Incheon Port Authority Prepares 14.4 Billion KRW Support Measures for Port Industry Damage

Rent Reduction for Han-China Passenger Ferry Operators and Tenants of International Passenger Terminal

Incheon Port New International Passenger Terminal View
[Photo by Incheon Port Authority]

[Asia Economy Reporter Park Hyesook] Incheon Port Authority announced on the 1st that it will implement support measures totaling 14.45 billion KRW in the second half of this year to assist the port industry affected by the prolonged COVID-19 pandemic.

First, priority support will be given to Korea-China passenger ferry operators, whose passenger transportation has been completely suspended since the end of January this year due to the impact of COVID-19, and to commercial facility tenants at the international passenger terminal.

The authority plans to waive 100% of port facility usage fees and rental fees until passenger transportation resumes, and thereafter reduce fees by 60% (50% for commercial facility tenants) until the infection alert is lifted. The support amount for the second half of the year is 3.13 billion KRW.

Earlier, in the first half of the year, the authority waived 50% of the rent, amounting to 40 million KRW, for tenants of the coastal passenger terminal and provided 190 million KRW to support the livelihoods of daily workers who lost work due to the suspension of Korea-China passenger transportation.

Additionally, port-related businesses such as port service companies received a 50% reduction in port facility usage fees, amounting to 10 million KRW, for six months.

For wharf stevedores (excluding dedicated wharves and self-handling cargo businesses) whose cargo volume decreased by more than 15% compared to the previous year, 10% of the rent will be waived for six months. Following 60 million KRW in the first half, 1.79 billion KRW will be waived in the second half.

Furthermore, regarding the hinterland complexes and sites, while the first half's rent reductions were limited to small and medium-sized enterprises and small business owners, the second half will see an expansion in both the scale and scope of reductions. Regardless of company size, combined with 1.26 billion KRW in support from Incheon City, a total of 5.15 billion KRW in rent reductions (30% for complexes and sites) will be provided.

Alongside this, the authority will expand the transshipment cargo volume incentive system and support marketing expenses to expand the Southeast Asian market, ensuring that COVID-19 does not negatively impact the growth trend of Incheon Port's cargo attraction marketing activities.

To help small and medium-sized enterprises at Incheon Port overcome financial difficulties, the authority plans to provide assistance worth 1.92 billion KRW in the second half through the 'SME Win-Win Fund' (a system that allows the interest on the port authority’s bank deposits to be directly used to reduce loan interest rates for companies).

Lee Jeonghaeng, Vice President of Operations at Incheon Port Authority, said, "We hope this support will help minimize the damage to customers using Incheon Port and alleviate management difficulties."

This content was produced with the assistance of AI translation services.