CHARLESTON, S.C. — Charleston has a great deepwater port that has of lot of work to do to return to the position it once held as the preeminent cargo destination in the Southeast, Jim Newsome told members of the Charleston Metro Chamber of Commerce earlier this month.
Speaking at the Chamber’s annual port tour and briefing, Newsome, president and CEO of the South Carolina State Ports Authority, assured the group that the once-dominant port was heading in the right direction and is poised to take advantage of the area’s upcoming economic opportunities.
“For us, the operative word is growth,” Newsome said.
In introducing Newsome, outgoing Post and Courier publisher Bill Hawkins referred to him as “Savannah’s worst nightmare as far as recruiting business to our port.”
Newsome diplomatically demurred, however, pointing to projected economic growth in the Southeast as an opportunity that will float all boats.
While the Port of Charleston still lags Savannah significantly in cargo volume — latest figures indicate roughly 1.4 million to 3 million containers moved respectively — Newsome was optimistic about the future.
“The Southeast is the fastest-growing economic region in the country,” he said. “It will definitely outpace the market, giving us all a real chance to grow.”
To that end, the port is focused on four strategic priorities — infrastructure development, cargo growth, efficiency and financial sustainability — Newsome told the group of more than 100 gathered on the Carnival Fantasy as part of the day-long event.
Between the Port Authority and the state, more than $2 billion has been committed to new port-related infrastructure, Newsome said. Projects include a new container terminal at Charleston’s old Naval Yard, the deepening of Charleston Harbor to provide all-tide access to post-Panamax ships, the development of an inland port in Greer, widening Interstate 26 and a new dual-served intermodal rail facility.
“With an anticipated completion date of 2018, the Naval Yard project is the only new terminal to be permitted on the East Coast,” Newsome said. “And deepening our harbor to at least 50 feet will ensure we can handle anything the shipping companies send our way.”
Newsome said he expects deepening to be complete before 2020.
While the Port Authority hopes to get its share of federal dollars for the project, he said, lack of funding will not hold it up.
“The state has set aside all the money we will need to complete harbor deepening,” he said. “That sends a signal, both to the (U.S. Army) Corps of Engineers and our customers that we are serious about this project.”
In addition to harbor deepening and infrastructure improvements, Newsome has put a focus on cargo growth. As he approaches the end of his third year at the port, that effort has begun to pay off.
“We’ve gone from having one shipping service from Shanghai to seven; from one Singapore service to three,” he said.
Following Savannah’s lead, South Carolina has begun to attract port-dependent industrial development, with such global companies as Boeing, Michelin and Bridgestone joining BMW and Daimler.
Productivity and efficiency are other areas where Charleston shines, Newsome told the group.
“With Wando Welch (terminal) averaging 43 container moves an hour, we are the most efficient port on the East Coast,” he said.
Curtis Foltz, executive director of the Georgia Ports Authority, said both Charleston and Savannah rank as two of the most efficient/productive ports in the nation when it comes to measuring vessel berth productivity and truck service turn times.
However, he gave Savannah the efficiency edge overall.
“With Savannah’s two on-dock railroads, single container facility, advanced gate interchange system, advanced refrigerated container handling facilities, our near-port highway system and a state of the art Terminal Operating System, our ability to fully service our customer needs today and into tomorrow is extremely well positioned.”
Finally, Newsome said, the Port of Charleston must continue to be self-sustaining financially.
“The state owns us, but we have to be able to sustain our operations,” he said. “With an investment of $2 billion between us — $1.3 billion from the ports and $700 million from the state — there is no margin for error.
“We have to hit every milestone on our way to re-establishing our global brand.”
THE PORT OF CHARLESTON: A SNAPSHOT
The Port of Charleston is comprised of five separate deepwater terminals:
• Wando Welch, with 3,800 feet of berthing space for up to four vessels, serves container cargo, handling the largest ships that now call on the port.
• North Charleston, which has 2,500 feet of dock space, also handles container cargo.
• Columbus Street handles roll-on/roll-off cargo — primarily from BMW — and some break bulk, including oversize project cargo.
• Veterans Terminal, located on the former Navy Base, handles exclusively non-containerized goods.
• Union Pier, home to Charleston’s cruise industry, is a multi-function facility that also handles large break-bulk cargo.