed by two consuls, elected annually by the citizens and...
, maritime trade has played an important role in the history and development of Koper. The town received a charter
Charter
A charter is the grant of authority or rights, stating that the granter formally recognizes the prerogative of the recipient to exercise the rights specified...
from Holy Roman Emperor
Holy Roman Empire
The Holy Roman Empire was a realm that existed from 962 to 1806 in Central Europe.It was ruled by the Holy Roman Emperor. Its character changed during the Middle Ages and the Early Modern period, when the power of the emperor gradually weakened in favour of the princes...
Conrad II
Conrad II, Holy Roman Emperor
Conrad II was Holy Roman Emperor from 1027 until his death.The son of a mid-level nobleman in Franconia, Count Henry of Speyer and Adelaide of Alsace, he inherited the titles of count of Speyer and of Worms as an infant when Henry died at age twenty...
in the early 11th century, while in the 13th century the Patriarchs of Aquileia granted Koper domain over its northern Istria
Istria
Istria , formerly Histria , is the largest peninsula in the Adriatic Sea. The peninsula is located at the head of the Adriatic between the Gulf of Trieste and the Bay of Kvarner...
n hinterland. In 1279, Koper was absorbed by the Venetian Republic
Republic of Venice
The Republic of Venice or Venetian Republic was a state originating from the city of Venice in Northeastern Italy. It existed for over a millennium, from the late 7th century until 1797. It was formally known as the Most Serene Republic of Venice and is often referred to as La Serenissima, in...
, and developed into the pre-eminent commercial and administrative centre of Istria. Following the fall of Venice
Venice
Venice is a city in northern Italy which is renowned for the beauty of its setting, its architecture and its artworks. It is the capital of the Veneto region...
in 1797, the entire region was absorbed into the Habsburg Monarchy
Habsburg Monarchy
The Habsburg Monarchy covered the territories ruled by the junior Austrian branch of the House of Habsburg , and then by the successor House of Habsburg-Lorraine , between 1526 and 1867/1918. The Imperial capital was Vienna, except from 1583 to 1611, when it was moved to Prague...
, and, for a short while, Koper held the somewhat flattering epithet of the Imperial Austrian Port.
When Trieste
Trieste
Trieste is a city and seaport in northeastern Italy. It is situated towards the end of a narrow strip of land lying between the Adriatic Sea and Italy's border with Slovenia, which lies almost immediately south and east of the city...
and Rijeka
Rijeka
Rijeka is the principal seaport and the third largest city in Croatia . It is located on Kvarner Bay, an inlet of the Adriatic Sea and has a population of 128,735 inhabitants...
were proclaimed as free ports in 1719, Koper's status, trade and influence began to ebb. The collapse of the Venetian Republic and the later transfer of local administrative and political power to Trieste further hastened this decline. Koper's maritime and commercial stagnation continued, first under the Habsburg rule, and then after 1919 under the Italian rule. Despite liberation in 1945, insecurity as to its future continued into the post-war era, during the period of the Free Territory of Trieste
Free Territory of Trieste
The Free Territory of Trieste was to be a city-state situated in Central Europe between northern Italy and Yugoslavia, created by the United Nations Security Council in the aftermath of World War II and provisionally administered by an appointed military governor commanding the peacekeeping United...
. Koper's status and long-term future were finally resolved in 1954 through the signing of the London Memorandum of Understanding, by way of which Zone B of the territory - including Koper and Istria - was ceded to Yugoslavia
Yugoslavia
Yugoslavia refers to three political entities that existed successively on the western part of the Balkans during most of the 20th century....
. The partition of the Trieste Free Territory led to much emigration by ethnic Italians living in Istrian coastal towns. Neglected for more than two centuries, their commercial potential was poor and their industries obsolete, whilst maritime traffic and trade was strictly limited to local needs.
