Port of Oakland moves ahead on dredging

More than 2,000 container ships call Oakland each year, and many leave fully-loaded with California exports
By Patrick Burnson, Executive Editor
October 20, 2011 - LM Editorial

The Port of Oakland reached a major funding milestone of nearly $350 million for harbor deepening and maintenance, this week, thereby enhancing its position as a leading U.S. ocean cargo export gateway.

“Deeper vessel channels mean that the port can remain globally competitive, support job retention and growth, and drive positive economic impact for the region, state and nation,” noted Congresswoman Barbara Lee, who helped drive the initiative.

Of the nearly $350 million, Lee has ensured that the port received $242 million for harbor deepening and $103 million for maintenance dredging. The U.S. Army Corps of Engineers has already begun its annual maintenance dredging that keeps Oakland’s harbor navigable and at a depth of minus 50 feet.

Lee also co-sponsored H.R. 104, which would ensure that Harbor Maintenance Tax collection is spent every year for dredging. Annually, port customers pay taxes into the Harbor Maintenance Trust Fund with assurances that the money will be available to pay for navigational maintenance and harbor improvements.  Industry observers, note, however, that the revenues deposited in the fund are not always being fully spent.

The Port of Oakland intends to reverse that trend by investing these funds rather than adding to a surplus of over $5 billion.

Port spokesmen noted that 2,000 container ships call Oakland each year, and many leave fully-loaded with California exports.

Indeed, Oakland is the only major container port on the U.S. West Coast that exports more than it imports, with the volume of its export business at 55 percent and imports at 45 percent.

Jock O’Connell, Beacon Economics’ International Trade Adviser, told LM that he expects continued gains in California’s export trade through the remainder of the year, as the U.S. and world economies overcome the negative shocks that hit earlier in the year.

Despite occasional dockside labor disruptions, Oakland has been, and continues to be a premier U.S. export seaport for agricultural goods. Its terminals are relatively new, and uncrowded. The port is also close to California’s Central Valley and the wine country. Furthermore, the port is the only U.S. West Coast gateway that has all top 20 ocean carriers with regular service.



About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

The PMI, the ISM’s index to measure growth, increased 1.8 percent to 57.1 in July. This is 1.8 percent higher than the 12-month average of 55.3. The PMI has grown in 18 of the last 20 months, with economic activity in the manufacturing sector expanding for the last 14 months as the overall economy was up for the 62nd consecutive month.

YRC Worldwide, whose regional and long-haul units provide the second-largest LTL capacity in the trucking industry, narrowed its second-quarter loss to $4.9 million on $1.32 billion revenue, compared with $15.1 million loss on $1.24 billion revenue in the year-ago quarter.

With NFL training camps in full swing, it stands to reason that Congress must be replete with football fans, given how it basically has elected to punt on federal transportation funding yet again, with the Senate yesterday signing off on a ten-month bill to keep federal surface transportation funding intact through May 2015 through a nearly $11 billion stopgap measure.

Carload volumes were up 4.3 percent at 306,988, and intermodal volume for the week ending July 26 was up 3.3 percent at 264,809

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review. Patrick covers international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. Contact Patrick Burnson

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA