Benchmarking the Efficiency of Container Ports in Vietnam

Abstract

Currently, containerization plays an important role in the development of shipping industry as well as the global seaborne trade all over the world and Vietnam is also no exception. In the period from 2010 to 2015, according to General Statistics Office of Vietnam, the volume of container cargo through Vietnamese seaports had a double growth rate, which was 5.1% higher than the increase of the world. Now, the operational efficiency of container ports in Vietnam should be recognized to understand the condition, strength, weakness, etc. and establish proper strategies in the competitive market environment. This paper aims to investigate the operational efficiency of Vietnamese container ports and recognize benchmarking ports as role models of inefficient ports. Data Envelopment Analysis (DEA) is employed in order to evaluate the relative technical efficiency and the scale efficiency of major container ports in Vietnam. Port data such as container cargo throughput (TEU), container yard area (m2),berth length (m), quay crane (No.), yard crane (No.) and reach stacker (No.) as of 2017 are collected from Vietnam Maritime Administration and Vietnam Seaports Association. The results of this study provide information and guideline for improving container port management and establishing operational plans at local as well as national levels.