Cambodia Investment Review
Marking a year of strong performance amidst a challenging global landscape, the Phnom Penh Autonomous Port (PPAP) has recorded growth in its service sectors for the year 2023. PPAP’s latest unaudited business results highlight a significant uptick in its business and service categories, reflecting the port’s resilience and strategic adaptability.
In the year under review, PPAP showed growth in cargo and gas-fuel tonnage, reporting a 2.53% increase to 4,146,786 tons, up from 4,044,290 tons in the previous year. This steady growth in cargo handling underscores the port’s robust operational capabilities and its pivotal role in supporting the country’s import and export dynamics.
Strong Growth in PPAP’s Passenger Transport Services
The highlight of the year was the very strong growth in PPAP’s passenger transport services. The port witnessed a 175.24% increase in passenger boat voyages, to 567 voyages compared to just 206 in 2022. This surge was mirrored in passenger numbers, which increased by 262.06%, marking a leap from 6,947 passengers in 2022 to a 25,152 in 2023. This growth highlights the increasing prominence of waterway transport in the region’s mobility landscape.
Read more: Phnom Penh Autonomous Port shareholders request increase in dividend payout
Since its inception in 1905, PPAP has been a linchpin in Cambodia’s transportation network, extending its services across numerous provinces along the Mekong River. The port’s strategic vision, guided by the Ministry of Public Works and Transportation (MPWT) and the Ministry of Economy and Finance (MEF), has been central to its sustained growth and its reputation as the largest freshwater autonomous port in Cambodia.
Strategic Long-Term Plan Spanning From 2019 To 2028
Looking ahead, PPAP is geared up to continue its trajectory of growth and development, underpinned by a strategic long-term plan spanning from 2019 to 2028. Key initiatives include bolstering cargo handling capacities, developing specialized terminals, establishing a state-of-the-art logistics center, and enhancing navigation channels, all aimed at cementing PPAP’s position as a leader in the Mekong shipping business and a vital connector in global maritime trade.
Despite a dip in the port’s share price over the past 12 months, from around 14,900 in January 2023 to 13,940 in January 2024, the overall growth narrative remains strong, especially when viewed against the backdrop of its performance since its IPO price of 5,120 in 2015. As PPAP navigates the future, its focus on expanding and enhancing service capabilities, particularly in the burgeoning passenger transport sector, is set to play a crucial role in shaping its strategic direction and contribution to Cambodia’s socioeconomic prosperity.
