Increased cargo volumes and stable segments
Never has so much cargo been transported at The Port of Helsingborg. The cargo volume increased by over two percent compared to the previous year, and totals for 2022 at almost 8.6 million tons. Net sales increased by 13 million from 2021 to 426 million SEK, and segments like intermodal-, ferry- and cruise traffic also show steady numbers and development.
Despite raging fuel prices, high inflation and war in Europe, the shipping industry remains stable. However, there are still disruptions in the logistic supply chains and shipping companies’ schedules. The past year has, in many ways, been like a rollercoaster, and the year ahead looks to come with its challenges, such as reduced consumer buying power due to high global inflation.
Container and RoRo traffic
Within the container segment, The Port accounted for good stability through most of the year, even though The Port of Helsingborg lost a weekly call in connection with the union-associated sanctions against Russian-related vessels in the first half of 2022, and that import volumes were negatively impacted by inflation during the last quarter. The Port’s results are on par with last year’s 272,000 handled TEUs* by sea.
Intermodal land traffic
The Port of Helsingborg sees a significant increase of 17 percent in cargo arriving or leaving The Port by rail. Intermodal traffic has been growing steadily over the last year with increased demand. The increased demand for rail transport is seen as a result of seeking more sustainable and affordable transport solutions and increased fuel prices.
– We are incredibly pleased about this development, and we see further opportunities to increase volumes by rail as we have the capacity, competence, and infrastructure in place, says Nicklas Romell, CCO at The Port of Helsingborg.
Transporting containerized goods by rail is becoming more common, both long-distance such as the Helsingborg – Boliden shuttle and shorter distances, such as the Helsingborg – Älmhult shuttle. Intermodal traffic is on the rise, and at The Port of Helsingborg’s Combi Terminal, the number of handled TEUs increased by 4,000 last year and totalled 28,000 transported TEUs by rail.
Excellent recovery of ferry traffic and cruise calls
After a few difficult pandemic years, ferry traffic is recovering to pre-covid levels with increased volumes in all categories. Truck traffic increased by one percent, cars by over 45 percent, and the number of passengers crossing the strait increased by 57 percent from about four million to over six million passengers. The Port of Helsingborg was The Port in Sweden with the most calls, 25 389 and the most passengers in the previous year.
– It is incredibly gratifying for our ferry companies that operate the strait between Helsingborg and Elsinore that both the traffic and the passengers have found their way back after a couple of troublesome years. This indicates loyal customers and travellers who appreciate the service and accessibility, says Nicklas Romell.
Due to the conflict between Russia and Ukraine, many cruise lines chose to avoid the Baltic Sea by staying on The West Coast. Due to the conflict, the number of cruise calls increased compared to the previous year and became slightly higher than initially calculated. A total of five luxury cruise ships called Helsingborg and The Swedish East India Company’s replica wooden ship, Götheborg of Sweden, visited Helsingborg for the first time during the city’s H22 City Expo.
Bulk cargo
The turnover for bulk traffic increased from SEK 23 million in 2021 to SEK 28 million in 2022. Due to the situation in The Electricity Market, Öresundskraft increased its import of wood pellets. With sky-high electricity prices prevailing in southern Sweden, the use of pellets increased in Öresundskraft’s power plant to produce electricity and district heating.
The volumes at The Grain Terminal also increased from the previous year, while the volumes for mineral oils in The Energy Terminal are at the same level as in 2021.
Cautious optimism about 2023
Container shortages due to the pandemic, a war in Europe, blockage in The Suez Canal and high inflation are all factors that contributed to the record-high freight prices we have seen over the last couple of years, which created an imbalance in supply and demand. In the second half of 2022, freight prices started to drop, and the outlook for 2023 shows levels on par with before the pandemic.
– After a reasonably good recovery in the cargo flow after the pandemic, new challenges in the logistics sector have emerged. Fuel and energy prices contribute to a more expensive production and supply chain, plus the inflation, which in many cases leads to reduced demand and hits hard against segments within consumer products, such as home electronics, which are mostly imported and arrive through Swedish ports. The Port of Helsingborg keep a close eye on the market and analyzes global trends. At the same time, we ensure business continuity and cost-effective production through new technology, investments in modern energy-efficient machines and drive a close dialogue with our customers about their requirements, concludes Nicklas Romell.
The focus as we advance is to maintain and balance cargo volumes and to be a reliable, flexible, and competitive link in the logistics flow, all while transitioning towards a more sustainable and fossil-free operation by 2024.
* The transport unit Twenty-Foot Equivalent Unit, TEU, measures the volume that passes through the port. One TEU corresponds to the volume of a container with the measurements 8x9x20 feet or just over 36.25 m³.
