PortEconomics member George Vaggelas contributes to the latest issue of Dry Cargo International magazine (February 2013) with an article presenting the Port of Thessaloniki as a major dry bulk port in the Southern Balkans.
Ports as crucial nodes of supply chains play a significant role in the world trade. This is also valid for the Southern Balkan area where the existence of landlocked countries (Former Yugoslav Republic of Macedonia and Serbia) increases the importance of ports for the trade and the economy of the region. The port of Thessaloniki is located in Northern Greece (is Southern than its main competitors in the region, thus more close to major sea-trade routes) and is the second biggest port in the country, after Piraeus. The company exploiting the port infrastructures and superstructures, is Thessaloniki Port Authority S.A. which is listed in Athens Stock Exchange since 2001. The port facilitates any kinds of cargo (dry bulk, general, liquid bulk, Ro-Ro containers) and passenger traffic (cruise and ferry). It has a significant experience in handling dry bulk cargoes as they account for 26.3% of the ports total throughput. The port's main competitors are the port of Durres (Albania), Burgas and Varna (Bulgaria) and Bar (Montenegro).
George prsents dry bulk cargo statistics of the port of Thessaloniki for 2012 almost 3.65mt (million tonnes) and discusses the potential of the majority of dry bulk cargoes, weather these are ores (especially nickel ore) or coal (pet coke, lignite, bituminous coal etc.).
You may freely download George's article @PortEconomics: Port of Thessaloniki: A major dry bulk port in the Southern Balkans
PortEconomics member George Vaggelas contributed to the 56th issue of the Port Technology International magazine with an article examining the new investment era of the Port of Thessaloniki, in Greece.
Radical changes in the world economy, and consequently in global transport systems, have altered the operational, organisational and, in some cases, ownership status of the port industry. Ports have become a capital intensive competitive industry, playing a crucial role in world trade, and by extension, in the world economy. In the case of European ports, two different approaches emerged in recent years. On the one hand, north European ports adopted new organisational models to increase their competitiveness, effectiveness and their ability to adapt to a speedily changing economic environment. On the other hand, south European ports took longer to adapt than their north European competitors. Spain, Italy and Turkey are among the countries that made reforms with positive results and an increase in their competitiveness.
George, currently an advisor to the CEO of the the Port of Thessaloniki SA, provides insight knowledge of the challanges that the Port of Thessaloniki atttempts to resolve, including an increased competition from the neighbouring ports (for example, Durres in Albania, Bar in Montenegro, Burgas in Bulgaria) serving the same hinterland. In an effort to maintain its market share and to gain back the cargoes that were lost during the turbulent period 2008 2009, the port authority developed an investment plan.
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The economic crisis and the implications on the Greek port system, as well as the ways leading to port survival, are the themes of a press article by PortEconomics member George Vaggelas published at the metaforespress.gr, a website exclusively dedicated to the Greek transport industry.
Based on the economic situation of Greece, the majority of Greek ports face reduced throughput and a detorioration of their financial results.
George suggests five pillars in order to overcome these difficulties. The first one is port specialisation, a strategy that would allow each port to take advantage of its significant potentials in prder to achieve a competitive advantage and, not least avoid the waste of tangible and intangible assets. The second pillar is the exploitation of synergies between the Greek ports, as well as the collaboartion between the Greek ports and ports in other places of the word. The goal in this case is to develop spatial comprehensive port (sub)systems which will provide a full range of port services to any kind of cargo, while it will allow the exchange of know-how.
The third pillar is the adoption of a 'customer-centric' policy, so that each port maintains and expands its market share. The fourth pillar includes strategic port investments. Based on the specifities of te economic environment, these investments need to focus on port infrastructures and superstructures which will assist port operators to increase both throughput and revenues. Finally, marketing and promotion are means towards a sucesffull strategy to expand port hinterland and attract new cargoes.
The article (in Greek) is available and can be freely downloaded @PortEconomics.eu 2012-metaforespress.gr-Vaggelas
The seminar gathered representatives of various tourism sectors, governmental officials and academics from Mediterranean countries. The last day of the seminar, the participants were informed on the tourism indicators for the Mediterranean Strategy for Sustainable Development, a project that is in process by Plan Bleu.
