Chancay port opening accelerates economic and trade cooperation between China and Latin America

BEIJING (Xinhua/Zhang Tuo) – Peruvian blueberries, Chilean avocados, Brazilian beef, Ecuadorian shrimp – the presence of fresh Latin American products is increasingly noticeable in China, even though the region is thousands of kilometers away.

One of the main drivers of this increase in presence in the Chinese market is the greater efficiency and convenience offered by maritime logistics channels.

In recent years, more maritime routes have been opened between China and Latin America. For example, Tianjin, the largest comprehensive port in the north of the country, opened three new direct routes to the region between December 2023 and May this year, thus covering its main ports.

Thanks to these maritime logistics channels, products such as fruit, meat and seafood expand the richness and variety of Chinese consumers' tables. At the same time, chemicals, glass, rolled steel and automobiles, among other products, are shipped from China to Latin America.

Now, the recent opening of the Peruvian port of Chancay and the direct round-trip route between it and Shanghai, which took place this month, is further accelerating economic and trade cooperation between the two sides and will bring new things to their consumers.

It is not only a good deepwater port, but also the first smart and environmentally friendly one in South America.

Before the port was opened, there was no port in Peru where large container ships could dock. As a result, goods shipped from Asia had to arrive in Mexico, Panama and other destinations, and then be transported to Peru and other South American countries after being packaged. Freight costs were relatively high and took longer.

With the opening of the direct route between Chancay and Shanghai, the shipping time between the two countries can be reduced to 23 days, saving more than 20 percent of logistics costs, which will greatly improve trade convenience.

Chancay Port has built four berths, of which two are for bulk cargo, and the remaining ones for containers. The port can accommodate large container ships with a capacity of 18.000 20-foot equivalent units (TEU). According to its design, the annual container throughput can reach 1 million TEU, and the annual bulk cargo handling capacity can reach 6 million tons.

The port, which is connected to the Pan-American Highway via a tunnel, leads directly to the city of Lima, the capital of Peru. Goods can be easily transported to Peru and other Latin American countries.

With the opening of the Chancay port, Peruvian blueberries, grapes and avocados will be transported to China through the port of Shanghai. Meanwhile, new energy vehicles, lithium batteries, solar cells and other products from China will enter Peru.

For Peruvian farmers, the opening of the Chancay port is undoubtedly a good opportunity. Fresh agricultural products can be shipped in less time, which means greater advantages for the export of local products, both in terms of cost and quality.

Located more than 400 kilometers north of the port of Chancay, the coastal city of Trujillo, one of the main blueberry growing areas in Peru, has become lively due to the construction of the port.

Federico Maggio, industrial operations manager for Camposol, a major Peruvian fruit and vegetable supplier, said the company's fruits have been entering the Chinese market since 2009. Currently, about 20 percent of blueberries from the Trujillo growing area are exported to the Chinese market.

In the past, transporting blueberries to China took about 45 days. "With the implementation of the first phase of the Chancay port, this journey will be shortened by at least ten days," said the Peruvian businessman.

Maggio said the 10-day time difference allows high-quality blueberries to be shipped to China with better ripeness and provides the opportunity to distribute them to more Chinese cities.

The businessman estimated that after the opening of the Chancay port, Peruvian blueberries will be exported to China in greater quantities and with better quality. For this reason, an expansion of the plantation area of ​​this fruit is planned to meet the demand of the Chinese market.

Across the Pacific, Peruvian blueberries have been well received by Chinese consumers. As the Asian country enters the winter season, fruits such as blueberries and cherries from the southern hemisphere are increasing their presence in Chinese markets.

Chinese supermarket chain 7FRESH, which is part of Chinese e-commerce giant JD.com, has just purchased a batch of blueberries from Peru for sale during the winter season. “Peruvian blueberries have been particularly popular in the store,” said Yan Peng, deputy manager of 11FRESH’s K7 branch in Tianjin.

The Chancay Port is a living example of the pragmatic cooperation between China and Latin America, with highly complementary economies, taking advantage of their respective advantages, benefiting the people of both sides and achieving common prosperity.

The Asian country has remained the region's second largest trading partner since 2012. In 2023, trade in agricultural products between China and Latin America reached $81.030 billion, double the figure from ten years ago.

The Chancay Port, which provides a new option for maritime transport across the Pacific, will open a door for the entire Latin American region to be included in the Asia-Pacific economic integration. In addition, the port's reach extends far beyond China and Latin America, and countries on both sides of the Pacific can take advantage of this maritime route to facilitate global trade, which means more vitality for the world economy and more benefits for all.

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