US embassy cable - 04KINSHASA1251

UNCLAS KINSHASA 001251 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON, ETRD, EWWT, CG 
SUBJECT: PORT OF MATADI MISSES IMO DEADLINE 
 
1. SUMMARY. During the first quarter of 2004, the 
International Maritime Organization (IMO) mandated that all 
ports worldwide improve their facilities and security 
measures to come in line with new International Ship and Port 
Facility Security (ISPS) code standards. The Port of Matadi, 
DRC has not met the July 1 deadline and may now face IMO 
sanctions.  The port has completed approximately 85 percent 
of the changes and improvements required by the IMO. Post is 
not yet certain of what action the IMO will take. GDRC has 
until July 15 to respond to the IMO and request a grace 
period. END SUMMARY. 
 
2. Upgrades to the Port of Matadi are approximately 85 
percent complete, according to ONATRA (Congolese port 
authority). The main components still missing are the main 
access gates, CCTV network, and some equipment for the 
security and control offices. However, the security wall 
around Zone A (primary entry zone) has been completed and 
access to the Port is limited to only authorized shipping 
companies and government workers. Consultants from the port 
authority of Antwerp are still in the DRC to help complete 
the process. 
 
3. Although ONATRA has not met the deadline, it expects to 
escape serious sanctions by the IMO. ONATRA has until July 15 
to request additional time to repair the Port of Matadi. It 
will attach its plan for completing the rehabilitation of 
Matadi, which estimates a total cost of slightly over USD 4 
million, of which USD 2 million comes from the World Bank 
Emergency Multisectoral Rehabilitation and Reconstruction 
Plan. ONATRA continues to work with the consultants from 
Antwerp to expedite the completion of security and 
infrastructure upgrades. 
 
4. However, ONATRA may find itself in a difficult spot if an 
employee strike continues. The strike was originally to 
protest the taking of a tract of land which held ONATRA's 
only locomotive workshop in Kinshasa by the Ministry of Land 
Affairs for the purpose of residential construction. The 
Minister of Transportation and ONATRA moved to gain the 
support of Vice President for Reconstruction and Development 
Yerodia. The land was returned to ONATRA before any work 
could be done to transform it to residential property. 
However, the lost workhours due to the strike cost ONATRA 
approximately USD 380,000. Meanwhile, it only recently paid 
the workers' salaries for May. The workers are now protesting 
for the immediate payment of their June salaries. 
 
5. COMMENT. Although ONATRA has made a strong effort to 
improve security and port operations at Matadi, they still 
fall short. Furthermore, financing from the GDRC to help 
complete the repairs is not coming as fast as is necessary. 
It is not clear what sort of action the IMO will take. 
Consensus opinion is that the Port will evade closure, 
however, lesser sanctions are possible. A grace period to 
complete the repairs and upgrades is certainly likely. As is 
the case with all Congolese government agencies or state 
owned enterprises, ONATRA is publicly assuming a best case 
scenario of no sanctions and a grace period. However, they 
are extremely concerned about the lack of funding from the 
GDRC and the looming possibility of sanctions. Nevertheless, 
ONATRA continues to have financial difficulties and the 
current strike only exacerbates its situation. The 
consequences of a closure of Matadi or of a sharp decline in 
traffic to the economy in the Western DRC would be serious as 
it is the DRC's only large international maritime port. END 
COMMENT. 
 
HOOKS