The Sea Port Improvement Plan Naha Port International Container Terminal

The Sea-Port Improvement Plan (PIP) Outline: Naha Port International Container Terminal
Abstract
Naha is an old port of Okinawa. It has been in existence since the 12th C. Okinawa has seen its trade volumes increase exponentially in the recent past. The government of the Okinawa prefecture is under pressure to expand Naha port in order to cope with the fast-changing business demands. The changes are urgent and necessary if Okinawa is to tap into the ever flourishing port business. In 2004, Naha handled over 1, 360 000 tons of international cargo. The port hosted an impressive 115 cruise ships in 2015 and saw the number rise in 2016 to 187. The cargo volumes keep rising. The attraction for tourists is remarkable. Okinawa economy is growing fast and calling for proactive measures to harness all the potential that the port has; to earn foreign exchange. Already, the government has pumped resources into the port to boost its capacity to handle cargo. The Naha expansion and development program is hoped to address the complex metrics of a port of international stature that the port of Naha is meant to be. Naha is often crowded in the peak seasons such as the main public holidays and the festive seasons. Owing to the surging numbers of visitors during such times, Visitors are forced to report to the airport way before their departure time. The latter scenario, therefore, necessitates a re-planning and re-designing of the operations at the port of entry and exit. There is room for the prefecture administration to make such operations efficient.
Introduction
Naha is Okinawa’s logistical center. It started in 1264 at a time when the King of Chuzan who was in charge of the hinterland of mainland Okinawa put up an official mansion called Tomari Goten and a temple referred to as Seigenji within the port of Tomari. The 14th C saw trade between Okinawa and Japan pick up. When the Ryukyu Kingdom was established by Shohashi, trade flourished between Okinawa Korea, Japan, China and a couple of other Kingdoms (Naha Port Authority, 2006).
The year 2004 saw a cargo volume of 1, 360, 000 tons in international transactions recorded, and 8,730, 000 tons handled at the domestic level. The cargo of international container-type constituted 73, 000 tons. Cruise ship calls in 2015 stood at 115, an increase of 1.4 times from the earlier year. The year 2016 saw 187 cruise ship visits; which was a further 1.6 times increase.
Strategic goals
NPA which is the short form of Naha port Authority of Japan has picked on a Philippines based subsidiary of the international Container Services and the Naha international Container Terminal Inc to manage a container terminal in the city of Naha. The company, which operates as a joint venture and the operator, seeks to lay in place competitive and efficient services. Nevertheless, the central objective is to participate in the growth of the economy of the Prefecture of Okinawa. It is meant to serve the local industry and to bolster economic activity by claiming a share of the transshipment economic returns. The NICTI is lined up to operate the 9th terminal which has a 14 meter controlling depth. And a 300 meter berth length. Terminal 10 will have a 15 meter controlling depth and a berth of 300 meters after completion (World Port Source, N.D.).
Strengths of the port
There is significant movement domestically between the city of Okinawa and Japan. The fast-growing trade between mainland Asia and other global players is a sufficient catalyst to propel the Naha port towards carving off a share of the services of the port that automatically increase in demand because of the surging cargo volumes. Okinawa’s island and the port are strategically placed to the shipping lines of the world. The port has the capacity to offer such shipping lines with a container port operated and managed as competitively as other ports that provide such service across the globe. The economy of Okinawa’s Prefecture is significantly strong. The flying goose pattern manifested in the economic growth pattern in China and Asia in, general, has triggered an increase in the number of tourists, foreign investment and companies slated to set base in Okinawa.
Weaknesses
The island of Naha is mainly a tourist attraction destination. It does not generate a lot of cargo volumes because it does not have many industries. The island is usually crowded during major holidays. Travelers moving from Naha port to the mainland need to be cautious. They arrive at the airport, drop their luggage off and go through security inspection.
• It takes 30 or more minutes to check in and drop off one’s luggage
• Security inspection also takes 30 minutes or more
Travelers are therefore advised to arrive at the airport at least 1.5 hours earlier during the peak season.
The Metrics That the Port Uses
i. Traffic of Container
Container traffic measurement means checking the number of containers that pass through a terminal at any time throughout the day. Such traffic can be gauged in TEUs. It should be subjected to analysis on daily, weekly monthly and yearly basis.
ii. The number of visitors
Naha port is not only famous for cargo activities but is also a tourism port. The Naha Port Authority utilizes the numbers.
i. Cruise ship number
Also, the port uses the number of cruise ships visiting the port as it’s metric. The port has internal metrics that determine its performance. The comprehensive measurable metrics include:
? Volumes
? Passenger satisfaction
? Embarking and debarking
? Passengers time at the terminal
• Security
• Time in queues
• Boarding
Innovations and Improvement initiatives
Already there is an industrial zone at the back of the airport which is being developed. Already the government is willing to make these investments. For instance, it has put in place a program for structural improvement for all ports in Japan. Already, the terminal 10 Naha has been equipped with two Panama gantry cranes. The government has already established Okinawa IT industry Strategies Center and the Naha Port. The IT center is responsible for formulating IT in the industry’s mid and long-term strategies under the Government-industry-academia program. There is also the fostering of human resources that contribute to business alliances across IT companies in Japan and entire Asia. Also, the construction plan of a new terminal is also underway
Innovation and improvement initiatives to consider
Conducting investigation that can help form a shipping industry cluster focusing on ship maintenance business as well as secure industrial premises. At Naha port, and Okinawa Island there are some limited maintenances services offered to the vessels. It means that it is an opportunity the port may consider for growth.
The private and the public sectors came together to establish a hub to be used to nature the shipping industry. They targeted human resource such as the vessel maintenance technicians. It is an opportunity to offer maintenance services to vessels docking at Naha Port. The public and the private sector should, therefore, join hands in the maintenance of this crucial human resource.
Space must be provided to cover the arrival area, the customs as well as the immigration protocols for the traffic. On the other hand, the cruise traffic presents an avenue growth for the Naha Port.
Things to do to improve the port
To improve the Naha port, there is a need to build an international logistics and any other initiatives. Already, a roadmap has been unveiled by Okinawa to help develop the southern island area into a hub that will handle cruise ships in East Asia.
So far, the prefectural government is working hard to achieve its goal of attracting over 2million cruise ships by 2021. This is part of the broader attempt to help stimulate the local economy. Naha port is one of the ports in the area that will serve as an outlet and inlet of the targeted ship traffic. In 2015, about 7.9 million tourists visited Okinawa. The number included 1.67 million overseas tourists. (The Bank of Okinawa Inc., 2016).

