Empire of the Ring - Chapter 644: The Commercial Operation of the Arctic Route (2)

Chapter 644: The Commercial Operation of the Arctic Route (2)

Choi Sun-kil was dumbfounded for a while after being asked whether the ship’s destination was Kazakhstan.

The head of the Maritime Affairs and Fisheries Ministry’s shipping and logistics bureau would know where the Caspian Sea was.

If so, he must not be well aware of the size of the vessel that could pass through the Russian canal. Korean shipping companies would never use the canal, so it was understandable that he did not know about it, but it was a courtesy to find out about the logistics system of the other country before a meeting.

“A ship this big cannot enter the Volga-Baltic Waterway. In the next couple of years, ships in 50,000-ton-class would be able to get in and out of the waterway.”

Choi Sun-kil was going to say that the 5,000-ton class was the limit, but he did not say anymore because he did not want to embarrass the director.

“I see. The canal is not functioning fully yet.”

When he said something unnecessary again, a department manager corrected him.

“Director, it’s a fully functioning canal where 5,000-ton-class ships travel through.”

“Oh! Really? That’s just not going to help with logistics.”

If Putin heard his remark, he would have put up a gun toward the director.

Choi Sun-kil was going to get up since he thought that it would be a waste of time, but the director caught him.

“Mr. Choi. You’ve done us a favor. I’d like to serve you a meal. I’ve reserved a restaurant already, so why don’t we eat together?”

The director suddenly asked for a meeting, so Choi Sun-kil had postponed his other schedule, but now the director was asking to go to a restaurant unnoticed. He might be a great authority in Korea, but such unilateral rudeness was not allowed in a foreign country.

“I have a plan that’s been arranged ahead of time, so I don’t think I can come with you. I wish I can have dinner with you next time when I get a chance.”

Choi Sun-kil refused without hesitation, on the pretext of a plan. It was because he felt like he would get sick if he ate with a high-ranking official full of himself.

When he was about to get up from his seat, the shipping policy department manager who followed the director was earnestly soliciting with a look of desperation.

“Mr. Choi. I know you’re busy, but for the development of your shipping company and Korea’s shipping industry, could we at least talk a little bit more even if we don’t have a meal together?”

Choi Sun-kil could not resist the department manager’s earnest request.

Only then did the director, who grasped the situation, hurriedly asked to sit.

He recognized that he had been rude to Sun-kil by treating him like a local shipping company staff because he had a Korean background.

“Mr. Choi, I made a mistake because you are from Korea and you’d be familiar with this culture and asked to eat together one-sidedly without asking. Please forgive my discourtesy.”

“Oh, no. It’s my mistake that I didn’t think I’d have dinner with you after our meeting today. You came all the way to Busan to see me, so I’ll reschedule my plan.”

“No, please forgive us for coming with a short notice.”

“In addition to exploring the Arctic Ocean, let me know if you have anything to discuss with the Kazakh royal family. I was told by the Duke to actively cooperate with Korea for any business together.”

“I can’t thank you enough. The Duke has not forgotten Korea.”

“He’s from Korea and how can he forget about his home country? That’s why we set our first destination to Busan. It is also our royal wish that all Far East Asian logistics will be driven to Busan Port.”

Although it was Choi Sun-kil himself to insist on Busan Port this time, he gave all of its credit to Youngho.

“That’s exactly what we wanted to ask. If you can make Busan harbor the starting point and the ending point, it will be a new opportunity for us to take off to another level. If the trans-Siberian train is later connected to Korea, we believe Busan port will be the world’s best port.”

“It’s not too long before the Trans-Siberian train comes to Busan port. Everyone thought it would be impossible, but the Duke has moved the Russian government.”

“I am very proud that he is Korean. I’m amazed to hear that he already thought of Busan as a logistics hub even though we didn’t ask. If the Ministry of Oceans and Fisheries can be of help, please let me know.”

“We will use Busan Port more often in the future, so please accommodate for us if possible. That doesn’t mean we want special favors. It’d be great if things are taken care of quickly when our ships enter and leave the port.”

“Of course we will. We’ll see if we can discount or waive port fees and other miscellaneous fees for Kazakh royal ships.”

***

News of the Kazakh royal ships’ commercial operations in the Arctic Ocean attracted shipping companies around the world.

It was because the royal shipping company announced that it would open a regular route linking Rotterdam, Copenhagen, Vladivostok, and Busan from December.

Youngho and Kasim, who attended the Arctic Council meeting in Tromsø, Norway, were also smiling with satisfaction at the news.

“Our ships arrived at Busan port at the right time.”

“Right. Everyone seemed to be envious when we opened a commercial route as well as becoming an observer member of the Arctic Council. It’s all thanks to Your Highness.”

