Greece – International Freight Center he Transport & Logistics Industry is one of the t a time when Greece regains a national most important sectors of the national economy development plan for the Supply Chain Tand a major source of income, wealth and Asector, connected with port infrastructures, prestige for Greece, as it reaches 10.85% of GDP and modernization of the railway network, and completion €19.8 bln. (according to Hellenic Logistics Association’s of highway works, the leading communications [EEL] 2014 study). In a challenging global environment, medium of the Supply Chain sector, “Supply Chain the Greek Transport & Logistics community is heavily & Logistics” magazine, and its publishing company, investing and expanding its footprint. In this report, we o.mind Creatives, contribute to the common, national examine the role of Greece as a competitive intermodal effort, collaborating with a globally respected business corridor for the European seaborne trade with Asia. advisory company, EY. In addition, we present all recent developments in: The present study captures, in the most scientific • Greek shipping & maritime logistics industry way, up-to-date developments in the Logistics, Freight • Greek hinterland logistics industry Transportation, and Supply Chain Industry, describing the framework in which a holistic National Development • Road freight transport Plan for Greece can now rely on. • Rail freight transport • Air freight transport o.mind Creatives and the magazine “Supply Chain & • Public sector support & trade facilitation in Greece Logistics” consider a great honor, the collaboration with EY towards the conformation of a clear framework At EY, we are proud that we have succeeded over regarding the market’s development and the relevant the years in standing at the forefront of the Global, national targets of Greece becoming an International Regional and Greek Transport & Logistics Industry. Freight Center. This report is part of our contribution to exploring ways to address the challenges facing the industry in a The study, both at the beginning of its “journey”, in the continuously changing global environment. context of the national Logistics mission in Germany, in spring 2017, as well as in this publication, is reaching In this enhancement of the Transport & Logistics the offices of all the appointed institutional authorities Industry, we had o.mind Creatives on our side, one and the leading businesses in Greece and across the of the leading marketing companies of the industry, Greek borders, informing them of the development as they share the same concerns, aspirations and prospects of our country. expectations as EY about an industry, which can become the locomotive of the Greek economy and play a significant role in Europe. Thanos Mavros Theodoros Dimitriadis Partner CEO o.mind Creatives Head, Supply Chain & Operations EY Central & Southeast Europe Fotis Daoussis Director, International Business Development Yannis Pierros Partner Mary Efthymiatou Automotive & Transportation Sector Leader Editor-in-Chief, “Supply Chain & Logistics” magazine EY Central & Southeast Europe Contents The Greek shipping and maritime logistics industry 6 Economic performance of the Greek logistics market 20 Road freight transport 32 Air freight transport 40 Public sector support 48 The Greek shipping and infrastructure facilities and logistics to the major Central European reliable hinterland for Piraeus and maritime logistics industry operations in Greece are widely logistics centres in significantly less the other important Greek ports. considered as attractive investment time when compared to the large opportunities for some of the North European ports. It is estimated The privatization of the National most important international that a trip to Czech Republic is 8-9 Greek Railway Operator (TRAINOSE), organizations. days shorter, when compared to which was acquired by Ferrovie Greece as the southeastern logistics gateway to Europe the same trip to Rotterdam or Dello Stato Italiane S.p.A. in early Indeed, the significance of the Hamburg. 2017, is estimated to strengthen Maritime transport plays a key The Greek-owned merchant fleet is country’s main port that is the port and further improve the provision of Piraeus, as a major maritime The opportunities for logistics of international railway logistics Greece’s central role both in the international trade the largest in the world, accounting and the development of the global for more than 16% of the world total gateway in the East-West maritime operators and traders are services in Greece. location in the eastern economy, with more than 80% of tonnage capacity. Shipping is the route was recognized by COSCO enormous. In particular, freight mediterranean the global trade by volume to be country’s most important industry approximately 8 years ago. In 2009, rail transportation services to the Moreover, the construction of the carried by sea. In 2015, the value and Greek ports are vital hubs for this international shipping liner major logistics centres in Central new intermodal freight and logistics provides a competitive of EU trade in goods with non-EU the East-West international trade. and port operator was awarded the Europe (e.g. Czech Republic) are park in “Thriassio Pedio”, near intermodal corridor for countries carried by sea accounted concession agreement to operate performed in approximately 4 days Piraeus, is the cornerstone that will Pier II of the Piraeus port container by dedicated block trains, whereas significantly enhance the Piraeus the european seaborne for about 51% of total EU trade. As maritime transport remains the Being located in the southernmost backbone of globalization and trade terminal and began investing the maritime trip from China to port hinterland and facilitate the trade with Asia. point of Europe and standing on flows between Asia and Europe considerably on developing Piraeus Piraeus is shorter by 8-9 days when development of new operations and the crossroad of three continents, are growing year after year, traffic as a major European transshipment compared to the North European. added-value logistics services. that is Europe, Asia and Africa, through the Mediterranean ports port. However, the Southeast European Greece holds a unique geographical is increasing and Greece’s role as a intermodal corridor via Piraeus The expected privatization of the position in the international major maritime interface for Europe Consequently, between 2008 and port is not only a faster and a more port of Thessaloniki will improve maritime routes. It is of no is becoming more apparent. 2016, Piraeus became the most financially advantageous alternative the international competitiveness surprise, thereof, that Greece has developing port in the Mediterranean; supply chain route for shippers and of Greece’s second largest port. traditionally been an important In this respect, the Greek ports the port increased its annual traders, but also a more reliable Additionally, the development of maritime nation. and other major transportation container throughput more than 7.5 one. Gonou Logistics Centre in a plot of times, it became the 8th largest port 672,000 m2 near the Thessaloniki in Europe and reached the 4th place In current global and demanding port will also support the Greek among the major Mediterranean supply chains, logistics services’ hinterland through the Balkan ports. reliability is a major concern among Countries in the Greece’s northern traders and logistics providers borders. In addition, the port operator has and, in most cases, much more invested in transforming the port important than speed. As shippers The most commonly used railway into an important inland gateway require quality deliveries and corridor from the Piraeus port to to Europe as well, by expanding the certainty on when their delivery the Central European economic port’s hinterland towards central takes place, the Greek South and logistics centres is the Pan- Hamburg Europe and improving its railway Gate to Europe has been highly European Corridor X, which passes Rotterdam and road connections. In 2013, the modernized in the provision of from FYROM, Servia, Hungary, Antwerp Le Havre Piraeus port was connected with reliable railway and road freight Slovakia, Czech Republic, etc. the main national railway network services. via a new high-speed electrified line. Piraeus Additionally, COSCO cooperated with Real world cases, like these of HP, Shanghai the national railway undertaking Sony and Huawei, which use Hong Kong (TRAINOSE) in developing reliable dedicated block trains departing and competitive freight railway form Piraeus port to transport services towards the major logistics their products to Central European centres in Central Europe. markets, have proved that the Greek hinterland can become a As a result, Piraeus offers a highly strategic alternative for the major Czech Republic Singapore competitive end-to-end alternative multinational manufacturers, connection to Far East ports, when shipping liners and international compared to the North European logistics providers. The transit time of a containership from China ports, in terms of transport duration, frequency of service and cost. Moreover, the recent privatizations to Piraeus is estimated to be 8-9 days shorter, and concession agreements are when compared to the North European ports. In this respect, Piraeus links Asia shaping a more competitive and Piraeus Port 6 7 The Greek shipping and maritime logistics industry Greek