Fig 1. Showing the number visitors vs Tourism revenue (The Bank of Okinawa Inc. 2016).
Comparing the supply chain to standard, exemplary, best practice and benchmark
Conclusion
The port of Naha’s terminal is run by stevedoring companies which lease them on a short-term lease basis. The terminal consists of three berths with a total length of 950 meters. The new berth which will be No.11 will be 350 m long with a depth of 15 meters. The container terminal of the port covers about 385 thousand square meters and may handle up to 800 thousand TEUs of cargo every year. The aim of the plan is to promote international maritime traffic. This will be achieved through increased container traffic and competitive rates. It will develop a new resort zone at the coast and promote international tourism. It is intended to restructure the existing terminal to help improve passenger services and specific cargo, to improve the environment at Urasoe coast as well as provide safety and beefing up security. The above will be done by designing and building an earthquake resistant terminal area (World Port Source, N.D.). When compared with other standard operations, for ports in its class, it is clear that there are opportunities that can help optimize the port.




References
Naha Port Authority, (2006). Development of International Logistics Capabilities at Naha Port. Retrieved from http://www.nahaport.jp/promotion/English/6.html on 31 August 2018
The Bank of Okinawa Inc. (2016). The Business Environment in Okinawa. Retrieved from http://www.okinawa-bank.co.jp/_files/00025720/3TheBuisinesEnvironmentinOkinawa.pdf on 31 August 2018
World Port Source, (N.D.). Port of Naha: Port Commerce. Retrieved from http://www.worldportsource.com/ports/commerce/JPN_Port_of_Naha_1397.php on 31 August 2018