Tag Archive for: portmiami

port everglades_145015725_s 770x320

Anyone who has been shopping recently has noticed it ā€” long expanses of empty shelves, websites with merchandise marked ā€œout of stock.ā€

Sometimes itā€™s canned goods in short supply, sometimes paper plates. Earlier this year, popular brands of baby formula became hard to find, sending parents to Facebook groups to chase down supplies. Meanwhile, the price of new and used cars continues to climb, due to shortages of critical parts and computer chips ā€” while builders complain that they canā€™t get the drywall and hardware they need to finish projects.

Americans have been accustomed to goods that magically appeared whenever they were required. With a pandemic hitting hard at manufacturing facilities and shipping lines, consumers are learning hard lessons about the details ā€” and vulnerabilities ā€” of the nationā€™s supply chain. But key Florida leaders also see opportunities to take this short-term crisis and translate it into long-term gain for the Sunshine State. If Florida does this right, the benefits could outlive COVID-based kinks in the flow of merchandise, providing a permanent boost in the quest to diversify the stateā€™s economy.

Some of the measures will take time and lots of money ā€” but talk is free, and we give Gov. Ron DeSantis and other state leaders credit for their aggressive promotion of Floridaā€™s alternatives to the congestion at West Coast mega-ports. DeSantis, in particular, has been beating the drum for months, and itā€™s the right time to make the pitch. This week, shipping analysts celebrated the fact thatĀ onlyĀ 76 ships were waiting at the massive Los Angeles/Long Beach ports, a three-month low ā€” but transit times from the time container ships leave Asia to the point where the cargo is unloaded onto U.S. soil have more than doubled since the pre-COVID era, reports American Shipper magazine. Northern ports, including New York, are also reporting delays.

Some of that traffic is already diverting to Florida, with shippers calculating that the two-week detour from the west coast, through the Panama Canal and into one of Floridaā€™s 15 deepwater ports makes more sense than lingering at sea for an extra month or two. Not all of Floridaā€™s ports can handle the biggest container ships, but Port Tampa Bay, Port Everglades, Port Miami, Port Manatee and North Floridaā€™s JAXPORT are already seeing increases in various types of cargo including bulk materials, automobiles along with the standard 20-foot containers used to bring consumer products from manufacturers in China, India and other foreign manufacturers. Thatā€™s a welcome change from 2020 when port activity dropped by a significant 16 percent, the Florida News Service reported.

That traffic augments Floridaā€™s long-held position as cruise capital of the world. The cruise industry is still in recovery mode, but once the pandemic threat fades it should send traffic at the stateā€™s ports (particularly Port Miami, Port Everglades and Port Canaveral, the worldā€™s three busiest cruise ports) surging once again.

There are reasons Florida ports havenā€™t been as attractive to importers. Along with the obvious geographical challenges, thereā€™s a lack of infrastructure needed to support a more robust flow of cargo. And Florida leaders must recognize that ports are only one part of the picture. The stateā€™s ground transportation network must be robust enough to handle the flow of inbound cargo ā€” and while lawmakers donā€™t need to revive an ill-conceived and costly scheme to construct ā€œroads to nowhereā€ that cut across largely vacant land, they should plan on improving the stateā€™s most important arteries for truck traffic, along with augmenting the rail system to move cargo, vehicles and materials quickly and cleanly.

Thereā€™s one more clear priority: As Florida pushes to expand its ports, it must set the national standard for environmental stewardship. While shipping and distribution support an estimated 900,000 jobs in the state, that number is dwarfed by the 1.7 million jobs generated by Floridaā€™s tourism and hospitality industry. Florida already has a lot of damage to repair, particularly in the sensitive Indian River Lagoon. The state shouldnā€™t risk more degradation when it could instead lead the way in responsible port expansion.

Still, Florida leaders are right to see the snarled shipping situation in the nationā€™s biggest ports as a golden opportunity. Lawmakers are ready to invest in port infrastructure, adding to hundreds of millions in federal funding Florida ports have already received. In his budget outline, DeSantis requested $117 million for port improvements, and the House and Senate appear ready to top that ā€“ their preliminary plans include nearly $136 million for ports. In a year where Florida has plenty of money to spend ā€” including the one-time deluge of cash from Washington ā€” these investments in the stateā€™s economic future make sense.

 

Source: Orlando SunSentinel

shipping containers

Shipping never stops. But, the Covid-19 pandemic certainly altered how it was done in 2020.

Locally, container revenues at the Port of Jacksonville for October ā€” the most recent number information was availableā€”was 1% below October 2019 figures at $2.86 million. Auto revenues for the same period were $1.35 million, a 2 % decrease. The year was expected to wrap up with volumes continuing to rise but still below the same period in 2019.

ā€œFor the first quarter we should be doing better than projected,ā€ Jaxport CEOĀ Eric Green said.

ā€œThe stateā€™s ports are catalysts for commerce,ā€ said Florida Ports Council chief executiveĀ Doug Wheeler in a November podcast with Tallahassee Chamber of Commerce.

Wheeler represents the stateā€™s 15 deep water ports, including the Port of Jacksonville and Port of Fernandina.

“Iā€™m confident that our seaports will play a big role in that recovery,ā€ Wheeler said. ā€œā€¦Weā€™re about $117 billion. Our ports are delivering, pretty much, everything that people, businesses, residents, consumers in our state are using in their everyday lives.ā€

Wheeler said the diversity within the stateā€™s ports is what allowed many to withstand 2020. Jaxport executives certainly believe that is the case.

ā€œWeā€™re not just all cruise ships,ā€ saidĀ Ed Fleming, a longtime maritime executive who has served on the Jacksonville Port Authority since 2014. ā€œWeā€™re bulk cargo. Weā€™re Asian cargo. Weā€™re domestic cargo. We do some military cargo, liquid bulk, dry bulk. So, we donā€™t have all our eggs in one basket. And, I think, that diversification has shielded us, somewhat, from some of the other ports that are heavy into cruise ships like PortMiami and Port Everglades.ā€

Fleming said the key heading into 2021 is getting the pandemic under control.

ā€œCovid will still be with us next year, for the most part,ā€ Fleming said. ā€œIt will get better and better, gradually, over time. I think 2021 will be better than 2020, but probably not back to normal ā€“ in any industry for that matter.ā€

 

Source: Jax Biz Journal