The Ministry of Oceans and Fisheries (MOF) has designated securing smart port technology as its top priority to secure port competitiveness and is accelerating its establishment.

On the 19th, the Ministry of Oceans and Fisheries announced the ‘Smart Port Technology Industry Promotion and Market Expansion Strategy’ at the State Affairs Ministerial Meeting chaired by the Prime Minister.

The smart port technology industry refers to a system industry that manufactures and manages physical equipment such as cranes and internal vehicles for cargo movement within ports, as well as operating systems (TOS), analysis software, and wired and wireless communication networks.

The Ministry of Oceans and Fisheries aims to respond to the Fourth Industrial Revolution and environmental regulations, expand autonomous and eco-friendly ships, improve productivity, and stabilize the supply chain.

In particular, the global automated port equipment market is expected to grow at an average annual rate of 6.4%, from $3.8 billion in 2019 to $5.7 billion in 2027, making preemptive technology acquisition crucial.

Despite this trend, the construction of smart ports in Korea is considerably behind that of other countries, and the port technology of companies is lagging behind that of advanced countries by as much as 3.8 years.

The port technology industry is responsible for the supply and maintenance of port equipment essential for the operation of ports, which are key hubs of the global supply chain and important national facilities. Therefore, failure to secure this technology industry could pose risks in terms of supply chain safety and economic security.

Accordingly, the Ministry of Oceans and Fisheries is securing a world-class port equipment technology base, securing a stable market for the growth of domestic companies, andWe will prioritize establishing a policy foundation through dramatic communication and fostering systems.

This strategy aims to achieve a 90% domestic market share and a 10% global market share by 2031, doubling the size of Korea's port technology industry to KRW 1.2 trillion by 2026 and expanding it to KRW 390 billion from 2027 to 2031.

■ Securing a world-class port equipment technology base

The Ministry of Oceans and Fisheries seeks to secure a technological base by securing technological competitiveness, promoting inter-industry cooperation, and securing human resources.

To achieve advanced country-level status by 2025 and a technological leader by 2030, Korea will actively pursue national R&D. Five R&D and technical services projects, including the development of a cargo transport system based on autonomous and cooperative driving, are currently underway, with a total budget of approximately KRW 100.7 billion. A smart port R&D roadmap will be established by 2023, and new R&D projects will also be launched with active participation from startups starting in 2024. Furthermore, Korea plans to increase the localization rate of parts, currently at 29.3%, and participate in the development of domestic industry standards and international standardization efforts.

The Ministry of Oceans and Fisheries will support the establishment of a Total Port Solution (TPS) system that integrates equipment and systems, and will also support the integration of related companies within the Gwangyang Port marine industry cluster and the discovery of idle port space for companies that have difficulty securing equipment manufacturing space.

Additionally, we operate training programs on the latest technologies and standardization, as well as programs for excellent development and maintenance personnel. A roadmap for training smart port personnel related to this will also be prepared in 2023.

■ Securing a stable market for domestic corporate growth

We will secure a market worth 3 trillion won by building a domestic smart port led by Korean companies and establish a market foundation through converting aging equipment to smart ones and supporting overseas expansion.

In this regard, the Ministry of Oceans and Fisheries plans to introduce domestic technology when ordering port equipment, including the Gwangyang Port Testbed and Busan New Port, and to give preference to companies adopting domestic technology when selecting operators for Incheon New Port. Based on the technologies secured through the Gwangyang Port Testbed and other projects, the Ministry plans to develop Busan and Jinhae New Ports into world-class smart ports. The total project cost for Busan and Jinhae New Ports is expected to be KRW 7.9 trillion.

We plan to support our companies' overseas expansion by providing pioneering support projects, such as support for feasibility studies for overseas expansion beyond the domestic market, and expanding the operation of overseas port development support councils. We also plan to expand opportunities for corporate expansion by strengthening cooperation between countries such as the Netherlands.

The Ministry of Oceans and Fisheries is also pursuing financial support through the Korea Ocean Business Corporation to ease the burden of financing for equipment replacement and introduction on operators. We plan to establish a financial support plan in 2023 and implement support starting in 2024.

■ Securing a stable market for domestic corporate growth

The Ministry of Oceans and Fisheries announced that it will establish a foundation for sustainable development of the industry by establishing a legal basis for fostering the smart port technology industry, establishing a government-wide cooperative system, and fostering social consensus.

To provide systematic support and establish a foundation for sustainable growth, we are pursuing the enactment of the "Act on Promotion and Support of the Port Technology Industry (tentative name)" . A task force to foster the smart port technology industry will be established and operated to support convergence technology development, domestic and international market expansion, and collaborative projects.

We plan to discuss employment stability measures, including building consensus on port smartization and minimizing the impact on existing workers, through labor-management-government representative councils. Starting in 2023, we plan to establish and operate public-private consultative bodies and expert advisory groups for each field to collaborate on sharing industrial conditions and developing policy measures.