Speaking to a record crowd of nearly 600 local maritime and business leaders gathered for the luncheon, SCPA President and CEO Jim Newsome underscored the long-term significance of Charleston’s role as a port city.
“Charleston has prospered because it is surrounded by water,” Newsome said. “It is very clear today, in the era of global manufacturing and global sourcing, a state with a great port will prosper disproportionately and become a visible player in the global marketplace.”
Newsome highlighted recent achievements in the port’s business, which saw its strongest quarter (July-September) for container volume in four years, while non-container tonnage at both Charleston and Georgetown also has been on the rise. This could not be possible without the re-establishment of the SCPA’s global brand and an aggressive sales posture.
“The port business is not a spectator sport, and we are very active in the market, wherever it is in the world,” he stated. He also cited broad support from leaders such as the state’s Congressional delegation, Governor Haley and her Cabinet, the state Legislature and the area’s mayors as critical to the port’s success.
The most prevalent trend in the industry to impact Charleston, he shared, is the development of very large containerships, defined as being larger than 7,500 20-foot equivalent units (TEUs) of capacity. The Port of Charleston is already handling ships of this size and larger, with the biggest vessels using the tides to sail in and out fully loaded with up to 48 feet of draft.
For ports, “the ability to grow will be governed by the achievement of untidally restricted deepwater harbors and supporting inland infrastructure to reach markets efficiently,” Newsome said. To support the expected surge of post-Panamax ship traffic in coming years, a post-45-foot deepening project is underway in Charleston. Progress on that project over the past year has been “truly remarkable,” according to Newsome.
“Today, we are part of President Obama’s We Can’t Wait initiative and a top-five harbor in terms of prioritization,” he said. And despite future funding uncertainty for projects on a federal level, Newsome praised the South Carolina Legislature, which “has acted resolutely to put the entire funding of $300 million aside as a clear message that we cannot wait to have our harbor deepened.”
In addition to harbor deepening, Newsome highlighted the progress on the SCPA’s inland port project with Norfolk Southern in Greer, SC, which was initiated with an engineering study in July of this year. Additionally, the SCPA is working collaboratively with CSX on rail initiatives to boost the port’s business.
“It is vital that both Class One railroads serving the East Coast see Charleston as a strategically important part of their expansion,” Newsome stated.
Newsome emphasized the SCPA’s role in generating economic opportunity since the organization’s founding in 1942. “Our port is the major economic development engine for our state, as it always has been in history and will always be in the future. And, economic development is about jobs,” Newsome said. “Growth is the operative word in being a productive component in the job creation engine.”
The success of the port over the foreseeable future, he stated, will be because of collaborative efforts between all facets of the maritime community, whether public or private sector.
“Cooperation is key, and we have no time to waste,” he emphasized. “It is incumbent to be aggressive in courting new business, provide competitive services, and most importantly, work together for the greater good of our port, our industry, and our state.”
Despite the work to be done, Newsome reiterated his optimism for the future, given the many advantages of the Port of Charleston as well as the talent of the local maritime community.
“As I said to you when we first met, and I, more than ever, believe this to be the case today – our best years in this port are ahead of us, not behind us.”