Plan Blue is one of the stakeholders involved in the mechanism for environmental regional cooperation within the framework of the United Nations Environment Programme’s Mediterranean Action Plan (UNEP/MAP). One of the main tasks with which it is entrusted is to produce information and knowledge in order to alert decision-takers and other stakeholders to environmental risks and sustainable development issues in the Mediterranean, and to shape future scenarios to guide decision-taking processes.
Find more for the Plan Bleu here.
Mary Brooks and Thanos Pallis discuss the recent developments in port governance. The globalization of production and distribution, changing forms of cargo transportation and technological breakthroughs ended a long period of stable, state-controlled (govern- ment) port governance in most countries. Although government ownership of ports remains firmly entrenched in many countries, private management in the provision of port services has also been widely adopted. Port corporatization continues to be an acceptable governance option. Under port reform, ports have incurred difficulty in addressing issues with their hinterlands, such as congestion and infrastructure investment beyond the traditional boundaries of the port. In some cases, this has spurred interest in broader and more community-based governance models. A study of major international ports reveals the involvement of private interests in port terminal operations, a movement toward more effective and efficient management of ports, a trend for port authorities to go beyond their traditional functions, and recognition of the economic influences on ports.
Competition among and the competitiveness of container ports is the theme of the study conducted by Theo Notteboom and Wei Yim Yap. Container ports are in a better position to compete with neighboring container ports if they have modern infrastructures supported by competitive and reliable transportation services and serve as collection and distribution points for hinterlands that extend far beyond their traditional boundaries. Ports that lose ship calls will experience a decline in connectivity, choice of service providers and container throughput. The negative impact will also affect other ports that have complementary services with the port. A methodology is presented for analyzing inter-container port competition and competitiveness of container ports along the Malacca Strait, the Pearl River Delta and the Antwerp–Hamburg range. It is demonstrated that the configuration of container shipping line services has a direct effect on inter-container port competition. The decision by a container shipping line to switch port calls from one port to another can lead to significant economic and commercial ramifications for both ports. Container ports that are less flexible in accommodating the needs of shipping lines may be circumvented, while ports that are able to accommodate, complement and add value to the port calls of container shipping lines will be preferred.
Peter de Langen and Elvira Haezendonck discuss port clusters. A port cluster is a spatially concentrated group of firms of related industries for which one firm is a port; these firms are linked through vertical and horizontal relationships. The chapter discusses the relevance of applying the cluster concept to ports, as well as the port cluster concept as a tool for analyzing the impact of port cooperation and changing port governance structures on ports located in geographical proximity. Central to the port cluster concept is the recognition that interdependent firms cluster together in port regions for purposes of coordination and resource sharing. Analyzing ports from the perspective of port clusters provides (1) new insights into determinants of port competitiveness, (2) additional measures of port performance, (3) insights into the role of the port in promoting activities among interdependent firms in its region, and (4) an alternative framework to that of port governance for describing the role of port authorities. A dominant firm such as a port authority may have a strong influence on the performance of a cluster. In many port clusters, the port authority or a terminal operator plays a crucial role in the success of the port cluster.
George Vaggelas along with Adolf K.Y. Ng focus on port security, and the ISPS Code in particular. Their study is concerned with port security activities within the port's domain that protect port facilities and coordinate security activities between the port and its users. It discusses the International Maritime Organization's International Ship and Port Facility Security (ISPS) Code, the major international port security regulatory code, and examines the challenges faced by ports in the implementation of this Code. For the latter, cases studies of port security at Hong Kong in Asia and Piraeus in Europe are used. In Hong Kong, port security is not widely regarded as an important port issue, as revealed by the fact that port security man- agers hold junior positions. The core rationale of port security compliance by major stakeholders of the Port of Hong Kong appears to be one of avoiding potential economic consequences from non-compliance (e.g., losing US trade). In contrast, the Port of Piraeus has a strong security culture. It has implemented a stricter form of the ISPS Code, and cooperates with other ports on port security know-how and good practice.
