Abstract
The traditional world economy has changed. Dominant markets such as the US and Europe are struggling, while new economic growth is driven by developing nations. The maritime industry is essential to this growth - facilitating the global movement of goods through the use of ports.
By means of a literature review, the study illustrates how the changing liner industry has initiated the building of larger containerships. The rapid economic growth of the SADC region together with the presence of larger containerships on the East-West trade route has highlighted the largely ill-equipped nature of the SADC port system as the cascading effect displaces “smaller” containerships on secondary North-South trade routes. The cascading effect has necessitated the need for a hub-and-spoke network configuration in the SADC region.
The study further emphasises current investments and expansion projects for strategic SADC ports and corridors to determine a future port scenario in the liner shipping trade. The changing port landscape in the SADC region means that the traditionally strong South African ports are subject to greater competition for cargoes originating from the hinterland.
The purpose of this study has been to determine the impact of the cascading effect in liner shipping on the SADC port system, in order to identify a hub port for the region and additionally identify a future structure for strategic SADC ports in relation to the hinterland.
The research methodology was structured as a secondary data analysis. The application of a comparative matrix for both strategic ports and strategic corridors established the future SADC port structure. Furthermore, an east-facing hub port for the SADC region was identified.
The overall finding of the study was that for the long-term future, the port of Durban would remain the ideal hub port for the SADC region. The port is ideally positioned to capture cargo on the growing and lucrative South-South East trade route and the future development of the Durban-Gauteng corridor will facilitate the movement of cargo to and from the SADC hinterland...
M.Com. (Logistics Management)