Measuring Productivity and Efficiency of Seaports in India using DEA technique
DOI:
https://doi.org/10.29015/cerem.529Słowa kluczowe:
Productivity, Efficiency, Frontier, Parametric, Non-parametric, DEA.Abstrakt
Aim: In this paper we are looking at the seaports (in India called ‘major ports’) from the context of its trade and India’s strategic importance in trade world after the initiation of economic reforms in 1991. It empirically estimates the levels of productivity and efficiency of seaports in India. This paper applies DEA technique to assess productivity and efficiency of seaports in India.
Design/Research methods: DEA technique is extensively used in the literature of economics to provide measures of firms’ technical efficiency. These measures rank the firms by looking at their apparent performances over a period of time. DEA is a frontier model which is non-parametric since no functional specification or form is required to be mentioned.
Conclusions/Findings: The DEA results as discussed and reported in the paper have shown how Indian ports are performing over the years. This investigation alone is not sufficient to develop a benchmark in the port system of India. Rather it will do well to have a closer look at the Indian ports from the physical and financial performance point of view. This study made use of data envelopment analysis (DEA) to generate what we call an efficiency benchmarks and assessment of the Indian ports sector. With this modest attempt to investigate the port sector of India several issues are in the open one can further analyze and come to desired conclusions.
Originality/value of the paper: The main role of a port is to transfer goods between two transport modes. As far as Indian ports are concerned, there are few studies with regard to productivity and efficiency of the port sector. Since, there is an attempt in recent years to overhaul the infrastructure sectors of the Indian economy and especially seaports. There is a need to look at issues in port sector as well. Productivity and efficiency concerns should be the main aspect of the benchmarking of the performance of today’s Indian ports.
Limitations of the research: Second stage DEA, distance function approach, Bayesian techniques, Carlo Monte techniques, can be alternatively used.
Bibliografia
Banker, R. D., A. Charnes and W. W Cooper, (1984): Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis, Management Science, 30(9), pp.1078-1092.
Barros, C. P., (2003): Incentive Regulation and Efficiency of Portuguese Port Authorities, Maritime Economics and Logistics, 5 (1), pp 55-69.
Bose, S. K., (2001): Cargo Handling of Major Ports in India: A Case Study, Economic and Political Weekly, Vol. XXXV, No 34, pp. 3284-88.
Caves, D.W., L. R. Christensen, and W.E. Diewert, (1982): The Economic Theory of Index Numbers and the Measurement of Input, Output and Productivity, Econometrica, Vol. 50, No.6.
Charnes, A., W.W. Cooper and E. Rhodes., (1978): Measuring the Efficiency of Decision Making Units, European Journal of Operational Research, Vol.2, No (6), pp.429-444.
Charnes, A., C.T. Clark, W.W. Cooper, and B. Golany, (1985): A Developmental study of Data Envelopment Analysis in Measuring the Efficiency of Maintenance units in US Air Forces, Annals of Operations Research, 2, pp.95-112.
Charnes, A., A. Galleous, and H. Li, (1996): Robustly efficient parameter frontiers: an approximation via the multiplicative DEA model for domestic and international operations of the Latin American airline industry, European Journal of Operational Research, 88, pp.525-536.
Christensen, L.R., and W. H. Greene, (1976): Economies of scale in US Electric power generation, Journal of Political Economy, 84, pp.655-676.
Christensen, L.R., D. W. Jorgenson and L. J. Lau, (1973): Transcendental Logarithmic Production Frontiers, The Review of Economics and Statistics 55:1 (February), pp.28-45.
Chudasama, K., and K. Pandya, (2008): Measuring Efficiency of Indian Ports, Working Paper 3, Department of Research Methodology and Interdisciplinary studies in Social sciences, Veer Narmad South Gujarat University, Surat.
Clark, X, D. Dollar and A. Micco, (2001): Maritime Transport Costs and Port Efficiency, Policy Research Working Paper, World Bank.
Clark, X., D. Dollar, and A. Micco., (2004): Port Efficiency, Maritime Transport Costs, and Bilateral Trade, Journal Development Economics, 75, pp. 417-450.
CMIE (Various issues): Infrastructure, Economic Intelligence Service, Mumbai.
