A version of this article was published in the October/November 2025 edition of The DCN.
The recent release of the ‘Container Port Performance Index 2020 to 2024 (CPPI)’ by the World Bank Group, prepared by S&P Global, has triggered significant attention.
According to part of the executive summary of the CPPI, “the aim of the CPPI is to provide an objective measure of container port performance, identify global or local trends in maritime container trade efficiency and highlight where vessel time in port could be improved. Since its first edition in 2021, the World Bank has partnered with S&P Global Market Intelligence to publish the CPPI annually.”
In general terms, the CPPI found that:
- In 2020, port performance began relatively strongly despite the problems created by the COVID–19 pandemic.
- The situation deteriorated significantly in 2021 and 2022, with a peak late 2021 due to global port congestion, vessel delays and equipment shortages.
- There was a substantial recovery in 2023, but much of it was lost in 2024 due to external pressures such as action taken against vessels in the Red Sea and a decline in the availability of the Panama Canal.
Further comments in the CPPI suggested that this CPPI offers more resources, better information and a more comprehensive assessment of trends. The view expressed is that this allows the CPPI to be a diagnostic tool for industry and policymakers.
Issues with port performance in Australia
In the Australian context, there has been ongoing tension between the efficiency of ports, including landside operators such as container stevedores, and those in the private sector providing services relying on landside services such as freight forwarders. The tension in the relationship is most often seen when new access and services charges are introduced for the first time, or where existing charges are increased.
In all cases, those additional charges need to be collected by operators in the private sector and recovered by them from clients, usually sometime after they are imposed. Those in the private sector collecting, delivering and returning containers are also exposed to charges such as demurrage and detention charges charged by stevedores and shipping lines, which separately need to be recovered from ultimate consignees of cargo.
Concerns over the availability of services by the landside service providers and the costs of such services are the subject of significant regular complaints and debate. Many of those concerns refer to the lack of regulatory oversight of practices and charges levied by container stevedore operators.
Representations have been made to establish a local version of the US Federal Maritime Commission with authority to regulate the provision of those services and charges.
The Australian Competition and Consumer Commission issues an annual ‘Stevedoring and Monitoring Services’ report commenting on industry costs and competitive issues (including the repeal of Part X of the Competition and Consumer Act 2021, which allows a level of coordination of services between shipping lines). In late 2023, the Australian Productivity Commission released a report into the maritime supply chain which recommended significant reforms.
However, the Federal Government has not actioned any of the changes proposed, including a failure to respond at all to the Productivity Commission report.
Although the Federal Government has not responded to calls for regulation of private landside stevedore charges, there has been some movement on other levels of government.
The National Transport Commission has issued ‘National voluntary guidelines for landside stevedore services’ (National Voluntary Guidelines). Victoria operates a Voluntary Pricing Protocol, which provides protocols for container stevedores at the Port of Melbourne for advance notice of new charges and increasing existing charges. Voluntary Guidelines for some landside stevedore charges also apply at the Port of Fremantle based on the National Voluntary Guidelines.
Australian responses to the CPPI
There have been several adverse comments in relation to the assessment of the operations of the Australian ports in the CPPI, which were all assessed to come within the bottom half of the table of 400 ports.
However, the responses have not all been negative. There have been comments on the fact that the CPPI does not include all relevant bases for comparison and may have omitted to consider significant international events over which the operators have no control.
There has been useful commentary on the CPPI by Mike Gallacher, the CEO of Ports Australia in the Daily Cargo News (29 September 2025) and from Peter van Duyen from ICHCA Australia (30 September 2025). Both reviews suggest that we should not be too concerned with the outcomes in the CPPI, as it did not consider specific local issues.
Even so, there remains the issue of services and charges by container stevedores and how transparency and certainty can be ensured. There is a recognition that the container stevedores provide a vital service and make significant capital investments for the provision and improvement of their services.
After all, the container stevedores are privately-owned and must secure financial outcomes that satisfy their shareholders, to whom they have obligations to provide safe, effective and profitable outcomes.
By way of example, Adam Butler, the chair of the International Forwarders & Customs Brokers Association of Australia (IFCBAA) has stated as follows;
“IFCBAA acknowledges the critical role that our stevedores play in our supply chain. It is most important that our stevedores remain sustainable and invest in technology to remain resilient for Australia’s economic security.”
Our country is starving for productivity, so it is paramount that licensed customs brokers, freight forwarders and wharf transport operators have open and constructive dialogue with Australian stevedores, which will result in deliverables across the board for all stakeholders and ultimately Australian business and consumers. It is now time for level heads to unite.
The role of container stevedores and their interaction with their customers (freight forwarders and the like) is also fundamental to achieving increases in productivity, which is a major aim of all levels of government and has been the subject of the recent Economic Reform Roundtable convened by the Federal Government.
Addressing the impasse
The industry seems to be caught in an endless round of debates regarding the operation of our ports, most particularly the interaction between container stevedores and their customers. That debate adds to tension in the supply chain.
Notwithstanding several representations seeking Federal government intervention, it seems that the Federal Government is unlikely to intervene in these issues. Not all State Governments have responded to the issues, although the voluntary procedures developed by the Victoria and Western Australian State governments seem to have had a positive outcome.
No one denies that container terminal operators deserve a decent financial return on their significant financial investment in their operations. They are also entitled to operate as a crucial part of our supply chain and have their legitimate interests recognised.
At the same time, a new national system seems warranted to provide transparency on the rationale for service charges, whether for new services or increases in those charges. There should be a right of response to those accessing and using the stevedore operations and a mechanism to address differences of opinion. Some form of consensus on these issues is vital.
A summit or roundtable with representatives of all parties agreeing to start afresh on an agreed set of issues with the intention of developing either an outcome serving all interests would be an ideal pathway to secure such a positive outcome, both now and into the future.
Contact us
If you would like to discuss the details of the recently released Container Port Performance Index, or local issues such as transparency regarding services and charges by container stevedores, please contact a member of our Customs & Trade group.
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