Establishment of Ulsan Port Authority to Expedite Privatization

The Ulsan Port Authority is anticipated to be established as early as July 2007. On Dec 22, 2006, the Ministry of Maritime Affairs and Fisheries (MOMAF) organized an Ulsan Port Authority Establishment Committee in collaboration with relevant ministries and Ulsan City. An Establishment Promotion Task Force will also be built in order to support the Committee and come into force on Jan 2, 2007, said the Ministry.

The Ministry plans to launch the Ulsan Port Authority in Jul 2007 after a six-month period of preparations for assessment of the national property and organization of the structure and personnel.

Indicating stability in terms of port incomes and high financial independence among other trade ports in Korea, the Port of Ulsan has been assessed capable of introducing a port authority system following the Port of Busan and the Port of Incheon. Handling 162 million tonnes of cargo based in 2005, Ulsan Port ranked third following the Port of Busan (217 million tonnes). In addition, through achieving KRW 41.7 billion in port income, the Port has shown that it is equipped with a sound foundation of financial independence.

The establishment of the Ulsan Port Authority is expected to contribute to laying the groundwork to develop the Port as a hub for liquid cargo in Northeast Asia through the introduction of the private-led management and port marketing.

An official from MOMAF announced that the Ministry plans to privatize ports in phases through the introduction of the port authority system, targeting ports such as Yeosu and Gwangyang Ports, which have a greater impact on the national economy and also hold high financial independence.