Skip to content
Search AI Powered

Latest Stories

newsworthy

Georgia, Virginia ports propose deal to collaborate across broad front

Proposed agreement would allow for integration of terminal investments, operations, strategic planning and marketing.

The Georgia Ports Authority (GPA) and the Virginia Port Authority (VPA) proposed yesterday to integrate the ports' terminal investments, operations, planning, and marketing, a major step by North American ports to leverage their resources to accommodate increased cargo flow from the introduction of mega-container vessels and the opening of the expanded Panama Canal.

The proposal to implement the joint compact, called the "East Coast Gateway Terminal Agreement," was filed Friday with the Federal Maritime Commission (FMC), which must approve an agreement of this nature.


In a joint statement, the ports said the agreement "encourages voluntary cooperation in the areas of operational and supply chain efficiencies, safety, communications, and customer service." Both ports are state owned, and each authority operates its terminals rather than relying on terminal operators, as many ports do.

The respective executive directors, VPA's John Reinhart and GPA's Griff Lynch, said the widened and deepened Panama Canal is prompting larger vessels with more containers than ever to reach the U.S. East Coast through the isthmus. As a result, customers are seeking "gateway ports" that "can leverage sufficient landside infrastructure to ensure the free flow of cargo," they said.

In a separate e-mail, the Port of Virginia, which is owned by VPA, said both authorities believe they could benefit from the same level of cooperation that is behind the formation of several global ship alliances, where vessel capacity is shared and rationalized to provide cost-effective service to the shipper and beneficial cargo owner (BCO). "Like the ocean carriers, ports are seeking greater efficiency. Competing in the global market requires being able to look at issues from a comprehensive viewpoint. We see this as an innovative collaboration to improve service in the supply chain," the port said.

Both authorities will share best practices in the areas of terminal operating systems, training, cargo handling, vessel turn times, and infrastructure, as well as supporting the marketing promotion of all-water routes from the U.S. East Coast to the international marketplace via the canal, according to the statement. GPA runs the Port of Savannah, the nation's fourth-busiest containerport, according to the American Association of Port Authorities (AAPA). The Port of Virginia, which runs four terminals located on the Hampton Roads harbor, is the sixth-busiest U.S. containerport, according to AAPA data.

Over the years, there have been dozens of similar agreements at ports worldwide. Though each port-to-port agreement is different, they all share the common objective of greater cooperation. For example, the FMC in 2012 approved an agreement between GPA and the nearby South Carolina Ports Authority to discuss operational issues. The adjacent ports of Los Angeles and Long Beach, which combined make up the nation's busiest port complex, cooperate in implementing environmental initiatives and in reducing cargo storage fees to reduce congestion.

The ports of Seattle and Tacoma, which launched their own joint initiative in 2015, cooperate on infrastructure, promotion, management, and environmental issues related to their marine cargo business. The Seattle-Tacoma venture, dubbed "The Northwest Seaport Alliance," was considered unique in that it involved creating a third organization to manage facilities in two locally governed ports through their respective elected five-member commissions, according to Tara A. Mattina, a spokeswoman for the Alliance.

The Latest

Artificial Intelligence

AI: Is it the real deal?

More Stories

Logistics economy picked up speed in January

Logistics Managers' Index

Logistics economy picked up speed in January

Economic activity in the logistics industry expanded in January, growing at its fastest clip in more than two years, according to the latest Logistics Managers’ Index (LMI) report, released this week.

The LMI jumped nearly five points from December to a reading of 62, reflecting continued steady growth in the U.S. economy along with faster-than-expected inventory growth across the sector as retailers, wholesalers, and manufacturers attempted to manage the uncertainty of tariffs and a changing regulatory environment. The January reading represented the fastest rate of expansion since June 2022, the LMI researchers said.

Keep ReadingShow less

Featured

Disrupting the furniture supply chain: An interview with Jay Rogers

Disrupting the furniture supply chain: An interview with Jay Rogers

As commodities go, furniture presents its share of manufacturing and distribution challenges. For one thing, it's bulky. Second, its main components—wood and cloth—are easily damaged in transit. Third, much of it is manufactured overseas, making for some very long supply chains with all the associated risks. And finally, completed pieces can sit on the showroom floor for weeks or months, tying up inventory dollars and valuable retail space.

In other words, the furniture market is ripe for disruption. And John "Jay" Rogers wants to be the catalyst. In 2022, he cofounded a company that takes a whole new approach to furniture manufacturing—one that leverages the power of 3D printing and robotics. Rogers serves as CEO of that company, Haddy, which essentially aims to transform how furniture—and all elements of the "built environment"—are designed, manufactured, distributed, and, ultimately, recycled.

Keep ReadingShow less
chart of GenAI effect on workforce

Gartner: GenAI tools create anxiety among employees

Generative AI (GenAI) is being deployed by 72% of supply chain organizations, but most are experiencing just middling results for productivity and ROI, according to a survey by Gartner, Inc.

That’s because productivity gains from the use of GenAI for individual, desk-based workers are not translating to greater team-level productivity. Additionally, the deployment of GenAI tools is increasing anxiety among many employees, providing a dampening effect on their productivity, Gartner found.

Keep ReadingShow less
warehouse worker driving forklift between racks

German 3PL Arvato acquires two U.S. logistics firms

The German third party logistics provider (3PL) Arvato this week acquired the U.S.-headquartered companies Carbel LLC and United Customs Services, saying the move would grow its client base, particularly in the fashion, beauty, and lifestyle segments.

According to Arvato, it made the move in order to better serve the U.S. e-commerce sector, which has experienced high growth rates in recent years and is expected to grow year-on-year by 5% within the next five years.

Keep ReadingShow less
photo collage of warehouse tech

Supply chain pros are wary of inflation and labor woes

The top worries that supply chain leaders hope to address with new innovations this year include inflationary concerns (68%) and labor shortages (50%), according to a survey on innovation from the third-party logistics provider (3PL) Kenco.

And many of them will have a budget to do it, since 51% of supply chain professionals with existing innovation budgets saw an increase earmarked for 2025, suggesting an even greater emphasis on investing in new technologies to meet rising demand, Kenco said in its “2025 Supply Chain Innovation” survey.

Keep ReadingShow less