2014 was an exceptional year for the Port of New Orleans, and we see a strong 2015 on the horizon. Chiquita has moved its shipping operations to the Port of New Orleans. The banana giant’s business represents nearly a 15 percent increase in annual container volumes along with a new weekly Central American service with Mediterranean Shipping Co.
Breakbulk tonnage, especially imported steel, is surging, along with project cargo for the $54 billion in planned expansion and new construction projects slated for the new petrochemical plants along the Lower Mississippi River and Calcasieu River. The surge is associated with chemical manufacturers capitalizing on the abundance of affordable natural gas, which is a key feedstock in production. Growing exports of polyolefins could be the largest industrial opportunity seen in decades. The amount of ethylene to be produced in Louisiana alone far exceeds the U.S. demand. The availability of competitively priced natural gas will spawn growth in other sectors, such as paper, rubber products, glass, iron and steel, aluminum and fabricated metal products.
Global ocean carriers continue to expand their worldwide shipping alliances, such as the 2M, G6 Alliance and Ocean Three. We are optimistic we will benefit in terms of faster transit times and expanded options for shippers, especially for trans-Atlantic and trans-Pacific trade lanes.
Infrastructure concerns on the dock, along the waterways and on our highways remain important to us all to ensure that products can safely and economically reach their destinations. Initiatives such as the “Last-Mile” and “Maritime Highways” must be front and center of federal and state debates to relieve congestion at our seaports and in urban areas.
A keen eye must also be kept on foreign relations, as recent food import sanctions by Russia have resulted in market shifts for such agriculture products as poultry.
Gary P. LaGrange, President and CEO, Port of New Orleans