2.5. Container Terminal Management and Operation

2.5.4 Management and Operation of Container Terminals in Major World Ports

There is a high degree of port privatization in the port operation field in container terminals of major world ports. Meanwhile, the public sector is playing an increasingly important role in the field of port administration.

Port privatization is generally thought to enhance competition. But as private entities are mainly motivated by the profit motive, there is a danger that the public interest (regional/national development) could suffer if a monopolistic situation were to arise.

For this reason, many major ports in the world have adopted a "landlord" type of management and operation. The port management bodies are responsible for port administration as landlords and regulators, which enables them to safeguard the public interest. At the same time, the skill and efficiency of the private sector is utilized for cargo handling operations.