Coelli, T. J., (1995): Estimators and Hypothesis Tests for a Stochastic: A Monte Carlo Analysis, Journal of Productivity Analysis, 6, pp.247-268.
Coelli, T.J., (1996): A Guide to DEAP Version 2.1: A Data Envelopment Analysis (Computer) Program, CEPA Working Papers 8/96, Department of Econometrics, University of New England, Armidale, Australia.
Coelli, T.J., (1996): A Guide to FRONTIER Version 4.1: A Computer Program for Stochastic Frontier Production and Cost Function Estimation, CEPA Working Papers 7/96, Department of Econometrics, University of New England, Armidale, Australia.
Coelli, T.J., and S. Perelman, (1996): Efficiency Measurement, Multiple-output Technologies and Distance Functions: With Application to European Railways, CREPP 96/05, University of Liege, Liege.
Coelli, T.J. and S. Perelman, (1999): A Comparison of Parametric and Non- parametric Distance Functions: With Application to European Railways, European Journal of Operational Research 117, pp.326-339.
Coelli, T.J., and S. Perelman, (2000): Technical Efficiency of European Railways: A Distance Function Approach, Applied Economics, 32, pp.1967-1976.
Coelli, T.J., D.S. Prasad Rao, and G. E. Battese, (1998): An Introduction to Efficiency and Productivity Analysis, Kluwer Academic Publishers, Boston, USA.
Coelli, T.J., D.S. Prasad Rao, C. J. O’Donnell, and G. E. Battese, (2005): An Introduction to Efficiency and Productivity Analysis, 2nd ed. Springer, New York, USA.
Cullinane, K., and Dong-Wonk Song, (2003): A Stochastic frontier model of the productive efficiency of Korean container terminals, Applied Economics, 35, pp.251-267.
Cullinane, K., D. Song and R Gray, (2002): A Stochastic Frontier Model of the Efficiency of Major Container Terminals in Asia: assessing the influence of Administrative and Ownership structures, Transportation Research, Part A, 36, pp.743-762.
Cullinane, K., D. Song, P. Ji and T. Wang, (2004): An Application of DEA Windows Analysis to Container Port Efficiency, Review of Network Economics, 3(2), pp.184-206.
Cullinane, K., D. Song, P and Teng-Fei Wang, (2005): The Application of Mathematical Programming Approaches to Estimating Container Port Production Efficiency, Journal Productivity Analysis, 24, pp.73-92.
Cullinane, K., Teng-Fei Wang, D-Wonk Song, and Ping Ji, (2006): The technical efficiency of container ports: Comparing data envelopment analysis and stochastic frontier analysis, Transportation Research Part A, Vol.40, pp.354-374.
Estache, A., M. Gonzalez, and L. Trujillo, (2001): Technical Efficiency Gains from Port Reform: The Potential for Yardstick Competition in Mexico, Policy Research Working Paper World Bank.
Fare, R., and D. Primont, (1995): Multi-Output Production and Duality: Theory and Applications, Kluwer Academic Publishers, Boston, USA.
Fare, R., and S. Grosskopf, (1992): Malmquist Productivity Indexes and Fisher Ideal Indexes, Economic Journal 102(4), pp.158-160.
Fare, R. and S. Grosskopf, D-Woon Noh and W. Weber, (2005): Characteristics of a polluting technology: theory and practice, Journal of Econometrics, 126, pp.469-492.
Fare, R., S. Grosskopf, and C. A. K. Lovell, (1994): Production Frontiers, Cambridge University Press, Cambridge.
Fare, R., S. Grosskopf, and Z. Zhang, (1994): Productivity Growth, Technical Progress, and Efficiency Change in Industrialized Countries, American Economic Review, Vol. 84 No. I, pp.66-83
Farrell M.J., (1957): The Measurement of Productive Efficiency, Journal of the Royal Statistical Society, Series A, (General) Part III, Vol.120, pp.253-290.
Friedrichsen, C. (1999): Benchmarking of ports. Possibilities for increased efficiency of ports. Transport benchmarking. Methodologies, applications and data needs. European Conference of Ministers of Transport, European Commission: Paris.
Gonzalez, M. M. and L. Trujillo, (2002): Efficiency Measurement in the Port Industry: A Survey of the empirical evidence, Discussion Paper Series No.07/08, Department of Economics, City University, London.