Afterwar period
In investigating new possibilities for the development of Slovenian IstriaSlovenian Istria
Slovenian Istria often called Obala in Slovene is a region in southwest of Slovenia. It comprises the northern part of the Istrian peninsula, and it is part of the wider geographical-historical region known as the Slovenian Littoral . Its largest urban center is Koper. Other larger settlements...
, a group of enthusiasts began considering the potentials for construction of an international seaport. In 1957, they prepared an investment programme for the development of 135 metres of Koper's northern shore, while 23 May that year saw the foundation of the first handling and warehousing company Pristanišče Koper. Thus the new venture was established, employing local workers whose experience was crucial in the organisation of this new and intrepid undertaking.
By August 1957, the Peter Klepec, a floating dredger had deepened the seabed along the northern shore of town, and concreting the area around the first berth began in December. At the same time, work began on a dyke
Levee
A levee, levée, dike , embankment, floodbank or stopbank is an elongated naturally occurring ridge or artificially constructed fill or wall, which regulates water levels...
across the Stanjon inlet, and thus the operative areas of the new port began to take shape by a continuous process of dredging and accumulation. The Port of Koper was eventually permitted to join the Association of Yugoslav Ports , and in October 1958 received the state consent for its investment programme. At last due recognition was at hand.
The founding of Luka Koper
Despite developing in an era in which imports were rising, it was difficult to attract business away from the established ports in the region, such as nearby Port of TriestePort of Trieste
The Free Port of Trieste, is an Italian port on North Adriatic Sea in Trieste, Italy.It is subdivided into 5 different Free Areas, 3 of which have been allotted to commercial activities:*the Old Free Area...
(Italy) and Port of Rijeka
Port of Rijeka
The Port of Rijeka is a seaport in Rijeka, Croatia, located on the shore of the Kvarner Gulf in the Adriatic Sea. The first records of the port date to 1281. It was the main port of the Kingdom of Hungary in the 19th century and the beginning of the 20th century, of Yugoslavia between World War II...
(Croatia). But development gradually enhanced the port's competitive edge, as did its openness to prospective users, and this led to increasingly widespread commercial co-operation as well as the establishment of what were to become long-term partnerships between the port and its customers. It was mainly companies trading in foodstuffs and timber - including, amongst others, the national Silo and Warehouses Administration, Emona, Slovenijales and Centroprom - that decided to co-finance or invest in the construction of the necessary infrastructure.
Based on the resolution of the company's Workers` Council in October 1961, Pristanišče Koper changed its name to Luka Koper, and operated as a socially owned and managed enterprise. The company's objectives were clear, and by the end of 1962 its integrated operations were functioning efficiently. Development continued with the acquisition of the Dekani
Dekani
Dekani is a settlement in the Municipality pf Koper in the Littoral region of Slovenia.The local church is dedicated to the Assumption of Mary and was originally built in 1229 and remodeled at the end of the 15th century.-External links:*...
cold storage facility and the purchase of disinfection and fruit ripening units. By 1962, annual throughput amounted to 270,000 tonnes. Freight passing through the port was for the most part hauled by road, with a minor portion travelling by rail to Kozina
Kozina
Kozina is a settlement in the municipality of Hrpelje-Kozina in the Littoral region of Slovenia, close to the border with Italy.The village developed only after the railway was established; in 1825 there were only three houses in Kozina. It became an important center for teamsters, with twelve inns...
, and from there transported by truck to Koper, and vice-versa.
Imports were destined for the Slovenian and Serbian markets; unlike neighbouring Croatia, Serbia did not have its own access to the sea. During the early 1960s, outgoing maritime cargo, exports from the European continent, amounted to a mere 20 percent of total traffic, while the proportion of transit goods was similarly low. With nearly the same capacities and improved organisation, 1963 witnessed a throughput of 628,456 tonnes of cargo. This rapid growth was the result of increased imports of wheat, rice, fertiliser and fodder. As a consequence of its solid performance, in conjunction with its geographic and other advantages, Luka Koper gained the trust of its foreign partners, and recorded record growth.
