Port Development and Logistics

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  • Topic: Cargo, Containerization, Break bulk cargo
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Port Development & Logistics

(Assignment 1)

Student: Zhaofeng Cen
Student ID:171446

Unit Coordinator:Peggy Chen
Unit Code: JNB516
Unit: Port Management and Strategy
Course: MBA
(Maritime and Logistics Management)

Due Date: 27 August 2012
Word Count: 1646 words

Abstract
This essay can be divided into two parts. The first part answered the question about the evolution of port development based on existing conceptual perspectives of port development. And it introduced the four different development stages of port which is divided in time sequence. Accompanying with the time passed, we can observe that how a port developed from an individual port to a regional distribution centre.

The second part identified the key elements of the port logistics. It explained how they are related in terms of port operation by illustrating the main functions in port logistics with the example of Port of Xiamen. In addition, the upsides and downsides of the integration of those elements in the developing progress of Xiamen port logistics were also discussed and analysed.

Table of contents

Abstractii

Table of contentsiii

Introduction1

Part A – The development of port.1

Part B – The port logistics in Port of Xiamen3

Conclusion5

References6

Introduction

Port, the traditional definition is a ship/shore interface or a maritime intermodal interface or areas of facilities for berthing or anchoring ships and where there is the equipment for the transfer of goods from ship / shore to shore / ship. Nowadays, because the change of global economics and development of technologies, the word “port” has been given some new meanings while the port has become a key element in global supply chain (333333). Not only does its definition change, but also do its roles and characteristics. ‘During this evolving progress, the greatest change is that the ports have developed into a modern logistics centre which can offer some value-added services instead of being an individual interface just handling all kinds of specialized cargo’ (Petit & Beresford 2009). The followed paragraphs will discuss the evolution of port and what the functions of port logistics are and how they affect the development of port with some certain example.

Part A – The development of port
The evolving progress of port can be divided into four stages or generations which I will discuss them respectively as follows.

The period of first stage is before 1960 and the main cargo ports handled is break bulk cargo which can only be loaded and unloaded inefficiently. During this period, the port’s function is absolutely as its definition described above, just a changing point of transport mode. As an interface or so-called individual ports, its activity is very independent and can hardly affect its surrounding region. Its decisive factors are labour and capital because the ports at that time are labor intensive due to its conventional cargo flow (UNCTAD 1990). This stage can also be concluded as a setting stage. After 1960s, accompanying with the increasing bulk cargo, the port development has stepped forward to the second stage.

At the second stage, the port has started to become a transport, industrial and commercial centre. Its scope of activities has expanded to cargo transportation and industrial activities other than a cargo gateway. Moreover, it started to offer some combined services which are value added and it had closer relationship with the port users. The decisive factor is only capital in comparison with last stage due to the implementation of capital intensive technology to handle more and more bulk cargo (UNCTAD 1990). For example, ‘in the 60’s, with the Suez Canal crisis and the fast economic developments taking place in Europe, the Port of Rotterdam need to create new port areas with deep water which could serve the exponentially fast...
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