JERUSALEM, Oct 13 (Reuters) - European shipping group Eurogate
Hoping to stir competition among its seaports, Israel issued tenders in July for the two private terminals to operate alongside state-owned ports in the cities of Ashdod and Haifa.
Nearly all of Israel's trade passes through the country's two major seaports, which until now have been dominated by small but powerful labour unions that have threatened strike action if the government moves ahead with the private ports.
Germany's Eurogate will submit its documents to compete in the prequalification round by the end of the month, TheMarker reported.
The two new terminals, at a cost of about $1 billion each, will be operated by foreign companies and be able to handle the world's largest cargo ships, something not possible today.
The Israel Ports Company said it would not comment on the tender process at this stage. Officials at Eurogate were not immediately available to comment.
One Israeli official familiar with the tender process, who asked not to be identified, said that representatives from six companies recently toured the areas and have expressed interest. The official declined to name the companies.
TheMarker quoted Gunther Bonz, a member of Eurogate's management, as saying that Israeli ports have a number of advantages, including their location and being the gateway to a stable, growing market.
Eurogate is less concerned about geopolitical tensions in the region or a possible confrontation with the port unions, Bonz said.
(Reporting by Ari Rabinovitch; Editing by David Goodman)
((ari.rabinovitch@thomsonreuters.com)(+972-2-632-2202)(Reuters Messaging: ari.rabinovitch@thomsonreuters.com@reuters.net))
Keywords: ISRAEL PORTS/EUROGATE