The excellent results achieved in 1963 were also a consequence of the establishment of the first free zone
Free economic zone
Many countries have, or have had at some time, designated areas where companies are taxed very lightly or not at all to encourage development or for some other reason...
, Luka Koper was able to provide a range of services for companies using the port. This new orientation required the reorganisation of the company into six units: Handling, Warehousing
Warehouse
A warehouse is a commercial building for storage of goods. Warehouses are used by manufacturers, importers, exporters, wholesalers, transport businesses, customs, etc. They are usually large plain buildings in industrial areas of cities and towns. They usually have loading docks to load and unload...
, Timber, Maintenance, Joint Services and Luški dom.
Era of railway
Accelerated development and operational growth revealed the inadequacy of communications with the hinterlandHinterland
The hinterland is the land or district behind a coast or the shoreline of a river. Specifically, by the doctrine of the hinterland, the word is applied to the inland region lying behind a port, claimed by the state that owns the coast. The area from which products are delivered to a port for...
. Various problems pertaining to the co-ordination of rail and road transport between Koper and Kozina increased the demurrage
Demurrage
The term demurrage originated in vessel chartering and refers to the period when the charterer remains in possession of the vessel after the period normally allowed to load and unload cargo . By extension demurrage refers to the charges that the charterer pays to the shipowner for its extra use of...
costs of vessels, wagons and trucks. Nevertheless, the freight handled by Luka Koper continued to rise, and in 1966 amounted to 788,616 tonnes.
Both the Yugoslav as well as the Slovenian authorities did not look favourably to the construction of a rail link for Koper, thus Luka Koper itself financed the initial study and project documentation. In 1964, following exhaustive negotiations, the company commissioned the scheme, and work on the new railway got underway. Despite financial difficulties and the troublesome terrain, construction work gradually proceeded, and an auspicious and lavish inaugural ceremony on 2 December 1967 marked the commencement of operations on the 31-kilometre line between Koper and Prešnica
Prešnica
Prešnica is a village in the Municipality of Hrpelje-Kozina in the Littoral region of Slovenia.The local church is dedicated to Saint Gertrude and belongs to the Parish of Klanec.-External links:*...
.
Soon afterwards, provisions adopted by Yugoslavia's Federal Executive Council gave fresh impetus to Luka Koper's development. Namely, foreign companies were allowed to invest in local enterprises active within the port's free zone. The construction of the Bulk
Bulk cargo
Bulk cargo is commodity cargo that is transported unpackaged in large quantities. This cargo is usually dropped or poured, with a spout or shovel bucket, as a liquid or as a mass of relatively small solids , into a bulk carrier ship's hold, railroad car, or tanker truck/trailer/semi-trailer body...
Liquids Terminal was one such tangible consequence of these provisions.
Foodstuffs still accounted for the majority of cargo passing through Koper. In 1967, the total throughput of tropical fruit amounted to 113,000 tonnes, which placed it top of the list of Yugoslav ports handling such perishables. There was also an increase in transit cargo, in particular for Czechoslovakia
Czechoslovakia
Czechoslovakia or Czecho-Slovakia was a sovereign state in Central Europe which existed from October 1918, when it declared its independence from the Austro-Hungarian Empire, until 1992...
(140,572 tonnes), Hungary (49,645 tonnes), West Germany
West Germany
West Germany is the common English, but not official, name for the Federal Republic of Germany or FRG in the period between its creation in May 1949 to German reunification on 3 October 1990....
(47,592 tonnes), Austria (15,039 tonnes), Italy (11,369 tonnes), Switzerland (1,680 tonnes), as well as Bulgaria, Romania and the USSR (with an aggregate total of 12,479 tonnes). Between 1968 and 1977 the development of the Port of Koper was exclusively dependent on indigenous resources, namely the company's own profits and raised loans. A high degree of indebtedness in conjunction with rapid development led to a number of economic and operational difficulties.
