Malmquist Data Envelopment Analysis as a tool to evaluate the Productivity levels of Container Ports in Developing Countries located in East and Southern Africa 2014-2016.

Abstract

Aim: The purpose of this paper is to examine the productivity of 12 container ports located in East and Southern African developing nations for the period of 2014-2016. Furthermore, to investigate the sources of productivity change over the time period. Design / Research methods: This research collects data on the 12 container ports. The productivity of these ports is analyzed using the Data Envelopment Analysis based Malmquist productivity index. This is decomposed into technological changes and technical efficiency. The sources of productivity change are identified. Conclusions /findings: The major finding of this study is the trend in the port efficiency level over the three year period of analysis. Therefore assisting maritime policymakers and port authorities on what aspect of the port production need enhancement. Originality/value of the article: Evaluation of ports in developing nations in Africa is not common. Also, the year under examination is less than five years. Therefore the result is relevant to port authorities as well as to the African nations. Implications of the research: 90% of import and exports into developing African nations are done by sea. The implication of this is that an efficient or inefficient port will have a multiplier effect on the nation’s economy. Great improvement in port productivity will enhance economic growth and development. Limitations of the research: Port efficiency should be evaluated on a yearly basis to serve as a major determinant of port productivity. However, this evaluation is based on availability of data.