Ports, hubbing and international shipping routes around New Zealand : 1990-1998

Abstract

The 1990s have seen major changes in the New Zealand ports sector. Throughout this period of change however a new hubbing, where larger vessels consolidate cargo at main ports and smaller ports lose cargo, has been increasingly used to describe events in the sector, and to predict the future of ports in New Zealand. This research represents the first quantitative analysis of the shipping routes around New Zealand since this period of reform began, and is an effort to clarify what actually is happening in the New Zealand ports sector, and what has changed since 1990. Every aspect of the sector holds participants with conflicting views as to what has, what is and what will happen to the industry, typically being biased in favour of their organisation. This thesis analyses patterns of visits to New Zealand ports by international vessels, and the route they travel around New Zealand. The findings of this thesis are that the predictions of most commentators are not borne out. Instead of hubbing to the main centres, or Auckland and Christchurch only, several provincial ports are doing very well. The ports which have benefited most over this period are Tauranga, Napier and Nelson, all provincial ports, while New Zealand's largest port, Auckland, has only maintained it's share of New Zealand port visits. The biggest losers have been Wellington, Dunedin and Timaru, two of which are main metropolitan ports. Rather than hubbing on specific ports, in the New Zealand case, vessels have been hubbing to a route from Auckland to Christchurch, facilitating visits (with little time lost) to intermediate ports like Taurnaga and Napier; and Nelson upon exiting New Zealand in a westbound route to Australia or Asia. Timaru and Dunedin have been losing business to the Christchurch hub, and Wellington's place in the common route has changed, causing it to lose business to Napier, Nelson, Auckland and Tauranga.