World Bank: Port of Montevideo is one of the worst in the world, even below Buenos Aires

The World Bank’s recent ranking of global ports puts Montevideo at the bottom, raising concerns about Uruguay’s maritime infrastructure.

The evaluation, which takes into account efficiency, cost and space utilization, places Montevideo well below Buenos Aires, its main regional competitor.

World Bank Container Port Performance Index (CPPI) 2023
The World Bank’s 2023 Container Port Performance Index (CPPI) evaluated 405 ports around the world. Montevideo ranked a dismal 384th.

This marks a significant decline from previous years: in 2022, Montevideo ranked 304 out of 348 ports, and in 2021, it ranked 265 out of 370 ports. The downward trend highlights persistent inefficiencies and structural issues within Montevideo’s port operations.

Infrastructure and economic growth

The CPPI report underlines the critical role of high-quality, efficiently operated port infrastructure in fostering export-led economic growth.

Nations that invest in strong port facilities generally experience higher growth rates compared to those that neglect this sector. Efficient port infrastructure is critical for logistics expansion, job creation, and income growth.

The consequences of inefficiency

Despite the potential benefits, the report warns that ports and container terminals are often plagued by delays, supply chain disruptions, additional costs and reduced competitiveness.

Inefficiencies at a port can impact the overall maritime transport network, causing widespread delays and increased operating costs. For Montevideo, these inefficiencies translate into lost economic opportunities and decreased regional competitiveness.

The report identifies several key factors that contribute to port performance: port efficiency, required draft, ease of berthing and docking, and the effectiveness of public agency procedures (such as the National Port Administration of Uruguay).

Any inefficiencies or non-tariff barriers between these factors result in higher costs, reduced competitiveness and lower trade volumes.

These are the fifty best ports in the world

The first place in the World Bank ranking was occupied by the Port of Yangshan in China, followed by the ports of Salalah (Oman), Cartagena (Colombia), Tanger Mediterranean (Morocco), Tanjung Pelepas (Malaysia), Chiwan (China), Cai Mep (Vietnam), Guangzhou (China), Yokohama (Japan) and Algeciras (Spain).