Trade Development: Long Beach, Port Manatee

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The Long Beach Board of Harbor Commission has given its preliminarily approval to incentives designed to attract additional cargo to the Port of Long Beach and to encourage the use of pollution-reducing shore power and on-dock rail. Port Manatee is developing an international trade hub to assist companies in advancing production, distribution and other business activities, including innovative global supply chain solutions.

Long Beach Port Offers Discounts to Attract Cargo, Clean Air

The Long Beach Board of Harbor Commissioners last week gave preliminary approval to two incentives aimed at attracting additional cargo to the Port of Long Beach and encouraging the use of air pollution-reducing shore power and on-dock rail.

In one incentive, the port will waive "dockage" charges – essentially giving free parking – for cargo ships that both slow down near the port and plug into shore power or use another approved pollution-cutting technology at berth. The Vessel Dockage Waiver Program augments other port and state programs that require and encourage slow-steaming and shore power.

Also given preliminary approval was a $5-per-container unit incentive that shipping lines can earn for each new loaded container they bring through Long Beach. The requirement is that each container must travel inland by "on-dock rail," which helps to eliminate truck trips on local roadways by rail-hauling the containers from the wharf.

The Vessel Dockage Waiver Program requires the vessel operator to slow down within 40 nautical miles of the port. The vessel operator is also required then to use shore power at berth or a certified alternative. By waiving the dockage fees in such cases, the port will forgo an estimated $3.3 million to $4.9 million a year. The port anticipates the measure will attract additional cargo and thus help to offset the costs with an increase in revenue from other fees. The incentive builds upon a port program in which most ships reduce speeds near port and a state program where at least half of all ships must use shore power or an equivalent at berth.

The Incremental On-Dock Intermodal Incentive Program will pay $5 per loaded 20-foot-equivalent container unit for new cargo above the 2013 baseline level that is also rail-hauled either out of, or into, the port. If vessels bring an additional 20 percent more cargo over two years, it would generate an additional $22 million in port revenue, according to the port’s calculations.

The board is scheduled to consider the incentives for final approval at its meeting June 23.

"We are really in competition with Vancouver, with Prince Rupert, with Lázaro Cárdenas, where costs are much lower than San Pedro Bay," said Harbor Commission President Doug Drummond, referencing seaports in Canada and Mexico. "These incentives are important because they have to do with increasing cargo for our port and are hitting at a time when cargo across the board is increasing."

Port Manatee to Boost Global Commerce with New International Trade Hub

Port Manatee is developing an international trade hub to assist companies from throughout the world in advancing production, distribution and other business activities, including innovative global supply chain solutions.

"This new trade hub will provide locally and internationally headquartered companies alike with a landing platform for capitalizing upon Port Manatee’s unique position in the global marketplace," said Port Executive Director Carlos Buqueras.

Firms currently engaged or seeking to take part in Cuba trade are to be a particular focus, according to Mr. Buqueras.

Organized outbound and inbound overseas trade mission programs are slated to further boost the effectiveness of the international hub.

"The international trade hub will be good for global commerce and good for Port Manatee, while enhancing economic benefits to Manatee County," Mr. Buqueras said.

Port Manatee is a multipurpose deepwater seaport at the entrance to Tampa Bay that serves bulk, break bulk, container, heavylift, project and general cargo customers. The port generates more than $2.3 billion in annual economic impact for the local community, while supporting more than 24,000 jobs regionally, without levying ad-valorem taxes.

The Port Manatee Intermodal Center is preparing to welcome an international trade hub to assist global companies in expanding business opportunities.
Photo/Port Manatee