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Decline in throughput at Terminal 8 against grain

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Throughput growth at a container-terminal joint-venture between Cosco Pacific and Hutchison Whampoa declined for the first time last month despite strong growth by other operators.

Cosco Pacific said its Terminal 8 East handled 115,800 teu (20 ft equivalent units), a reverse of the 13 consecutive months of throughput growth.

Despite growing at a rate of 18 per cent year-to-date, the decline at Terminal 8 East, the fourth-largest port operator whose major clients include Cosco's shipping fleet, could signal a potential slow-down in China exports.

According to statistics from the Port Maritime Board (PMB), more than two-thirds of Kwai Chung Container Terminal cargo was from South China, with cargo originating from Hong Kong accounting for just 12 per cent.

'I do not think we have seen a decline pattern yet in Cosco, although we might see a modest throughput growth next year.' said Jim Wong, analyst at BNP Paribas Peregrine.

Two other terminal operators saw double-digit growth last month. Modern Terminals Limited (MTL), the second-largest port operator and a subsidiary of Wharf Holdings, said handling capacity grew 25 per cent to 257,400 teu.

MTL handled 2.78 million teu in the first 11 months, rising 16.6 per cent.

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