Cargo Trends: Houston, Philadelphia, Metro Vancouver

The Port of Houston Authorityreports a strong start to the new year with double-digit January growth for operating revenue and cargo tonnage. Philadelphia Regional Port Authority experienced fourth consecutive year of double-digit cargo tonnage growth in 2013. Continued growth was also evident in the 2013 year-end results for Port Metro Vancouver, including a repeat of record volumes in the container and bulk sectors.

Notable accomplishments in revenue generation and cargo throughput were among the highlights of the monthly meeting, February 25, of the Port Commission of the Port of Houston Authority (PHA).

Executive Director Roger Guenther, in his first meeting since being named to the post, characterized January's numbers as "a very exciting start to the new year," with operating revenue of more than $20 million. He cited across-the-board gains by all cargo categories produced a 15 percent in tonnage overall to some 3 million short tons.

A contributor to that January figure was 400,000 tons of steel handled, yielding a 36-percent increase at a time when steel numbers were expected to drop due to leveling off of drilling activities. Bulk cargo of 1 million tons was 30 percent higher, fueled by strong performances in coal, grain and pet coke.

Overhead expenses were down 10 percent compared to January 2013, contributing to a $9 million bottom line of cash flow. Mr. Guenther cautioned that while the numbers are encouraging, the trends tend to be cyclical.

The January numbers follow the record throughput of nearly 2 million container TEUs at the port authority's Bayport and Barbours Cut container terminals in 2013.

The maritime facilities of the Port of Philadelphia handled 5,100,385 metric tons of containerized and break bulk cargoes in 2013, a 15.1 percent increase from 4,431,214 tons in 2012, according to data reported by the Philadelphia Regional Port Authority (PRPA). It was the port’s fourth consecutive year of double-digit growth.

Containerized cargo alone grew by 21.9 percent to 2,443,248 tons. The box count also increased, by 34.5 percent to 367,499 TEUs from 273,190 in 2012. Containers are primarily handled at PRPA’s Packer Avenue Marine Terminal, which is operated by Holt Logistics.

Even stronger gains were posted by various break bulk cargos – 27.4 percent for forest products to 480,264 tons, 34.4 percent for cocoa beans to 121,639 tons, and 94.5 percent for sugar to 47,327 tons.

Forest products, primarily rolls of high quality paper are handled at PRPA’s Forest Products Distribution Center at Piers 78, 80 & 74, which is operated by Penn Warehousing and Distribution Company. Cocoa beans are delivered to PRPA’s dedicated cocoa bean facility at Pier 84, operated by Dependable Distribution Services, Inc. Sugar arrives at PRPA’s Tioga Marine Terminal, operated by Delaware River Stevedores.

In sum, PRPA facilities handled 1,208,350 tons of break bulk cargoes in 2013, a 20 percent increase from the 1,007,292 tons handled in 2012.

Liquid bulks rose 3.3 percent to 1,267,915 metric tons. Liquid bulk cargoes arrive at the southern end of the Tioga Marine Terminal and are moved via a pipeline bridge to the Kinder Morgan tank farm facility across the street.

The port’s auto traffic fell 6.4 percent to 180,872 metric tons (representing 129,239 principally Hyundai and Kia vehicles). PRPA’s Automobile Processing Facility at Pier 98 Annex is operated by GLOVIS and Philly Ro-Ro.

"With a 15 percent jump in total cargoes, you might think we’d be somewhat satisfied," said PRPA Chairman Charles G. Kopp. "But with so many exciting things on the horizon, including a deeper Delaware River and new cargoes that will begin arriving here in the months to come, I’m confident that next year’s numbers will continue our trend of regular, sizable growth. We’re particularly excited by Fibria Cellulose, which will begin delivering wood pulp to the Tioga Marine Terminal this summer."

Sugar, shown here arriving from Colombia at Tioga Marine Terminal, was one of Philly’s top performing cargos in 2013.

Continued growth is evident in the 2013 year-end results for Port Metro Vancouver, including a repeat of record volumes in the container and bulk sectors. In 2013, Port Metro Vancouver also advanced several ongoing capacity building infrastructure projects, updated and extended environmental initiatives, and participated in substantial community engagement activities.

The 2013 year-end statistics report shows that Port Metro Vancouver handled 135 million metric tons of cargo, a record for the port, and an overall increase of 9 percent from 2012.

Import and export tonnage maintained balanced growth, with year-on-year gains of 9 percent each. Increased demand for Canadian products, an ongoing transition to a consumer-based economy in China, and recovery in Asia fueled the continued growth of Canadian trade through the port.

Cruise passenger numbers jumped 22 percent, while container traffic grew by 4 percent, with a near equal number of import and export containers moving through the port.

Economic activity supported by the port generates more than 57,000 direct and indirect jobs in the Lower Mainland area of British Columbia, providing an average wage that the port authority says is C$23,000 above the national average. Across Canada, the port generates an estimated 100,000 jobs, and provides C$9.7 billion in direct GDP.

"As we see continued growth of Canada’s trade moving through Port Metro Vancouver, we strive to balance this growth with the need to protect our environment and respect the quality of life of our neighbors," said Port CEO Robin Silvester. "Looking to the future, we remain firmly committed to facilitating Canada’s trade, environmental stewardship, improved reliability, enhanced customer value, and improving the quality of life of British Columbians and Canadians through enabling economic activity."