Virginia's busy NIT South container facility.
Photo/Virginia Port Authority
Import volume at the major U.S. containerized retail cargo handling ports is expected to increase 12.4 percent in March and will continue growing at least through July, according to the latest Global Port Tracker report. The Virginia Port Authority (VPA) reports February was yet another month of growth for its Hampton Roads container terminals, with volume up 6.0 percent from a year ago to 179,524 TEUs.
Global Port Tracker: Retail Imports to Rise in March as Retailers Stock Up for Spring
Import volume at the major U.S. containerized retail cargo handling ports is expected to increase 12.4 percent in March as retailers begin to stock up for the spring and the summer season, according to the monthly Global Port Tracker report released March 10 by the National Retail Federation (NRF) and Hackett Associates.
Global Port Tracker's conclusions are based on a survey and analysis of inbound container traffic flows at the ports of Charleston, Hampton Roads, Houston, Long Beach, Los Angeles, Miami, New York/New Jersey, Oakland, Port Everglades, Savannah, Seattle and Tacoma.
"Retailers are bouncing back from the annual post-holiday slowdown and getting ready for the surge in activity that comes each year as the weather warms up," said Jonathan Gold, the NRF's vice president for supply chain and customs policy. "Shelves are going to be well-stocked with everything from bathing suits to barbecues."
U.S. ports followed by Global Port Tracker handled 1.36 million TEUs in January, the latest month for which after-the-fact numbers are available. That was up 5.3 percent from the preceding month and 4.1 percent from January 2013.
February, historically the slowest month of the year, is estimated at 1.17 million TEUs, down 8.8 percent from a year ago. Subsequent month forecasts: March – 1.28 million TEUs ( 12.4 percent); April – 1.36 million TEUs ( 5.1 percent); May – 1.44 million TEUs ( 3.7 percent); June – 1.43 million TEUs ( 5.3 percent); July – 1.49 million TEUs ( 3.4 percent). The first half of the year is expected to total 8.0 million TEUs, up 3.5 percent over last year.
The total for 2013 was 16.2 million TEUs, up 2.3 percent from 2012's 15.8 million TEUs.
The import numbers come as NRF is forecasting 4.1 percent sales growth in 2014, contingent on how Washington policies on economic issues affect consumer confidence.
"At the end of the day, it all depends on consumption," said Hackett Associates Founder Ben Hackett. "We cannot escape the basic tenet of economics that demand determines growth or weakness. Somehow, the average consumer needs to be given the economic confidence to go out and spend. Without that, the economy will remain weak and no amount of tinkering by the Federal Reserve will have much of an impact."
Virginia: February Container Volume Up 6%, Continued Growth Foreseen
The Virginia Port Authority (VPA) reports February was yet another month of growth for its Hampton Roads container terminals, with volume up 6.0 percent from a year ago to 179,524 TEUs, reflecting increases of 13.2 percent and 2.9 percent, respectively, for inbound and outbound loads and a 5.6 percent drop in empty containers.
The strong February numbers followed January's 5.4 percent increase, an encouraging sign that this year Virginia may top its 2013 record of 2.2 million TEUs.
The February data also reveal gains from a year ago for containerized cargo, break bulk cargo, containers entering and exiting the port's facilities by rail, and container movements barged via the James River between the VPA's Richmond and Hampton Roads terminals.
"We think February's volume could have been even greater, but repeated snow storms and resulting lost work days had an impact on us," said Port Authority CEO John F. Reinhart. "Anything we lost in February, we expect to be made up in March."
While stressing that the Port of Virginia (POV) "is dedicated to improving our service and operations to accommodate this increasing volume," he added a cautionary note: "We must achieve financial stability in the POV and optimize our facilities. The adverse impact of congestion compounded by several winter storms has resulted in continued operating losses. These current losses must be reversed through focus on costs, processes, productivity and coordination with our customers, partners and suppliers."
Mr. Reinhart anticipates the growth in volume to increase through the spring as the G6 vessel-sharing consortium implements changes to its transatlantic services that connect the Europe, Mediterranean and Asia trade lanes with the U.S. East Coast. Last month, the G6 partners announced that four of the five realigned services will call the Port of Virginia.
Virginia's busy NIT South container facility.
Photo/Virginia Port Authority