City Airport, Logis & Travel Korea(CALT) held a signing ceremony of establishing a foreign investment joint company to operate Ung-dong logistics center in Busan(CALT Logis BUD).

There were more than 40 attendees at the ceremony particularly CEOs of CALT, NRS Corporation(Japan), Orient Shipping and Sinokor, all of which participated into the joint company.

These companies are planning to construct logistics center of total 13,000㎡ in the hinterland area located on the west of Busan New Port. The center is supposed to start construction in May next year and launch its operation in Jan. 2014.

CALT is known to have contributed to logistics cost reduction for the medium & small trading companies by running logistics centers in the hinterlands of Free Trade Zone in Busan New Port(north area), 2007 and in the port of Pyeongtaek, 2009.

Busan New Port currently being operated with 18 berths is scheduled to increase by 24 berths in 2015 and 44 in 2020, which is more than double the present capacity. The industry analysts expects that the center operation business will rev up as the number of berths progressively increases.

"The participating companies will work closely together to stabilize the business at the beginning and try to reduce logistics cost of related trading companies." commented Mr. Choi Kwang-sik, a CEO of CALT, at the ceremony.