Owners of Britain’s biggest container port have signed an agreement to build a new box terminal in eastern Europe.

Hutchison Ports, which owns the Port of Felixstowe, is planning the “world class” multi-million pound development at Chornomorsk in Ukraine.

The town’s state-owned port – the biggest employer in the area – stands on the Black Sea, where it is one of the largest ports, handling a range of cargo including containers, ferries, general and bulk cargoes.

Situated in the south-western region of Ukraine 20 kilometres south of Odessa, Chornomorsk has established rail connections to the capital Kiev and an existing skilled workforce. Hutchison Ports signed a Memorandum of Understanding to develop the container terminal project during a visit by the Ukraine Minister of Infrastructure, Volodymyr Omelyan, during his visit to the Port of Felixstowe to see the facilities at the 700-acre complex and learn more about how Hutchison Ports runs its terminals.

The MOU was signed by Clemence Cheng, managing director of Hutchison Ports Europe and chief executive officer of the Port of Felixstowe, and Mr Omelyan, who was accompanied by Ukrainian Ambassador to the UK, Natalia Galibarenko.

Mr Cheng said: “We are delighted to sign this Memorandum of Understanding with the Government of Ukraine to develop container terminal facilities at Chornomorsk.

“We have long seen the potential for growth in container business in Ukraine and look forward to working together with the Ministry of Infrastructure to realise our shared aim of developing world class port facilities to facilitate trade.”

Mr Omelyan said: “I am glad that the world’s leading port operator enters Ukraine’s maritime market. Government is committed to finalize the agreement and to close the deal in 2017.”