Port Business (eBook)

lt;P>Jürgen Sorgenfrei, Vice President Consulting, MWP Management & Logistics Consulting, Hamburg

Part 1: Development of Ports  1

Chapter 1: History of Ports: The Ten Aims of a Port  3

1.1 Ancient Egypt  3

1.2 Roman Empire  7

1.3 Constantinople  12

1.4 Venice and the Mediterranean Merchant Trade  15

1.5 Imperial China: Early Ming Dynasty  16

1.6 Hanseatic League  20

1.7 Historical Drivers of Port Development  28

Chapter 2: Driver of Port Business  31

2.1 Economic Drivers  33

2.2 Political Drivers  35

2.3 Logistical Drivers  38

2.4 Technical Drivers  40

2.5 Financial Drivers  44

2.6 The “Port Model”  45

2.7 Impact on “Port Master Planning” Process  49

Chapter 3: Major Commercial Ports  51

3.1 Classification of Ports  51

3.2 Container Ports  56

3.3 General Cargo Ports  61

3.4 Liquid Bulk Ports  65

3.5 Dry Bulk Ports  67

3.6 RoRo Ports  68

3.7 Ferry Ports  72

3.8 Passenger Ports  73

3.9 Cruise Ports  75

Part 2: Ports in Maritime Supply Chain  79

Chapter 4: The Role of Ports in Supply Chains  81

4.1 Definition “Ports”  81

4.2 Port Functions  83

4.3 Port Customer Groups  84

4.4 Port Cluster  86

4.5 “Port” Terms in Common Use  87

Port versus Terminal  87

Container Port  89

General Cargo Port  90

Bulk Port  90

RoRo Port  90

Ferry Port  90

Passenger Port  91

Cruise Port  91

Universal Port  91

Dedicated Port/Terminal  91

Main Port  93

Major Port  93

Minor Port  94

Hub Port + Feeder Port  94

Gateway Port  96

Way Port/Zero-Deviation Port  97

Transhipment Port + Transit Port  97

Regional Port  100

Sea Port  101

Deep Water Port  101

River Port  102

Inland Port  103

Dry Port  103

Free Port  103

State Port/Service Port/Public Port  104

Autonomous Port  104

Tool Port  104

Landlord Port  104

Private Port  105

Industrial Port/Factory Port  105

Home Port (Cruise)  105

Commercial Port/Noncommercial Port  106

Statistical Port  106

Big Port  106

Chapter 5: Trade & Transportation  107

5.1 Macroeconomic Relations  107

5.2 Drivers of Global Trade  116

Political Alliances and Free Trade Agreements  116

Deregulation and Privatization of Public Services  117

Distribution of Natural Resources  118

Globalization of Sourcing and Production  119

Spreading Out of Buyer Markets  120

Environmental Awareness  121

Innovations  122

Integrated Supply Chain Logistics  122

5.3 Antitrade Movements/Protectionism  123

5.4 Transport Value and Affinity  125

5.5 International Commercial Terms  131

Chapter 6: Ports in Transportation Chain  137

6.1 The Role of Ports in Supply Chain  137

6.2 Port Hinterland  143

Loco-Potential  147

6.3 Ports and Shipping Networks  148

Shipping Networks  148

Port Networks  154

6.4 Port Costs in Transportation Chains  161

Chapter 7: Cargoes  165

7.1 Port Cargo Categories  168

Liquid Bulk  171

Dry Bulk  173

General Cargo, Break Bulk, Heavy Lift, Oversized  174

Container  177

RoRo Cargo  179

All Cargoes  180

7.2 Cargo Measurement  183

Linear Measure or Unit of Length: Two-Dimensional  184

Solid Measure or Cubic Measure: Three-Dimensional  185

Weight Measure/Ton Deinitions  185

Billing Systems: Weight + Volume  187

Arabesque: Additional “Ton” Definitions  189

Unit Measure  191

Twenty-Foot Equivalent Unit (TEU)  191

Intermodal Transport Unit (ITU)  193

Flat or Flat Rack  193

RoRo Unit or RoRo Flat  193

Car Equivalent Unit (CEU)  194

Verified Gross Mass (VGM)  195

7.3 Errors in Port Cargo Measurement  195

Workflow Difficulties  196

Ineffective Enforcement  196

Perception that Weight Is Peripheral  196

Using Different Standards to Measure  197

Statistical Consequences  198

Part 3: Port Management  203

Chapter 8: Frame Conditions  205

8.1 Port Business Environment  205

8.2 Basic Management Concepts  208

8.3 Port Labor Organization  217

8.4 Cultural and Religious Influence  220

Chapter 9: Port Commercialization and Privatization  223

9.1 Background for Port Reform  223

9.2 Commercialization  225

