[180314.EN.SEA] Virginia Port Volume Rises, But Creates Congestion, Adds To Costs

CONTAINER volumes at the Virginia Port Authority's Norfolk International Terminals and APM Terminals in Portsmouth rose six per cent in February compared to the same month last year to 179,524 TEU.

Had it not been for weather-related disruptions, the growth rate would have been higher.

"Repeated snow storms and resulting lost work days had an impact on us," said VPA's chief executive and executive director John Reinhart in a statement.

"Anything we lost in February, we expect to be made up in March," he said.

A stronger-than-expected January has also put Hampton Roads on track to beating its record-breaking performance in 2013, reported Hampton Roads Daily Press.

On the down side, the increased cargo volumes are putting strain on port facilities which are nearing capacity, creating congestion and also financial difficulties for the port authorities, according to Mr Reinhart.

"The adverse impact of congestion, compounded by several winter storms, has resulted in continuing operating losses," he said.

"These current losses must be reversed through focus on costs, processes, productivity and coordination with our customers, partners and suppliers."

There have also been complaints among truckers in recent months about the extra time need to pick up containers as congestion in the port area worsens.

Virginia International Terminals, the state-owned terminal operator, has said it is seeking to ease congestion at the docks by implementing a series of changes including an appointment schedule system for truckers.

Source : HKSG.