Gonzalez, M. M. and L. Trujillo, (2005): Reforms and Infrastructure Efficiency in Spain’s Container Ports, World Bank Policy Research Working Paper 3515, Washington DC.
Government of India, (GOI), (1999): Corporatisation: Ennore Port & Jawaharlal Nehru Port, The Cornell Report, May 1999, The Cornell Group Inc. &Consulting Engineering Services (India) Limited & Others.
GOI, (2002): Vision 2020 Transport, Report prepared for Planning Commission by Mahesh Kapoor, New Delhi.
GOI, (2003): Seventh Lok Sabha Estimates Committee (1981-82, 32nd Report), New Delhi.
GOI, (2004): Draft Policy for Maritime Sector, Ministry of Shipping, New Delhi.
GOI, (2005): Basic Port Statistics of India, Ministry of Shipping, Road Transport and Highways, New Delhi.
GOI, (2006): National Maritime Development Programme, Ministry of Shipping, Road Transport and Highways. New Delhi.
GOI, (2006): Towards Faster and More Inclusive Growth rate: An approach to XI Five Year Plan, Planning Commission, New Delhi.
GOI, (2007): Report of Working Group for Port Sector for the Eleventh Five Year Plan (2007-2012), Ministry of Shipping, Road Transport and Highways, New Delhi.
GOI, (2007): Eleventh Five Year Plan, 2007-2012, Vol. I, II & III, Planning Commission, New Delhi.
GOI, (2007): Annual Report 2006-07, Ministry of Shipping, New Delhi.
GOI, (2008): Economic Survey 2007-08, Ministry of Finance, New Delhi.
GOI, (2009): Major Ports Regulatory Authority Act (MPRAA), 2009, Ministry of Shipping, New Delhi.
Greene, W.H., (2005): Reconsidering heterogeneity in panel data estimators of the stochastic frontier model, Journal of Econometrics, 126, pp.269-303.
Grifell-Tatje, E. and C.A.K.Lovell, (1995): A Note on the Malmquist Productivity Index, Economics Letters, 47, pp.169-175.
Haralambides, H. E. and R. Behrens, (2000): Port Restructuring in a Global Economy: An Indian Perspective, International Journal of Transport Economics, Vol. XXVII, No.1, pp.19-39.
Haralambides, H. E., (2002): Competition, Excess Capacity, and the Pricing of Port Infrastructure, International Journal of Maritime Economics, 4, pp. 323-347.
Haralambides, H. E., P. Cariou., and Marco, B., (2002): Costs, Benefits and Pricing Container Terminals, International Journal of Maritime Economics, 4, pp. 21 -34.
IPA, (2007): Coordination of business plan for major ports in India: Consolidated port development plan, Report prepared by Port of Rotterdam Authority, New Delhi.
IPA, (2002): Major Ports of India: A Profile - 2001-02, New Delhi.
Kumbhakar, S.C., (1990): Production Frontiers, Panel Data and Time Varying Technical Inefficiency. Journal of Econometrics, 46, pp. 201-211.
Kumbhakar, S.C. and C.A. Knox Lovell, (2000): Stochastic Frontier Analysis, Cambridge University Press.
Kumbhakar, S.C. and E. G. Tsionas, (2005): Measuring technical and allocative inefficiency in the translog cost system: a Bayesian approach, Journal of Econometrics, 126, pp.355-384.
Monteiro, Jeronimo G. R., (2007): Mormugao Port: The Golden Gateway to Goa, Research in Maritime History, No.35, pp.43-56.
Monteiro, Jeronimo G. R., (2010): Measuring Productivity and Efficiency of Major Ports of India, Economics and Political Weekly, Vol. XlV Nos. 26&27, pp.325-331.
NCAER, (1996): The Indian Infrastructure Report: Policy Imperatives for Growth and Welfare, Vol. I, II and III, Sectoral Reports. Report by Rakesh Mohan Committtee, NCAER, New Delhi.
Park, R. and P. De., (2004): An Alternative Approach to Efficiency Measurement of Seaports, Maritime Economics & Logistics, 6 pp. 53-69.
Poitras, G, J. Tongzon and H. Li, (1996): Measuring Port Efficiency: An Application of Data Envelopment Analysis, Discussion Paper 10/15/96, National University of Singapore, Singapore.