9.3 Privatization  227

The French Example  228

9.4 Ways to Privatize  229

Chapter 10: Port Governance  233

10.1 Port Authorities  233

10.2 Sphere of Activity: The PA-Paradox  238

10.3 Objectives of a Port Authority  243

10.4 PA Task Overview  248

Executive Management  248

Strategic Planning  249

Engineering and Real Estate  251

Access Channel and Turning Basins  252

Finance and Administration  253

Legal  257

Human Resources  259

Origination/Business Development  259

Public Affairs and Economic Analysis  260

Port Security and Emergency Operations  261

Terminal Operations (Optional; Often for Smaller Ports)  262

10.5 Port Policy and Regulation  263

10.6 Intraport Competition  266

10.7 Case Studies  269

Port of Rotterdam Authority, The Netherlands  270

The Maritime and Port Authority of Singapore, Singapore  274

Port of Los Angeles, USA  277

Chapter 11: Port Operator  283

11.1 Classification  284

11.2 Terminal Operator  288

11.3 Port Facilities Operator  292

11.4 Port Service Operator  294

11.5 Global Container Terminal Operator  296

11.6 Terminal Operators Growth Path  310

Chapter 12: Port Cost Analysis  313

12.1 Port Dues  316

12.2 Cargo Fees  323

12.3 Miscellaneous  325

12.4 Port Costs Benchmarking  326

Chapter 13: Cargo Demand Forecasting  331

13.1 Port Master Plan  332

13.2 Demand Forecasting Models  335

13.3 Case Studies  341

Chapter 14: Financing Port Development  345

14.1 Financial Planning  348

14.2 Public-Private Partnerships  353

Principles of Port Investment Finance  354

Financing Structure  355

Debt  356

Equity  357

14.3 Alternative Port Financing and Management Schemes  357

Chapter 15: Lobbying  361

15.1 Mission of Port Lobbying  362

15.2 Players and Target Groups  363

15.3 Advocate of Port Policy  369

15.4 Port Marketing  372

Part 4: Subjects with a Major Impact on

Port Business  377

Chapter 16: Increased Economic Efficiency  379

16.1 Economies of Scale for Ships and Ports  379

Container Vessel Size  379

Larger Terminals  383

Deep Water  384

Dedicated Terminals; Vertical Integration; Concentration  385

Horizontal Integration  386

16.2 Performance Measurement  387

Technical Port and Terminal Indicator  387

Trade Indicator  389

Weighting Rules  391

16.3 Productivity of Container Terminals  392

16.4 Overcoming Market Imbalances  401

16.5 Port Competition  402

Chapter 17: Tendency to Oligopolize  405

17.1 “Big Is Beautiful”—Impact of Mega Vessels  406

17.2 Vertical Integration of Services  410

17.3 Horizontal Integration of Services  413

Chapter 18: Affairs of Geostrategic Concern  417

18.1 Port Positioning in Global Container Trade  417

18.2 Offshore Resourcing  421

18.3 OBOR/BRI/New Maritime Silk Road  424

18.4 Arctic Shipping  427

Chapter 19: Global Maritime Bottlenecks  431

19.1 Major Oil Chokepoints  431

19.2 Strategic Canals: Panama, Suez, etc.  437

19.3 Backlash on Ports  445

Chapter 20: Port-City Interface  447

20.1 Historic Port-City Relations  447

20.2 Regional & City Development Policies  450

20.3 Port Industry  452

20.4 Cruise Shipping/Tourism  455

20.5 Port Hinterland Access  457

Chapter 21: Port Community Systems  461

21.1 Background of PCS  461

International PCS Association—Definitions  463

Typical PCS Services  464

21.2 Big Data in Port Business  465

21.3 Maritime 4.0  468

21.4 Game Changer: Blockchain  470

Chapter 22: Environmental Issues  473

22.1 Emission Control Areas  475

22.2 Bunker Fuel  480

Alternatives—LNG, Methanol, and Scrubbers  483

22.3 Green Ships  484

22.4 Green Ports  486

22.5 Marine Environment  488

Appendices  491

Appendix A: Abbreviations  493

Appendix B: Glossary  499

Appendix C: Bibliography  511

Articles and Working Papers  511

Books  512

Dissertations and Theses  514

Magazines, Newspapers, and Periodicals  516

Maritime Statistics  517

Private Reports and Documents  517

Public Internet Websites (plus date when visited)  518

Appendix D: Definition: “Container”  521

Index  527