Sharjah24 – AFP: Due to the lack of rainfall, the Panama Canal (PC) limited the number of ships passing through, which is estimated to cause a US$200 million decrease in its revenues in 2024, according to Ricaurte Vasquez, the canal’s administrator.
Ricaurte Vasquez, Panama's Canal Administrator said, "We have to find solutions in order to remain a relevant route for servicing international trade. If we don't adapt, then we are going to perish."
Ricaurte Vasquez continued, "The lack of water only measured in terms of tolls already gives a price tag of 200 million dollars. The severity of this crisis is atypical, it is very high. So let's think that between now and September 30 of next year, we should be operating with very tight restrictions."
"They may opt for other routes, we know that risk exists, but we believe that if we find a solution for them relatively soon, not necessarily that it is built immediately, but that the market knows that it is indeed proceeding like that should alleviate the long-term concern," he added.
Panama's Canal Administrator concluded, "Let us remember that the great disadvantage that the Panama Canal has with other maritime routes is the fact that we operate with fresh water, while the other maritime routes use sea water. We have to keep that level of salt water within a certain range, because the water treatment plants do not have desalination capacity. Each time we open the sea gate, seawater mixes with freshwater and the larger the gate is, the greater the volume of saltwater that enters the system."
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