Tongzon, J., (1993): The Port of Melbourne Authority’s pricing policy: its efficiency and distribution implications, Maritime Policy and Management, Vol. 20, No. 3, pp.197-203.
Tongzon, J. and S. Ganesalingam, (1994): An Evaluation of ASEAN Port Performance and Efficiency, Asian Economic Journal, Vol. 8 No. 31 pp. 317-330.
Tongzon, J., (1995): Determinants of port performance and efficiency, Transportation Research, 29A (3), pp.245-252.
Tongzon, J., (2001): Efficiency measurement of selected Australian and other international ports using data envelopment analysis, Transportation Research Part A, 35, pp.107-122.
Tongzon, J. and W. Heng., (2005): Port Privatization, Efficiency and Competitiveness: Some empirical evidence from container ports (terminals), Tranportation Research Part A, 39 pp. 405 -424.
Tovar, B., S. Jara-Diaz and L. Trujillo., (2003): A Multi-output Cost Function for Port Terminals: Some Guidelines for Regulation, World Bank Policy Research Working Paper 3151, October 2003.
Tovar, B., S. Jara-Diaz and L. Trujillo., (2003): Production and Cost Functions and their Application to the Port Sector: A Literature Survey, Policy Research Working Paper, World Bank.
Trujillo, Lourdes and Gustavo Nombela, (1999): Privatization and Regulation of Seaport Industry, Policy Research Working Paper 2181, World Bank.
Trujillo, Lourdes and B. Tovar, (2007): The European Port Industry: An Analysis of its Economic Efficiency, Maritime Economics & Logistics, 9, pp.148-171.
UNCTAD (1969): Development of Ports, United Nations, New York, 1969.
UNCTAD (1976): Port Performance Indicators, UNCTAD Secretariat, New York, US.
UNCTAD (1976): Port Productivity I-III, Manual on Port Management, by G. D. Monie, UNCTAD Secretariat, Geneva.
UNCTAD (1987): Measuring and Evaluating Port Performance and Productivity, Monographs on Port Management, Report by G. De Monie, Geneva.
UNCTAD (1995): Comparative experiences with privatization: policy insights and lessons learned, UNCTAD/DTCI/23, New York.
UNCTAD (1995): Comparative analysis of deregulation, commercialization and privatization of ports, UNCTAD/SDD/PORT/3, Geneva.
UNCTAD (1998): Guidelines for Port Authorities & Governments on the Privatization of Port Facilities, UNCTAD Secretariat, Geneva.
UNCTAD (1999): Privatization of the Port Sector, Report by Gary Crook, Geneva.
Pobrania
Pliki dodatkowe
Opublikowane
Numer
Dział
Licencja
Autor przenosi nieodpłatnie na Wyższą Szkołę Bankową we Wrocławiu , bez ograniczeń terytorialnych, majątkowe prawa autorskie do tego utworu w rozumieniu ustawy z dnia 4 lutego 1994 roku o prawie autorskim i prawach pokrewnych ( Dz.U. 1994, Nr 24, poz. 83 ze zm. )na zasadzie wyłączności, tj. prawo do:
a) wyłącznego używania i wykorzystania utworu w dowolnej działalności przez Wyższą Szkołę Bankową we Wrocławiu, w szczególności w działalność Biblioteki Cyfrowej uruchomionej przez Wyższą Szkołę Bankową we Wrocławiu
b) wytwarzania, utrwalania i zwielokrotniania egzemplarzy utworów wszelkimi technikami, w tym techniką drukarską, reprograficzną, zapisu magnetycznego oraz techniką cyfrową, w szczególności ich zwielokrotniania poprzez dokonywanie zapisów na płytach typu CD,
c) zamieszczenia wybranych fragmentów utworu w celach promocyjnych w publikacjach, materiałach promocyjnych, w sieci Internet oraz sieciach wewnętrznych typu Intranet Wyższej Szkoły Bankowej we Wrocławiu,
d) wprowadzania utworu do pamięci komputera Wyższej Szkoły Bankowej we Wrocławiu,
e) kopiowania i powielania utworu w technologiach fotomechanicznych lub innych znanych w dniu zawarcia umowy (fotokopie, kserokopie itp.),
f) przetworzenia dzieła na formę elektroniczną i nieograniczonego rozpowszechniania w sieci Internet.