A leap in growth in the late 1960s
The most important investment in 1968 was the construction of the liquid fuels terminal, which began operations in November of that year. Indeed, petroleumPetroleum
Petroleum or crude oil is a naturally occurring, flammable liquid consisting of a complex mixture of hydrocarbons of various molecular weights and other liquid organic compounds, that are found in geologic formations beneath the Earth's surface. Petroleum is recovered mostly through oil drilling...
derivatives saw the greatest rates of annual growth over the ensuring years. The railway was now proving itself to be an excellent investment, and even more ardent opponents to the project were finally forced to admit its worth. As a result of favourable public opinion and excellent performance, the Koper line was officially incorporated into the national rail network. At the same time the state
Sovereign state
A sovereign state, or simply, state, is a state with a defined territory on which it exercises internal and external sovereignty, a permanent population, a government, and the capacity to enter into relations with other sovereign states. It is also normally understood to be a state which is neither...
committed itself to an interest-rate subsidy
Subsidy
A subsidy is an assistance paid to a business or economic sector. Most subsidies are made by the government to producers or distributors in an industry to prevent the decline of that industry or an increase in the prices of its products or simply to encourage it to hire more labor A subsidy (also...
on loans raised for the development of port infrastructure, an action which greatly relieved the company's debt burden, particularly as regards the financing of the railway and port infrastructure. Accelerated development, and the large liabilities accrued through such ceaseless investment, affected cash flow
Cash flow
Cash flow is the movement of money into or out of a business, project, or financial product. It is usually measured during a specified, finite period of time. Measurement of cash flow can be used for calculating other parameters that give information on a company's value and situation.Cash flow...
and solvency
Solvency
Solvency, in finance or business, is the degree to which the current assets of an individual or entity exceed the current liabilities of that individual or entity. Solvency can also be described as the ability of a corporation to meet its long-term fixed expenses and to accomplish long-term...
. Employment conditions deteriorated, which led to a large turnover in personnel: 703 new workers were employed in 1969, while 490 also left the company. Due to the shortage of domestic labour, workers were brought in from other Yugoslav Republics. All of these conditions concerted negatively on Luka Koper's operations, and the countermeasures adopted ameliorated the situation only slightly.
Cargo throughput growth prior to 1970
Annual maritime cargo throughput surpassed the one-million-tonnes threshold for the first time in 1968; just two years later the quantity was nearly two million tonnes. In addition to petroleum derivatives, general cargo throughput also increased, which can mainly be attributed to the revival of Slovenian trade and commerce.The Port of Koper began operations by handling a variety of cargo, in particular fruit, timber, wheat and fodder, general cargos and oil
Oil
An oil is any substance that is liquid at ambient temperatures and does not mix with water but may mix with other oils and organic solvents. This general definition includes vegetable oils, volatile essential oils, petrochemical oils, and synthetic oils....
. Initially, imports accounted for more than half of throughput, and a mere ten percent were Slovenian exports. The balance was accounted for by transit goods destined to the countries of Eastern Europe
Eastern Europe
Eastern Europe is the eastern part of Europe. The term has widely disparate geopolitical, geographical, cultural and socioeconomic readings, which makes it highly context-dependent and even volatile, and there are "almost as many definitions of Eastern Europe as there are scholars of the region"...
.
Cargo throughput growth 1970 - 1980
The 1970s witnessed a slow-down in rises in cargo throughput; the growth rate averaged 2.6 percent per annum, which resulted in an increase of less than thirty percent over the decade. This deceleration was a consequence of the high degree of corporate indebtedness, labour cost rises and organisational instability.From this period on, Luka Koper began to increasingly specialise and concentrate on certain types of cargo. The volume of timber throughput rose, whilst mineral and ore cargo shipments became ever more frequent. In addition to petroleum, other liquid cargos, such as chemicals, wine and vegetable oil were also handled. Containers
Intermodal container
An intermodal container is a standardized reusable steel box used for the safe, efficient and secure storage and movement of materials and products within a global containerized intermodal freight transport system...
and RO-RO were crucial innovations of the 1970s for which a specialised terminal came on stream in 1979.