Finally, PortEconomics associate member Pierre Cariou partners with François-Charles Wolff and Maximo Q. Mejia, Jr in a discussion of port state control (PSC) – a regime of unannounced safety inspections on board foreign ships in ports or marine terminals by designated PSC authorities for the purpose of verifying the adherence of ships to international regulations related to ship manning, equipment, maintenance and operations – and the deficiencies of the system PSC inspections provide information about factors such as vessel age, vessel type, classification society and vessel flag, which may predict the likelihood that a vessel will be found to be substandard. These factors are reflected in the target factors used by PSC regional memoranda of understanding (MoUs). This chapter describes these target factors and how vessel deficiencies detected during PSC inspections are corrected or recur over time. A data set of 42,071 vessels/ inspections carried out from 2002 to 2009 by 18 state members of the Indian Ocean MoU (IO-MoU) is used to determine factors that increase the likelihood of detecting vessel deficiencies in PSC inspections and the persistence of vessel deficiencies in sub- sequent PSC inspections over time.
Read the Introductory chapter, the full Table of Contents more about the Blackwell Companion of Port Economics at the publisher's page.
PortEconomics is looking forward to hear from all those who would like to share more impressions from visits to world ports.
The PortEconomics team has been indirectly involved in the competition, as its member Dr. George Vaggelas has been actively contributed to the bid of the Port of Thessaloniki that was the second port competing in the final. The port of Koper was the third port that made it to the final.
Read more about this year's award via the ESPO website, where you can also find what European ports do to integrate with the society.
The papers presented by the PortEconomics team were:
- Chen L. & Notteboom T. (2011). Determinants for assigning value-added logistics services to logistics centers within a supply chain configuration. Download
- Feng L. & Notteboom T. (2011). Small and medium sized ports (SMPs) in multi-port gateway regions: the role of Yingkou Port in the logistics system of the Bohai sea. Download
- Kaselimi E.N. & Notteboom T. (2011). "Preferred" scale of containers terminals in seaports: A size distribution analysis. Download
- Lekakou M.B., Pallis A.A. Vaggelas G.K. and Vitsounis T.K. (2011). Users speak: coastal Shipping Services and islanders perceptions. Download
- Li J and Theo Notteboom T. (2011). The evolutionary path of inland waterway transport in Pearl river Delta china: The role of governance and institutions. Download
- Ng A.K.Y., Padilha F. and Pallis A.A. (2011). Institutions, regional and transport development in developing economies: Lessons from Brazilian dry ports. Download
- Notteboom T. and Rodrigue J-P. (2011). Global container terminal operators: from diversification to rationalization? Download
- Notteboom T. and Cariou P. (2011). Bunker costs in container liner shipping: Are slow steaming prac- tices reflected in maritime fuel surcharges? Download
- Pallis A.A. and Bissias I. & Papachristou A.A. (2011). She goes maritime: Women in marine and maritime education in Greece. Download
- Rodrigue J-P. and Notteboom T. (2011). Looking inside the box: evidence from the containerization of commodities and the cold chain. Download
- Verbraeken D. & Notteboom T. (2011) Land productivity of seaport ter- minals: the role of exogenous factors. Download
- Van den Berg R. and de Langen P.W. (2011). Towards' inland terminal to inland terminal' as a new value proposition in container transport? Download
- Vitsounis T.K. and Pallis A.A. (2011). Measuring port users perceived value. Download
- Vitsounis T.K. and Pallis A.A. (2011). Rethinking port actors.
- Wang S. & Notteboom T. (2011). Fleet distribution in the LnG shipping market: A comparative study with container and dry bulk markets. Download
The PortEconomics SummerCourse was completed with participants and instructors sharing their enthusiasm for the event. Updates on developments in the field and state-of-the art research, interesting discussions and networking dominated four productive days on the theme of "Advances in Port Management: Theory and Practice".
Instructors included Thanos Pallis (University of the Aegean, Greece), Peter de Langen (University of Eindhoven/Port of Rotterdam, the Netherlands), Theo Notteboom (ITMMA-University of Antwerp, Belgium), Mary Pierre Cariou (Euromed Management, France), Brooks (Dalhousie University, Canada), Jean-Paul Rodrigue (Hofstra University, USA), Adolf Ng (Hong-Kong Polytechnic University) and Thomas Vitsounis (University of the Aegean, Greece).
