Too few NZ ports earning 'appropriate returns'

Port industry pricing in NZ remains significantly lower than in Australia. (Image: Getty)

Wed, 22 Jan 2025

New Zealand ports should take advantage of their inherent pricing power to arrest a sector-wide decline in return on capital, according to a new Forsyth Barr report on the sector.The report, authored by analysts Andy Bowley and Hugh Lockwood and with a particular focus on listed port companies Port of Tauranga and Napier Port, described the 10-year trend for return on capital in the port sector as disappointing and alarming.“The sector as a whole is not earning anywhere near its cost of capital,” their analysis said.“Ports are...

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