In this era, half of cargo handled, not including petroleum derivatives, pertained to the domestic market of which imports accounted for 35 percent, and exports 15 percent of total. The other half was transit cargo pertaining to Czechoslovakia, Hungary and Austria.
Cargo throughput growth 1980 - 1990
The 1980s were an extremely significant period in the development of Luka Koper; total throughput more than doubled, while the range of capacities were extended to those which the port has to this day. Alumina imports commenced in 1990, while dry bulk cargoBulk cargo
Bulk cargo is commodity cargo that is transported unpackaged in large quantities. This cargo is usually dropped or poured, with a spout or shovel bucket, as a liquid or as a mass of relatively small solids , into a bulk carrier ship's hold, railroad car, or tanker truck/trailer/semi-trailer body...
s increased eightfold over the decade.
In addition, the 1980s witnessed the first major shipment of cars, a trade which - over the years - was to develop into one of the most important areas of business. The second half of the decade was characterised by considerable down-turns in raw timber and fruit throughput, which was due mainly to the more widespread introduction of containerisation
Containerization
Containerization is a system of freight transport based on a range of steel intermodal containers...
.
The proportion of transit freight rose throughout the 1980s, and bulk cargos for Austria particularly so. By 1990, Koper's total business, with Hungary and Czechoslovakia each still holding some 10 percent.
Cargo throughput growth 1990 - 2000
The final few years of the 20th century were marked by dynamic growth, underpinned by an up-turn in the Slovenian economyEconomy of Slovenia
Slovenia today is a developed country that enjoys prosperity and stability, as well as a GDP per capita at 88% of the EU27 average.-History:Although it comprised only about one-thirteenth of Yugoslavia's total population, it was the most productive of the Yugoslav republics, accounting for...
. The late 1990s marked a particularly successful period of development for Luka Koper, while between 1990 and 2000 cargo throughput increased by over 70 percent, i.e. some 8 percent per annum.
By 2000, Luka Koper was again handling 300,000 tonnes of timber per annum. And while petroleum derivates volume reached three-fold the level they had been in the early 90's, the company actively capped the commensurate growth that was occurring in iron ore and coal
Coal
Coal is a combustible black or brownish-black sedimentary rock usually occurring in rock strata in layers or veins called coal beds or coal seams. The harder forms, such as anthracite coal, can be regarded as metamorphic rock because of later exposure to elevated temperature and pressure...
traffic. Vehicle throughput increased seventeenfold in a mere decade. The late 1990s also saw the upgrade of livestock operations. Although growth in container freight continued, it only increased by twenty percent over the decade, which for the most part was a consequence of the unstable political and economic situation experienced in many of the hinterland states during the early 1990s.
The 1990s also saw the creation of a cargo market structure that persists to this day. Some one-third of all traffic was attributable to Slovenian domestic market, while the countries of the European hinterland of Koper accounted for the remainder. By 2000, Austria was placed first with over two million tonnes of goods per annum, while Italy accounted for a significant ten percent of total.
Cargo throughput growth 2000 - 2006
During the first six years of the new millennium, the throughput in container traffic, vehicles, timber, liquid cargos (excluding petroleum) and cereals, have all doubled, while general cargo has increased by over 50 percent.The most intensive growth was recorded in trade with Hungary, which surpassed a million tonnes in 2006. Nevertheless, Austrian clients - with 3.5 million tonnes, or a quarter of total throughput - still top the transit freight list, whilst trade with Italy, which now accounts for 15 percent of business, also grew rapidly. The domestic market generated some 30 percent of turnover. The throughput has increased in average for 7 percent annually.
During 2006, cargo throughput almost reached saturation level due to the limitations posed by the single line rail link with the national network. Over recent years the growth in container freight and vehicles has been of particular importance to the prosperity of Luka Koper, and shall remain amongst the company's key strategic development orientations over the coming decade.
External links
- Luka Koper - Official Page;
- Živeti s pristaniščem (Living with the port) - A Web Platform for Sustainable Development of Luka Koper