Port of Liverpool operator Peel Ports has entered a strategic partnership with the Panama Canal Authority (ACP).

The Memorandum of Understanding agreement aims to facilitate international trade and generate new business by promoting shipping routes between Merseyside and South America.

The deal was signed by Jorge L. Quijano, administrator of ACP and Mark Whitworth, chief executive of Peel Ports during a visit to the Port of Liverpool by a senior delegation from Panama.

Senior Panamanian business leaders and government figures, including Roberto Roy, minister of the canal, and Alejandro Moreno of Panama Maritime Authority, were in attendance.

Whitworth says: “Liverpool and Panama have both responded to the growth of the global container ship fleet with major investment programmes in recent years to accommodate newer generations of container ships. The opening of the expanded canal has the potential to open up new markets for trade and has the potential to shift international trade patterns.

“We see exciting times ahead for Liverpool with improved trade connectivity and business opportunities between the UK and South America, which will not only generate economic growth but also create jobs and increase revenues.”

The agreement between the Liverpool and Panama ports comes as Peel gears up for the opening of its Liverpool container terminal in early November.