Kazakhstan also became an observer state at the Arctic Council meeting.

And the problems of the exclusive economic zone and the continental shelf, which had been the challenges of the Arctic Ocean, were cleared up.

The Kazakh royal family, which persuaded Russia this time, was again in the media spotlight.

Interest in the Kazakh royal family was further amplified when it said it would start commercial services on the Arctic route as soon as Kazakhstan obtained observer status.

To attract the attention of shippers, the royal shipping company announced that it would not charge for the icebreaker service for the first two months. Then there was a flood of calls from shippers. For them, it was probably natural to use routes that could shorten the time at a lower cost of transportation.

“Prime Minister, we need dedicated docks for icebreakers in Vladivostok and Tromsø. Please make a plan for that.”

Until the construction of the Baltic-White Sea was completed, ships would have to go through Norway, so a port for icebreakers to stay was needed in those regions.

“Then I will seek cooperation from the governments.”

“Yes, please do so. I’ve always felt bad about taking the work of cabinet ministers away, but I’m glad there’s work for the government.”

“Your Highness has designed it out, and the cabinet members should finish it. They’re very proud of the royal family and their morale is high.”

Kasim and other ministers were impressed by the royal family’s achievement this time. There were no other countries that could convince Russia, but the royal family had solved all problems for the Arctic Council by convincing Putin. No country had ever been able to untie a twisted knot in the Arctic Ocean.

“We’ll soon have tons of shipping orders. In order to arrange all that, there are many national issues such as the use of ports in other countries, but the Kazakh government does not have the Ocean Shipping Policy Department. Could you consult with the Cabinet members to review it and come up with a new department?”

At Youngho’s order, Prime Minister Kasim’s face brightened.

The increase in the number of government ministries meant that higher prime minister’s status. The role of the government had been dwindling as it had handed over government-affiliated officials to the private sector.

“How big would you like it?”

“Shouldn’t there be a minister-level department to attend the Arctic Council?”

“We will establish a new department as soon as we return home.”

“Officials from the Korean Ministry of Maritime Affairs and Fisheries are visiting to experience the Arctic Route, so you could get some help from them.”

“Great. We have an inseparable relationship with Korea, so we can benchmark it.”

Korea’s ocean policy began in the 1960s and had many experiences in overcoming many failures, so there was a lot to learn. South Korea was also the country that would use the most Arctic sea routes, so working together would have a great synergy effect.

“Your Highness. There have been complaints about Spain’s sole participation in the Baltic-White Sea expansion project, but are you considering receiving additional companies?”

“Russia is also determined to operate the canal itself. I think the Russian government already figured out that it’s going to have huge revenues from canal toll fees in the future. It’s obvious since it’s asking for 50 percent of shares.”

“The expansion is handled by our royal family and a Spanish company, but it seems Russia is only getting a free ride.”

“That’s not necessarily the case. The canal is owned by Russia. Rather, we are in a position of being benefited by it. If Russia could afford it, it wouldn’t mind direct construction.”

Since the canal could cut the travel distance by 4,000 kilometers compared to circling the Scandinavian peninsula and given the cost and time, each shipping company would not mind expensive tolls.

Because the Baltic-White Sea Canal was more attractive than the Trans-Siberian Railway, ACS in Spain also insisted on participating independently.

The reason why the canal, which used to be used only by domestic ships and the Russian navy, was open to all was due to economic efficiency. Economic logic had opened up a militarily important canal. Russia was so thirsty for foreign currency.

“Instead, our royal family only pays 40 percent of the construction cost and shares are the same as Spain. It’s only possible because the Russian government is favorable to us.”

Spain’s ACS Corporation was anxious to take the share of the Baltic-White Sea Canal as much as possible.

It took 25 percent of the canal’s operating rights and agreed to pay 60 percent of the construction cost on condition of its sole participation.

Youngho secured 25 percent of the rights on condition that the remaining 40 percent would be paid by the royal family.

The container terminal business, which was a logistics base, also had the same conditions, so Youngho gladly accepts them.

“I didn’t realize that global companies were capable of this much. They invest billions of dollars without any hesitation.”

“Global companies have better investment power than many countries. Many companies have tens of billions of dollars in cash.”

“But it’s no match for our royal family. It’s hard to tell the value of the gold mine you own by yourself, Your Highness.”

The Kazakh people, as well as Kasim, had great pride in the assets held by the royal family.

Without cashable assets in the royal family, could Kazakhstan have raised its defense capability to the level of advanced countries in a short time?

As its defense capabilities became stronger, people did not fear China or Russia anymore.

When the public’s anxiety was resolved, it soon turned into a productivity boost and a springboard for economic growth.