Business at Port’s Marine Terminals Shows no Signs of Slowing Down

Business at Port’s Marine Terminals Shows no Signs of Slowing Down

Wednesday, 30 April 2008

Comments from Port Chair Michael Bixler

Recently we’ve been reading in the newspapers and watching on the local television news about an idea to double deck the Port of San Diego’s Tenth Avenue Marine Terminal so that it could be used for multiple functions. Those supporting the idea believe that the terminal could host a sporting event for the public while the Port conducts its normal maritime activity. There’s a misconception floating around that the Port’s maritime activity is experiencing a lull and that the Tenth Avenue Marine Terminal could be put to better use.

In reality, the Port’s maritime activity continues to surge. In March, a shipment of heavy equipment arrived from Korea. The cargo included 24 modules that will be used for a new power plant in Otay Mesa. Some of the modules weighed 173 metric tons. This shipment was the result of a recent trade mission that the commissioners made to Asia. The trip resulted in commitments from the Port’s current customers to continue doing business with the Port and also earned the Port several new trade commitments.

On a particularly busy day last March, the Port had another vessel off-load 4,500 cubic meters of power and boiler plant parts at the Tenth Avenue Marine Terminal. Two other vessels were working at the same time – one was unloading 3,800 tons of fertilizer and also included three rudder parts for a ship being built at General Dynamics/NASSCO. In addition, a ship working for Dole Fresh Fruit company unloaded a shipment of refrigerated containers with bananas and other fresh fruit. Three fuel barges that transport bunker fuel and marine diesel fuel also conducted normal operations throughout the day.

This past fiscal year, ending June 30, 2007, the Port witnessed a 62 percent gain in break bulk cargo. This type of cargo includes bagged cement, fertilizer, lumber, miscellaneous steel products and industrial cargo used for power plants and other building projects. This cargo is referred to as break bulk because the products don’t fit into containers.

At the National City Marine Terminal, auto imports are also seeing an increase. Automobile imports were up by almost 19 percent and that number is expected to grow with the potential of new auto business from China.

Last year, the Port released its Maritime Business Plan. The plan demonstrates that maritime cargo operations generate $1.6 billion annually and support 19,298 regional jobs. The plan also highlights that $100 million in state and local taxes are generated from maritime activity at the Port and forecasts an annual cargo growth of 15 percent.