If you will, let Paul Aucoin, the Executive Director of the Port of South Louisiana, share a story:
Recently, Aucoin attended a meeting. Along with himself, dozens of other Port Directors from across the country filled the conference room. To break the ice, the emcee of the meeting asked all these Port Directors what’s their biggest problem to solve in the next year? One by one, the Port Directors answered. A couple spoke of traffic. Another said lack of skilled labor. Then, it was Aucoin’s turn.
“And they get to me and I say, ‘My biggest problem is trying to accommodate the number of companies that want to relocate in the Port.’ And it is!” Aucoin said. “But I guess that’s a good problem to have.”
The numbers back up Aucoin’s claim.
In 2017, the Port of South Louisiana set an unprecedented cargo-volume record, as its total tonnage was more than 307.8 million short tons – an amount that once again makes it the largest tonnage port in the Western Hemisphere. The 2017 tonnage total marks a 4.4 percent increase from the 2016 total of 294.9 million short tons. While there are many factors contributing to the eye-popping 2017 totals, large percentage increases in the handling of coal, lignite, soda, chemicals, fertilizers and steel products greatly contributed to the rise of 12.9 million short tons from last year to two years ago.
“Let me tell you, some ports don’t even do 12 million tons in a year, let alone as an increase,” Aucoin said. “So it’s amazing to think we’re ahead of all these ports that people might think of first – San Diego, Houston. It’s always nice to be number 1.”
For the Port of South Louisiana, the recognition of being the “Largest Tonnage Port in the Western Hemisphere” is an esteemed distinction. Aucoin explained that the Port uses the accolade as an “indirect recruiting tool” — almost validation that the Port must be an efficient and economically effective locale, providing assurance to potential new clients that might not be familiar with the Port. Aucoin pointed that these potential new clients must look at the tonnage rankings and think, “if that many shippers use the Mississippi River to do their shipping, it can’t be a bad place for a container port, for example.” From there, Port officials run market studies for interested clients, illustrating to them the cost and performance benefits of setting up operations within this 54-mile stretch of the Mississippi River.
Though proud of its 2017 tonnage ranking, Port officials know success isn’t sustainable without continued growth and continued progress in making the Port of South Louisiana attractive for its current and future clients. While the Port’s infrastructure and the low cost and abundance of natural gas in the region are certainly reasons for companies to expand or relocate in the River Parishes, Aucoin says there are plenty of issues out there that, if not addressed, might adversely affect maritime transit along the Mississippi River. Namely, Aucoin continues to wave the flag for dredging the mouth of the Mississippi River Ship Channel from 45 feet to 50 feet. In fact, Aucoin calls the proposed measure the most important infrastructure project in the United States, currently. Here’s why:
Every foot of draft on a Panamax or neo-Panamax vessel equates to an average of $1 million in cargo value per vessel. Therefore, less draft means lost revenues and fewer exports. Considering the amount of vessels and cargo that navigate the Mississippi River annually, dredging a mere five feet will result in more than $1 billion in additional commerce and keep venues like the Port of South Louisiana viable in an ultra-competitive global marketplace.
“We’re always mindful of bringing in new prospects and what it takes to attract those prospects,” Aucoin said. “Right now, my economic development department tells me that we have $23 billion worth of announced projects – billion with a ‘B’ – that plan on locating in the Port. That speaks well of the River Parishes, the future of the River Parishes and the jobs we’ll be creating there. But we always have to be mindful of what it takes and what it will take to keep doing that.”
