Study to Position Jamaica as a Bunkering Location in the Caribbean region

Reference: X/JAM/0652
Location: Jamaica
Duration: 15 person weeks / 75 person days
Closing Date: 28 Aug 2012

Background

The Commonwealth Secretariat has been approached by the Government of Jamaica through the Maritime Authority of Jamaica (MAJ), to conduct a study to position Jamaica as a bunkering location in the region.

The Maritime Authority of Jamaica (MAJ) an agency which comes under the Ministry of Transport and Works, has been empowered to facilitate the development of targeted activities within the maritime sector which would serve to establish and promote the country as a maritime Centre, i.e.‘one- stop-shop’ providing services such as ship financing, bunkering, dry docking, repairs and marine insurance.

In 2010, the Commonwealth Secretariat provided technical assistance to MAJ to develop a framework to position Jamaica as a shipping hub. The report noted that Jamaica is an active maritime centre with a bunkering station with considerable growth potential and provided a well-articulated Action Plan. In an attempt to achieve the targets in the Government’s long term National Development Plan and its Growth Enhancement Strategy, the Planning Institute of Jamaica is now requesting on behalf of the Maritime Authority further assistance to conduct a study which inter alia, will quantify the benefits of positioning Jamaica as a bunkering hub in the region.

The shipping industry is a significant contributor to the country's economy. The port of Kingston is strategically located on both the north-south and east–west axis through the Caribbean and 32 miles off the main trading route to and from the Panama Canal. The Port of Kingston is the world's seventh largest natural harbour and Jamaica has a well developed shipping industry, especially in the field of transshipment, ship registry, cruise services, and maritime training. Progress made in these areas have provided the added incentive to Jamaica to elevate itself as a maritime centre capable of supplying allied services such as supply of crew, marine insurance, banking, legal services, dry docking and bunkering.

Purpose of the project

The overall goal of this project is to enable Jamaica to become regional shipping Logistic hub.

Description of the project

The main objective of the project is to conduct a market development study on bunkering in Jamaica to facilitate Jamaica to increase its regional market share.

Scope of work

The consultant(s) will work closely with the Project Manager from the Trade Section (TS) of the Special Advisory Services Division (SASD) and using internationally acknowledged methodology, perform:

• Conducting a market assessment and economic viability impact analysis including:

• Overview/analysis of current bunkering operations in Jamaica
• Critical assessment of current bunker supply and service providers
• Delivery infrastructure
• Sources of Supply, Cost of Supply and Profit Margins In Jamaica
• Public Agencies & their Interaction with the Bunker Sector
• Identification of potentially “captive” traffic for Jamaica and main competitors
• Forecasting of future demand potential for bunkering over the next 5 years

• Analysis of the regional and international bunkering markets (US East and Gulf Coast, Caribbean, South and Central America and Singapore) including:

• Bunker suppliers and service providers
• Sales volumes (bunker and ships)
• Delivery infrastructure
• Quality and price structure
• Analysis of competition including factors which will promote bunker calls and choice of facilities
• Future trends of bunkering in the Region

• Conducting a SWOT analysis
• Assessment of environmental impact of bunkering based on international best practices.
• Identification of regulatory requirement.
• Recommend short, medium and long term strategies required to develop Jamaica as a Centre.
• Conducting two stakeholder consultative workshops
• Presenting the final report to Government of Jamaica
• Preparation of detailed framework, budget and strategy for the development of Jamaica as a regional bunkering Centre.
  

Consultants’ Output

• Market development study
• Short, medium and long term strategies required to develop Jamaica as a regional bunkering hub
• Action Plan and budget for the development of Jamaica as a regional bunkering centre

Expected Project Outcomes

• Increased activities and investments in bunkering sector in Jamaica.
• Increased inflows of FDI.
• Increase in GDP growth rate.
• Increased employment opportunities in the bunker related activities.

Key performance indicators

• All project deliverables produced within budget and schedules.
• Interim Outputs and final reports accepted by the Maritime Authority of Jamaica (MAJ) and the other key stakeholders.

Responsible to:

Project Manager/ Advisor (Trade), Special Advisory Services Division

Required expertise

• Proven international and expertise in the Shipping, shipping related activities Ports, and regulatory aspects of maritime sectors.
• Experience in conducting an assignment of similar nature.
• Qualifications in International shipping, maritime economics, and ports and law are desirable.
• Excellent communication skills are essential, as is the ability to interface effectively at all levels.

Duration and Project Budget

15 person weeks/75 person days. The project budget is at an all-inclusive fee of £36,840.00 (includes fees, subsistence allowance, air travel expenses, incidentals and any other project related costs).

Invitation to tender

Terms of Reference - Study to Position Jamaica as a Bunkering Location in the Caribbean region