Being a big port isn’t the key to performing well, the CPPI indicates. Good management is the key. Any port could, in theory, boost its performance by copying the good management practices of high-scoring ports. Adopting digital systems was one driver of improved performance. As the report says on page xv: “the CPPI confirms that good port performance is not simply a function of scale. Ports of all sizes can achieve high performance when well-managed, with optimal crane deployment and process efficiency”.
Adopting digital systems… that would be nice
Incidentally, as a bit of an aside, we can’t help but focus on the “adopt digital systems” bit for a minute or two. We recently ran into a person from a well-known Australian port who told us verbally – and we kid you not, this is what we were actually told – that some of the port’s data handling processes involve the use of carbon copy processes.
We know, right? Wow!
In an age when it is increasingly common nowadays for cafes to make you use a mobile phone to scan a QR code just to buy a flat white, from where, how, and from whom, would you even buy carbon copy materials these days?
The mind boggles and the jaw drops.
Anyway.
Improved port rankings are possible, CPPI shows
That change is possible is clearly shown by the “Top 20 ports improvement in CPPI 2024/2020” (table 2.2). Let’s have a look at the top three. The Port of Posorja, Ecuador, has seen its score rise by 72.8 points over period 2020-to-2024. Gothenburg in Sweden, France, improved by 59.3 points. There are many more examples. We will turn to a few ports that were selected by the CPPI authors at the World Bank as being particularly noteworthy.
Posorja pounces on the most-improved title!
This Ecuadorean port shot up the rankings in Latin America owing to purpose-built infrastructure, and ongoing investment (hmm – after reading this, you might want to have look at our article in this Annual Review about big investments on the Australian waterfront) in a new-deep seaport. Posorja is (or was) a greenfield. Now it has a 16-metre access channel and super post-Panamax equipment. DP World is investing in extending the berth to 700 metres and increasing crane capacity to allow two ships to be worked simultaneously.
Dakar drives ahead!
The highest-ranked port in Sub-Saharan Africa is Senegal’s Dakar. With a 105-point rise, DP World-operated Dakar rose from -82 to +23 in the 2024 CPPI. Significant investment, including the installation of new cranes, expansion of its yards, and the development of a port community system appears, to have done the trick, although the World Bank says that improvements in hinterland connectivity and trade facilitation helped. Road links have been upgraded and a single window customs system is reducing dwell times, the World Bank reports.
“Liner shipping connectivity has increased, with Dakar now receiving direct services from Asia,” the World Bank says. That, in our view, is the most important piece of praise: customers are rewarding the port with more business.
Jawaharlal Nehru Port, India
India’s famous port has experienced “significant” improvements over the last four years owing to additional terminal capacity and process reforms that have cut turnaround and dwell times. There appear to have been improvements across the board with deepwater (-16.5m), big quay (1,000 metres), modern equipment, and high-productivity gates.
“Moves per hour per ship and per crane are reported to have improved, as are truckside and rail process improvements,” the World Bank says in the CPPI on page 18.
Ports improving around the world
Mersin, Türkiye, took a bit of a beating owing to a massive earthquake, while the closure of a port elsewhere in the country resulted in a “large-scale cargo diversion” and severe congestion. Mersin has fought its way through its difficulties with capacity expansion (quay line lengthening and draught-deepening).
Port Said in Egypt, labelled as “among the most improved container ports, is now ranked 3rd in the world owing to “strategic investments” and reforms, according to the World Bank, although it is fair to point out that the Red Sea crisis and subsequent re-routing of container ships has helped alleviate pressure. Meanwhile, there is a massive expansion of the terminal capacity by roughly 46% with a 2.1 million TEU boost to give a total installed capacity of 6.6 million TEU. The implementation of a port community system and vessel optimisation have cut time in port, the World Bank says.
Key takeaways
The key, common features, for improvement tended to be partnerships with global terminal operators and political will to improve trade procedures, the CPPI reported. The Report also noted that ports with rising CPPI scores between 2020 and 2024 have combined investment with digitalisation, engage in 24/7 operations, and have developed strong coordination with customs and logistics partners.
Meanwhile, in Australia, certain ports might well still looking for someone to sell them carbon copy paper.
