West Coast ports have recently faced many challenges, including record-breaking congestion and labor disruptions. As a result, East Coast ports have grown in popularity among shippers and carriers of all types.
In October, throughput at the Port of Los Angeles fell 25% year on year, while throughput at the Port of Long Beach fell 24% year on year. In comparison, the Port of Savannah increased by 2% yearly, while the Port of Charleston increased by 7% yearly.
While a portion of the West Coast’s declining volumes can be attributed to waning consumer demand for durable goods, the East Coast’s growth indicates that companies are beginning to favor the East Coast.
“We’ve seen it time and again. “The West Coast has had challenges in the past, and there has been a shift in cargo to the East Coast,” said Ed McCarthy, chief operating officer of the Georgia Ports Authority.
Historically, when freight has shifted from west to east due to port issues, the volume has returned slowly once those issues have been resolved. This means that East Coast ports, including those in the Southeast, such as those operated by GPA, should brace themselves for the continuation of recent cargo influxes.
McCarthy claims that “when it shifts here, only 1-2% shifts back year over year.” “Truck drivers, BCOs, and customers want to do business easily.” Georgia Ports Authority is simple to work with.”
The Georgia Ports Authority hosts a semi-annual driver appreciation day at the ports. During these events, executives go out into the field and speak with the truck drivers who come and go throughout the day. This allows drivers to provide feedback, whether it’s compliments or complaints.
McCarthy has recently received much positive feedback from drivers who have relocated from other parts of the country, particularly the Northeast, owing to the ease of business in Georgia. According to McCarthy, GPA has had 5,300 new drivers register to work at the ports this year alone.
This increased traffic has, of course, posed some difficulties for the ports. McCarthy claims that GPA typically operates with a 20% capacity buffer. This year, the surge of attention has surpassed that buffer, but the ports are still working hard to provide an efficient and pleasant experience for everyone who passes through.
GPA has focused on infrastructure improvement and expansion to meet rising demand, including:
- Berth 1 is being rebuilt to accommodate ships larger than 14,000 twenty-foot equivalent units.
- With 90 acres of storage space and a new full-service truck gate, Garden City Terminal West is being built.
- Over the years, the Mason Mega Rail has been expanded.
- Garden City Terminal will add 20,000 new container slots in 2022.
GPA has also increased port hours from 6 a.m. to 6 p.m. to 4 a.m. to 9 p.m. According to McCarthy, this decision was based on feedback from local and regional carriers, allowing them to make over 5,000 more container moves per day.
Finally, he sees GPA as a partner for both drivers and the community as a whole. This attitude has guided the ports through a slew of challenges and undoubtedly contributed to GPA’s positive industry reputation.
