EMEA News
Dedicated Organisation to Manage Russian Development of Northern Sea Route
Alexander Galushka, Russia's Minister for Development of the Far East, has said development of the Northern Sea Route (NSR) is set to be managed by a separate organisation, Russian media reports.
As previously reported, use of the NSR can reduce travel time between Europe and Asia, along with associated consumption, by up to 40 percent.
Given the potential savings and attraction for ships to re-route vi the NSR should conditions permit, the arctic routes hold the potential for new bunker markets.
Galushka's comments came alongside Friday's meeting between Russian Deputy Prime Minister Yuri Trutnev and Chinese Deputy Prime Minister Wang Yang.
Trutnev said a key task is to increase the number of vessels working along the NSR in order to support further cooperation with Chinese companies.
"Right now, we have an optimal plan for the Arctic container logistics, which includes two hub ports - in Petropavlovsk-Kamchatsky and in Murmansk," said a statement from the Russian government.
"This route is unique as shipping companies from North-Eastern Asia save up to nine days for transportation of cargo to North Europe, while the cost is comparable with expenses in using the Suez or Panama Canals."
In February, Ship & Bunker reported that, despite winter sea ice in the Arctic Sea falling to a record smallest area during 2016, the bunker-saving NSR's Northeast Passage saw its "shortest traversable period in recent years," according to data from the Global Ice Center of Weathernews Inc. (Weathernews).
