Privatisation of ports

Abstract

As the global economy and market demands evolve to be more transparent, time-sensitive and competitive, privatisation in organisations has become a phenomenon renowned for the advantages it delivers of increased productivity and profitability. Port privatisation is no exception. Aimed at achieving improved operational efficiencies and the reduction of port costs, port privatisation has evolved and yielded varying results. Depending on prevailing social, economic and political circumstances, these effects differ amongst countries. This dissertation analyses this phenomenon, focusing on whether a port and its related services are public or private goods; why governments choose to produce and provide port services; what various international port privatisation models can positive lessons be drawn from; and what the impacts of port privatisation are. South Africa has recently avoided the arguments around port privatisation, due to pressing socio-political issues, and the analysis of economic gains and losses associated with privatisation may offer insights into why such government decisions would have been made.