Abstract

The events of September 11 th , 2001 brought into sharp focus the vulnerability of maritime trade and transport to threats of terrorism. The adoption and implementation of the IMO's (International Maritime Organization) ISPS (International Ship and Port Facility Security) Code by the world's ports and shipping industry was anticipated as a source of unavoidable high costs and a potential source of disruption to global supply chains. Developing countries, in particular, seemed to be at risk of being shut out of the world and American markets. This thesis first asks whether security can be considered as a variable in a measurement of port productivity. Second, it investigates the effects of ISPS and augmented security on ports within the Caribbean Basin. Findings show that new security initiatives have had some positive impacts on these ports. Controlling access and improving surveillance has had a direct impact on theft. Providing training and heightening awareness of security has promoted good relationships between the shipping lines and the ports. However, if one equates efficiency with reduced costs then the increased number of security employees at all ports would appear to be a reduction in efficiency. In conclusion the imperative to remain competitive and in a network that includes the U.S. has promoted the adoption and enforcement of security with a limited number of the 'anticipated' disruptions.