Ports ‘lifelines for exporters’

Press, 14 March 1987, Page 2

Ports ‘lifelines for exporters’

Greymouth reporter “It is a simple but often overlooked fact that ports are the lifeline for our exporters,” the Minister of Transport, Mr Prebble, told the Harbours Association conference in Greymouth yesterday. Mr Prebble, announcing a Government decision to make the main harbour boards form companies to run their commercial functions, said that exporters’ costs put a charge on every item exported and imported by sea. At present harbour boards were “too expensive, too slow, not well managed, over-capitalised and inefficient,” he said.

“If we are to give our exporters the opportunity to perform we must make it cheaper in real terms for them to transport cargo through our ports. A reduction of just 50c a tonne in the price of exporting our products can make the difference between obtaining or losing a sale.” “An efficient transport sector actually creates jobs. An inefficient export port sector destroys jobs. Unless the ports sector is right, the rest of the economy suffers. “It is evident that substantial reforms are needed if it is to become more efficient,” said Mr Prebble. A fully commercial,

business-like working strategy had to be adopted by the industry. Ports were first and foremost commercial activities, representing multimillion dollar investments and "they must be run as such or the rest of the economy suffers. “The problems facing port authorities are a direct consequence of the inadequate legislative framework that they are forced to work under. “There is a need for a legislative framework that will require all port administrators to confront inefficiency and respond in a commercial manner. The rest of the country demands it,” Mr Prebble said.