Future infrastructure in Greenland Kalaallit Nunaanni Brugseni’s view on transportation and trade opportunities

KNB – Kalaallit Nunaanni Brugseni Independent Retail Cooperation 15 stores in 7 cities number 16 is planned Annual turnover around 800 mill DKK 450 employees 80 % of all goods are bought through Coop DK We do our best to promote local products

Costs on shipping Our costs on freight to Royal Arctic Line are around 10% of our annual turnover Our costs on freight to Air Greenland are around 1,6% of our annual turnover Other shipping costs amounts about 0,8% of our annual turnover

Increased freight costs Increased retail prices Will lead to less demands and a lower turnover on some items Smaller range of products e.g. produce

Decreased freight costs Lower retail prices in general Larger range of products – especially aviation cargo if an int. airport in Nuuk becomes a reality

Regularity & frequency The consumers expect stocked up stores as anywhere else in a modern society, and therefore its important for the consumers that we maintain a weekly supply by ship all year. It is also important that the total transportation time doesn’t increase – this includes also the other cities in Greenland as durability is important

Regularity & frequency An international airport in Nuuk would open up the opportunity for daily supplies It will expected result in competition on air freight shipping prices As due to decreased freight prices, we will be able to offer a much larger range of produce and dairy products.

How about Iceland ? We don't have much experience or history trading with Iceland. A weekly sea delivery opens for opportunities It is of great importance the supplies are reliable and the prices are competitive. We still don't know about future shipping costs from Iceland to Greenland