CHILE's ports need a new strategy due to dual private and public ports causing "lower maritime and port connectivity," according to a report by The International Transport Forum (ITF).

ITF's 'Ports Policy Review of Chile' stated that improvements will rely upon establishing a national hierarchy of ports, developing a national freight strategy, forbidding the continuation of maritime concessions in the event the concession is not used, and making private ports pay for the infrastructure needed to connect the port with the hinterland, reported Port Technology.

Ports in Chile handling 200,000 TEU per year regularly receive intercontinental services, and the only one without any Asia or Europe services is the Port of Arica. The ITF advised that all other ports will face Neo-Panamax vessels with dimensions adjusted to the expanded Panama Canal. It also predicted that demand from Asia will bring even larger vessels to Chile's ports by 2025.

The Institute of Shipping Economics and Logistics' (ISL) forecasts the share of containerships with a capacity of more than 18,000 TEU will increase from 0.7 per cent in 2016 to 6.8 per cent in 2025 with numbers rising from 35 to around 350.

"Whether the cascade effect will fully materialise in Chilean ports as modelled will depend on whether the ports are ready for these ships," the ITF said in its report. "In principle, one port for post-Neo-Panamax vessels per range would do as the hinterland of the ports within each range will largely overlap."