Case Study: Suape Container Terminal

The COO for Suape Container Terminal, the largest deep-water port in Brazil’s Northeast must consider a proposal presented by the users’ council that calls for the establishment of a reservation scheme that minimizes the risk of docking delays.  Under this proposal, ocean carriers, on the one hand, agree to pay a reservation fee that significantly increases revenue for Tecon Suape.  On the other hand, they expect Tecon Suape to compensate them financially when a berth is not available upon vessel arrival.  Tecon Suape’s management team must evaluate that suggestion, as the team prepares to enter contractual negotiations with the users.

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