Logistics Management

Patrick Burnson

Growth: Coming To a Port Near You
August 26, 2008

Imports are down, and exports are up, and it’s not only about boxes anymore. While container throughput is a valid benchmark for “mega” ports, competing gateways do just fine by playing all the angles. This means diversification, selling value-added services for bulk, breakbulk, ro/ro, and project cargo as well. Industry analysts have told “Critical Cargoes” that a handful of regional ocean load centers now offer more options and alternatives for shippers moving goods in…and out. “There are a number of imperatives for ports to grow in a reasonable and sustainable way,” says Aaron Ellis, communications director for the American Association of Port Authorities (AAPA). “First, we are seeing a steady decline in the trade imbalance, which is shaping the ways ports reconfigure their supply chains. Then there’s the new emphasis being placed on being “green” and sustainable. And finally, there’s the 800-pound gorilla – energy. Consider all those aspects together and you get a whole new set of strategies for regional water gateways.” And local government leaders should be mindful about the job-generating potential for seaports moving full speed ahead, added Ellis. He observed that while mainstream news headlines tell readers about “downsizing” of port staff, these stories rarely speak of the tens of thousands of jobs created by shipping in the larger community. “The indirect impact of seaport operations is huge,” he says. “With the U.S. economy showing signs of recovery in the coming year, we feel that port growth is an absolute must.”

Posted by Patrick Burnson on August 26, 2008 | Comments (1)