Ocean cargo: Port of Galveston woos Wallenius Wilhelmsen Logistics

Patrick Burnson, Executive Editor -- Logistics Management, 4/25/2008

GALVESTON, Texas—While the Port of Galveston is now known chiefly as a cruise destination, its modest cargo operations has won over a key carrier account: Wallenius Wilhelmsen Logistics (WWL).

“By shifting operations to Galveston, our customers will benefit from shorter transit and vessel turnaround times, both critical given the tight tonnage supply in this trade route,” said John Felitto, executive vice president of WWL Americas. “Customers are also increasingly focused on emerging markets, and this change will enable us to connect two very important regions—the Middle East with South and Central America.”

In an interview with LM, Felitto noted that the Port of Houston had been a gateway for the carrier, but that Galveston had special distribution advantages.

“The port is right on the water,” he said, “and there’s no channel to deal with. That saves us at least a day’s voyage.”

WWL also expects shippers to see reduced dwell times and faster delivery times at Galveston, due to guaranteed berthing and dedicated rail access to the facility. This, said, Felitto, will be especially beneficial for project and other non-container cargoes.

“We are seeing a tremendous demand now for agricultural and construction equipment in both overseas markets,” said Felitto.

WWL, which is a leading independent provider of global factory-to-dealer delivery of complex project cargoes such as rail cars, power generators, and mining equipment, also ships autos.

“Used cars are in great demand now in the Middle East,” he said. “And that business segment will only get stronger as the regional economies grow.”

In Latin America, he said, “high-and-heavy” farm and industrial equipment is also driving business.

“Galveston meets all our needs as a port,” said Felitto. “It has a good infrastructure and is well managed.”