BPA Signs Letter of Intent with Rotterdam Port Authority to Establish Cold Chain Logistics Center

Contributing to the Expansion of K-Food Exports and Reduction of Corporate Logistics Costs in the European Region

Busan Port Authority (BPA, President Kang Jun-seok) signed a letter of intent (LoI) with Rotterdam Port Authority in the Netherlands on the 12th to establish a frozen and refrigerated logistics center.

BPA President Kang Joon-seok and Rotterdam Port Authority President Boudewijn Siemons at the LoI signing ceremony.

During President Yoon Seok-yeol's state visit to the Netherlands, the LoI signing ceremony was held at Rotterdam Port Authority, attended by BPA President Kang Jun-seok and Rotterdam Port Authority President Boudewijn Siemons.

Through the LoI, BPA plans to secure the project site in the second half of 2024 after detailed consultations and feasibility studies on the Rotterdam Port Food Hub with Rotterdam Port Authority, and commence operation of the cold chain logistics center from 2027 following two years of construction.

The Food Hub located at Rotterdam Port, the largest logistics gateway in Europe, is a dedicated zone equipped with customs, quarantine, and security facilities that resident companies can jointly use, enabling rapid inspection and handling of frozen and refrigerated food and agricultural and marine products.

BPA, which has been operating a room-temperature logistics center at Rotterdam Port since January last year for Korean mid-sized and small export companies entering Europe, explained that due to the recent increase in exports of Korean fresh food to Europe and the sharp rise in inquiries and demand from local governments and companies for frozen and refrigerated cargo storage, it has decided to promote the establishment of a dedicated cold chain logistics center.

According to a market survey conducted by BPA with a local specialized research institute in the first half of this year, the volume of frozen and refrigerated cargo exported from Korea to Europe is expected to increase more than fourfold by 2030, and compared to other ports in Europe, Rotterdam Port was analyzed as the optimal location for frozen and refrigerated cargo storage and distribution.

In addition to this LoI, BPA promised to maintain close policy cooperation with Rotterdam Port Authority in various fields such as port energy transition, hydrogen terminal construction, and digitalization, which Rotterdam Port Authority is proactively pursuing.

BPA President Kang Jun-seok said, “The Rotterdam cold chain logistics center will greatly help expand K-Food exports in the European region and reduce logistics costs for our companies. We will take the lead in supporting export logistics for our companies through the successful operation of overseas logistics platforms.”