From CARIBBEAN360MAY 21, 2016

BRIDGETOWN, Barbados, Saturday May 21, 2016 – A Caribbean Development Bank (CDB) sponsored study on maritime ports in the region is recommending a major overhaul in policies; significant increase in investments to fast-track modernization; more private sector leadership, and greater focus among the Bank’s Borrowing Member Countries (BMCs) on improving efficiency.

The study is also proposing that the Organization of Eastern Caribbean States (OECS) countries examine and explore a regional port strategy given the limited volumes being handled in some ports.

“Investments should be made under prudent guidance and with an awareness of the regional developments. It would be a waste of public resources for all the OECS countries to invest in deep-sea facilities,” the report states.

These proposals come against the background of varying degrees of efficiency and productivity among the twelve ports examined in the study.

The report, Towards the Efficiency Frontier: Study on the Transformation of the Caribbean Maritime Port Services Industry was undertaken by Maritime & Transport Business Solution BV (MTBS) on behalf of CDB.

The main aim of the study is to stimulate new perspectives on policies, practices and institutions to improve efficiency and viability of the regional port industry.

Maritime transport in the Caribbean was found to be challenged by inadequate infrastructure provision and inefficient port operations. These lead to delays and additional transport costs. The study notes that the level of efficiency of the ports has an impact on import and exports costs, with a resultant effect on the competitiveness of national economies. Port efficiency also affects growth in price levels and hence the level of poverty. Port efficiency was therefore a major focus of the study.

Indicators used in the port efficiency measure were berth productivity; labour productivity measured by TEUs per employee; quality of infrastructure; nautical accessibility measured by the maximum vessel draught; type of equipment used for stevedoring operations; type of IT systems used in port operations; and the level of autonomy of the port operator.

The Port of Nassau, in The Bahamas was the most efficient in the sample. According to MTBS, this was not surprising given the port’s newness and its joint public/ private sector leadership.

The second most efficient port was the port of Port of Spain, Trinidad which enjoys economies of scale, has the largest crane park and is a front runner on IT implementation

IMAGE: MARITIME TRANSPORT IN THE CARIBBEAN WAS FOUND TO BE CHALLENGED BY INADEQUATE INFRASTRUCTURE PROVISION AND INEFFICIENT PORT OPERATIONS

For more on this story go to: http://www.caribbean360.com/business/investment-fast-track-modernization-regional-ports-needed-says-cdb#ixzz49IuLifLk