Abstract

This paper examines the privatization and transhipment success at Freeport Container Port (FCP), Bahamas and Port of Port-of-Spain, Trinidad and Tobago (PPS). The thesis links port development and growth to the divergent governance structures of these two ports that share similar geographic advantages. FCP is located at the north-eastern apex of the transhipment triangle and is an example of a wholly private port, which is owned and operated by Hutchison Port Holdings (HPH), a subsidiary of Hutchison Whampoa. HPH is in a unique situation where they also act as the local government and own large expanses of land and an airport. This unparalleled level of private self-determination has allowed HPH to develop FCP into a very successful transhipment facility. PPS, on the other hand, has been struggling while its competitors continue to gain despite its strategic position at the south-eastern apex of the "Caribbean Transhipment Triangle." PPS, until recently, was owned and operated by Trinidad and Tobago's public port authority. Its restructuring program had lasted 13 years and did not meet the goals of the government. The traffic growth at PPS has paled in comparison to FCP, and the governance structures have played a key role in these differences. Keywords: Freeport Container Terminal, Port of Port-of-Spain, Port Privatization, Caribbean, Transhipment