INDUSTRY, EXPLAINS HIS SIDE AS TO WHY THE CITY’S PORT SHOULD MAINTAIN ITS INDUSTRIAL CHARACTER.

The decision to turn Larnaca’s port into a cruise ship hub was made back in the 1990s, when the sector was booming in the eastern Mediterranean.

Today, due to the unstable situation in all neighbouring countries, this commercial activity has declined.

At the time, Cyprus’ ports were handling more than 650,000 passengers and the figure was anticipated to surpass the one million mark during the past decade.

These forecasts not only failed to materialise, but due to widely-known reasons the trend has dramatically reversed.

It is worth noting that in 2013, only 180,000 travellers passed through the two Cypriot ports and this year the number is not expected to exceed 120,000.

According to the old scenario from 1995, the port of Larnaca was marginally viable – considering it would have secured 80 percent of the then-projected passenger traffic.

Therefore, to improve the viability of the project, the residential and commercial development of the land area and later on a marina were added.

Today this optimism is not justified.

Firstly, because traveller movements have decreased dramatically; secondly, because even if the figure is to increase in the future, Larnaca will not be able to secure the 80 percent share due to similar investments made in Limassol Port; and thirdly, because the residential and commercial development in the port’s area is not expected to spur demand in the foreseeable future.

[…] Larnaca Chamber of Commerce & Industry reiterates that the most appropriate approach under the circumstances is to allow time to complete the procedures in progress for Larnaca port.

Since we are in a bidding process for the port at the base of a non-industrial development, the views of researchers and potential investors should be heard and then we should conclude whether this project can coexist with the touristic development and the overall vision for the city.