Daily News Blog

Colombo Port transshipment decline enters 4th month; April dips 5.8%

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The Port of Colombo’s transshipment volumes recorded a 5.8 percent year-on-year (YoY) decline in April 2025, reaching 495,456 twenty-foot equivalent units (TEUs), marking the fourth consecutive month of slowdown in this crucial segment. This decline comes as the port braces for a challenging outlook over the following two months (May and June) due to anticipated operational disruptions from adverse weather conditions and the scheduled closure of the East Container Terminal (ECT) from June 5th to June 19th. Bad weather conditions have been, in particular, causing significant berthing delays, with the Colombo International Container Terminal (CICT), for instance, experiencing delays of 3 to 4 days, according to industry sources.Adding to these challenges, stakeholders are concerned by the perceived lack of transparent communication from officials regarding measures taken to prevent additional shipping disruptions, causing uncertainty for mainline shipping lines.The April transshipment figures brought the cumulative volume for the first four months of 2025 to 2.03 million TEUs, a 6.2 percent decrease compared to the same period in 2024.Overall container throughput at the Port of Colombo for April 2025 saw a marginal decline of 0.5 percent YoY, with 623,719 TEUs handled. For the January to April period, total container throughput stood at 2.56 million TEUs, down 2.9 percent YoY. The share of transshipment in the port’s total throughput for April was 79 percent, down from 84 percent in April 2024, and stood at 79 percent for the cumulative period, down from 82 percent.Reflecting on the first four months of the year, the Port of Colombo’s transshipment volumes fell by 6.2 percent YoY, totaling 2.03 million TEUs, down from 2.17 million TEUs in the corresponding period of 2024. This downturn contrasts with the robust growth experienced in parts of the previous year.Industry analysts attribute the recent decline in transshipment to some mainline shipping services being withdrawn from Colombo earlier in the year due to congestion, with those services yet to fully return.Overall, the Port of Colombo handled a total container throughput of 2.56 million TEUs in the first four months of 2025, representing a 2.9 percent YoY decrease from the 2.64 million TEUs handled in the same period in 2024.The Sri Lanka Ports Authority (SLPA)-run Jaya Container Terminal (JCT), Unity Container Terminal (UCT), and the partially operational East Container Terminal (ECT) collectively handled 802,163 TEUs, a 4.2 percent YoY decline. In April alone, these terminals handled 181,934 TEUs, down 1.3 percent YoY.The Colombo International Container Terminal (CICT) processed 1.09 million TEUs cumulatively, marking a 6.4 percent YoY decrease. However, in April, CICT saw a 4.5 percent YoY increase, handling 280,580 TEUs.The South Asia Gateway Terminal (SAGT) recorded a 2.7 percent YoY increase in cumulative volumes, handling 653,557 TEUs. In April, SAGT handled 148,767 TEUs, a decrease of 14.6 percent YoY.Total ship arrivals at the port for January-April 2025 decreased by 1.6 percent YoY to 1,319 vessels. However, April saw a 2.9 percent YoY increase in total ship arrivals to 321 vessels. Container ship arrivals for the first four months were down 1.7 percent YoY to 1,187, though April recorded a 5.4 percent YoY increase to 291 container vessels. CWIT received 4 container ship calls in April, bringing its cumulative calls to 7.On a positive note, the Port of Colombo witnessed healthy growth in import and export container volumes during April and the first four months of the year.In April 2025, import container volumes surged by 20.6 percent YoY to 49,966 TEUs. This growth was driven by a 28.0 percent increase in laden imports (46,677 TEUs). Cumulatively, from January to April 2025, laden imports were up by 23.7 percent to 199,909 TEUs.Export container volumes also showed robust growth, increasing by 18.7 percent YoY in April to 47,010 TEUs. Laden exports grew by 4.3 percent to 22,762 TEUs. For the January to April period, laden exports were down slightly by 1.5 percent to 97,223 TEUs.Re-stowing volumes also saw a substantial increase of 56.8 percent in April, reaching 31,287 TEUs, though cumulatively they were down by 6.9 percent to 101,712 TEUs.Re-stowing volumes also saw a substantial increase of 56.8 percent in April, reaching 31,287 TEUs, though cumulatively they were down by 6.9 percent to 101,712 TEUs.While Port of Colombo navigated a slowdown, competing ports in India, particularly those operated by Adani Ports and Special Economic Zone (APSEZ), demonstrated robust growth in the comparable period. For the financial year ending March 2025 (FY25), APSEZ reported a 7 percent YoY increase in overall cargo to 450.2 million metric tonnes (MMT), with container handling surging by 20 percent YoY.Mundra Port, an APSEZ flagship, became the first Indian port to cross the 200 MMT cargo mark in a single year (FY25). Furthermore, the newly operational Vizhinjam Port in Kerala, India’s first deep-water automated transhipment terminal, is rapidly scaling up. By March 2025, within four months of operation, Vizhinjam handled over 100,000 TEUs in a single month and had processed a total of 320,000 TEUs by February 2025. This highlights a strategic push by India to capture a larger share of regional transshipment traffic. The Port of Colombo’s immediate outlook remains challenging, given the operational disruptions from weather and the ECT closure, on top of the ongoing transshipment volume decline.

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