Relative Efficiencies of ASEAN Container Ports based on Data Envelopment Analysis

Abstract

ABSTRACT Ports play a critical role in the economies of many countries in the ASEAN region. Efficient ports facilitate a country's imports and exports, and the “relative efficiency” of a port is evaluated based on its efficiency compared to others in its group. This study analyzes the relative efficiencies of 50 ASEAN container ports and terminals. These ports are categorized according to their container handling system and location (those located in a riverbank connected to the sea are called “inland seaports” and those by the seaside are called “seaports”). The traditional output-oriented data envelopment analysis method is applied, and measures of super-efficiency constant returns to scale are estimated in order to compare the units situated on the efficiency frontier. The findings may support port managers in the ASEAN region to make decisions on whether to increase container traffic. In addition, policymakers may consider the evaluation results in deciding whether to improve the trans-ASEAN transport network and ASEAN trade competitiveness.