ABSTRACT

Ports are catalysts for economic development as they enable trade and support supply chains. Port investments have economic benefits that can be direct or indirect, and induced. A port generally offers a value proposition to its region since it confers economic and social benefits but is also prone to environmental constraints. Like other transport infrastructures, several economic impacts of port infrastructure investments result in economic benefits. There are three main interdependent factors behind the growth of a port’s cargo base, particularly when it is containerized. They are reflective of port competition strategies: Hinterland intensification. Ports can be considered funnels to economic development since they act as catalysts and encourage development in specific economic sectors and locations near ports or along corridors. The economic benefits of ports are usually measured at an aggregate level by indicators such as value-added, employment, taxation revenue, and return on investment. Ports are important job generators.