The first PortEconomics SummerCourse concluded with the wrap-up session by George Vaggelas (Advisor to the President and CEO of Port of Thessaloniki), Michalis Sarlis (Advisor to the Hellenic Champer of Shipping) and Patrick Verhoeven, (Secretary General, European Sea Ports Organisation - ESPO).
The PortEconomics team would like to thank all those that trusted our initiative and participated in the inaugural event. With evaluation reports being most promising, we promise to keep contact with the most promising young generation of academics and practitioners by developing further our activities.
The PortEconomics SummerCourse diary
Day 4: Production Factors (Capital, Labour, and Land) were the theme that dominated the final day of the PortEconomics SummerCourse, with Thanos Pallis and Theo Notteboom presenting an update of market developments. In the following session, participants were updated on Port Governance and Devolution by Mary Brooks. The first PortEconomics SummerCourse concluded with presentations by representatives of port authorities the users of the ports, and the European Sea Ports Organisation that concluded the SummerCourse. Participants enjoyed the farewell drink at the gardens of "Maria Tsakos Foundation" Centre for Maritime Research and Tradition. For most participants, this was also the welcome drink to the PortEconomics sponsored European Conference on Shipping, Intermodalism and Ports - ECONSHIP 2011.
Day 3: In the beginning of the executive course, Theo Notteboom and Jean-Paul Rodrigue presented to participants the latest "Developments in Shipping Markets as well as in Terminals and ITO Strategies". The sessions were followed by an informative discussion on "Ports and Supply Chains" by Peter De Langen, and presentation on "Port Performance Measurement in Practice" by Pierre Cariou and Thomas Vitsounis. In the final session of the day, participants of the SummerCourse had the opportunity to receive an update of the latest developments in port of North America, Asia, and Europe by Mary Brooks, Adolf Ng and Thanos Pallis respectively. The day ended with participants joining the PortEconomics dinner at the picturesque village of Thimiana.
Day 2: Lively discussions during the "PhD Breakfast and Brunch Session" marked the second day of the PortEconomics SummerCourse. Drs Chen, Gang (University of Southern Denmark), Vaggelis Kounoupas (University of Piraeus), Spyros Niavis (University of Thessaly), Kourounioti, Ioanna (University of the Aegean) and the PortEconomics member Papachristou Aimilia (University of the Aegean) presented the progress of their PhD research and discussed in a lively discussion themes, methodologies, research and publication potentials with other participants. The afternoon session included a relaxing trip to the villages and beaches of the famous Mastichohoria of Chios island, in a networking and "battery recharging" excursion. Participants return to the class tomorrow in a unique gathering including instructors from North America, Asia and Europe: These are: Theo Notteboom, Jean-Paul Rodrigue, Pierre Cariou, Mary Brooks, Adolf Ng, Peter De Langen, Thomas Vitsounis and Thanos Pallis.
Day 1: The inaugural PortEconomics SummerCourse on "Advances in Port Management: Theory and Practice" commenced on Saturday 18 June in Chios, Greece . The first day concentrated on the latest developments in port research, with Peter de Langen, Thanos Pallis and Thomas Vitsounis discussing the prospects and challenges for port research, as well as they ways that one might take advantage of the PortSudies database. They were joined by George Vaggelas (Port of Thessaloniki) who discussed the expectations of Port Authorities from the academia.The event will continue its works at the Korai Library in Chios, Greece, on Monday 20 and Tuesday 21 June.
The full program The Full Program (final version) is available @ PortEconomics.
April 2011: ENPOS members Thanos Pallis, George Vaggelas and Thomas Vitsounis presented their views on “Integrating Seaports in Combined Transport Systems" at the International Intermodal Freight Transport Open Conference "Green Development and Combined Transport". The Conference was organised in Athens, Greece on April 1, 2001, and George Vaggelas, who acted as the presenter, exchanged views on the key issues that need to be considered so as to achieve the target to efficiently and effectively integrate ports in combined transport chains.
The presentation is available and can be downloaded @ PortEconomics.eu [Download]
2013-OECD Rotterdam-Amsterdam Working Paper
11th PPRN Agenda SemiFinal
2013-European Speed limit vs an international Bunker-Levy to reduce CO2 emissions-Cariou