Guatemala: Port Santo Tomás de Castilla Resumes Operations

2024-08-16

Port Santo Tomás de Castilla authorities have announced the resumption of operations following the removal of protestors obstructing access to the container loading and unloading area.

For two days, former Empornac employees had blocked access and disrupted container loading and unloading operations. The National Civil Police (PNC) successfully cleared a group of protestors who had been obstructing the entrance to the Empresa Portuaria Nacional Santo Tomás de Castilla (Empornac) since August 6. The protest was in response to certain board decisions, and it significantly impacted port operations, immobilizing approximately 1,800 containers and leaving four vessels in limbo - two waiting to be loaded and two more in the anchorage area.

This evening, Empornac authorities, the Ministry of Communications, and the SAT Superintendence of Customs announced that a protocol would be implemented to expedite delayed shipments caused by the blockade's operational interruption.

According to authorities, most containers transport perishable goods, mainly fruits such as melon, bananas, plantains, and vegetables destined for ports in Florida and other connections to ports in Europe. There are also containers with general cargo. Regarding imports, various items, including inputs, raw materials, vehicles, and machinery, were reported to be stranded. Additionally, cargo destined for El Salvador for export and import was reported.

“After dialogue and exhausting this instance, elements of the National Civil Police -PNC- managed to clear the road section at kilometer 294 of the CA-9 North at the entrance of Pre Puerto-Maria Luisa, ensuring free movement for the general population. We inform our clients that the reception and dispatch of containers have resumed normally, in favor of national and international trade,” Empornac announced in a press release.

Earlier, José de La Peña, president of Empornac’s Board of Directors, told Prensa Libre that dialogue had already commenced between representatives of the Port’s Workers’ Benefits Plan, Departmental Government authorities, the Human Rights Ombudsman’s Office, and the PNC.

De La Peña added that tonight, loading operations of some merchant ships docked at the port will commence, which could take about three hours due to the prioritization process. He also mentioned that another vessel is scheduled to enter at midnight, and one of the two ships docked at anchor berthed at  7:00 a.m. on Friday, August 9. Therefore, they anticipate activities to normalize over the weekend of week 32.

Furthermore, the Guatemalan Exporters Association of Guatemala (Agexport) reported average losses of approximately US$500 thousand due to delays in the logistics chain. Fanny D. Estrada, Agexport’s director of inter-institutional relations, stated that the protest posed “a high risk of non-compliance.”

In a separate report, Agexport’s Apparel and Textile Commission (Vestex) revealed that 88% of the companies surveyed indicated they were affected by the blockades. Alejandro Ceballos, vice president of Vestex, said that at least 15 containers have not been shipped, and three containers of raw material imports have not been received.

“Some companies indicate that their exports are scheduled for the weekend, so they are still unaware of the situation they will be facing.”

Preliminary losses of up to US$146,000 have been recorded, with repercussions of shipment delays. This implies problems with international clients and has implications on the companies' operating costs since they must deal with cost overruns, he concluded.