Panama has announced the creation of the development of a “dry canal” to ease the flow of goods across both the Pacific as well as Atlantic oceans due to water levels declining in its maritime canal. The project, which is dubbed”the Multimodal Dry Canal project, will leverage the existing infrastructure like ports, railways, roads airports, duty-free zones within the newly-established “special customs authority.”

The approach was outlined in the report of Rodolfo Samuda, logistics director in the Ministry of the Presidency, does not require any additional investments. An order to simplify the process of transporting cargo on land throughout the Isthmus has been put into place by the president Laurentino Cortizo. The plan was conceived by Guillermo Salazar, director of the institute for state development planning has stated, is designed to be an addition for the Panama Canal and address the issues its users are facing today.

The capacity of the canal has decreased from 29 to 27 vessels each day, because of climate-related drought as well as drought and the El Nino phenomenon, affecting its dependence on freshwater that comes caused by rains from tropical regions. The situation can result more than 100 vessels waiting for passage through the canal’s 80 km length, which has led to delays that are significant and higher cost for marine operators. In parallel, other countries such as Mexico and Honduras and Honduras, have suggested alternatives for transit options, which reflect more of a regional desire to taking advantage of the business potential of trans-oceanic transport.

Source: phys.org

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