While port authority officials and the White House try to alleviate supply chain hiccups, big box retailers take matters into their own hands and lead by example.
Ports America, Ceres Marine Terminals Inc., and SSA Atlantic recently announced a joint venture to streamline container movement through the Port of Savanna. Called Gateway Terminals LLC, the effort was hailed by White House officials who promised upwards of $8 million in loan support.
But retailers have customers to satisfy, and some of the country’s largest began orchestrating “pop-up” container yards designed to bypass the Port of Savannah and other potential logjams. After a major retailer leveraged a nearby staging yard to keep products flowing, Georgia Port Authority officials deiced to follow the private sector’s lead.
“We’re starting to see some of our customer base do their own pop-ups. They’re contracting with some folks who have capabilities in the Savannah region and, taking their long-term destiny in their own hands,” Georgia Ports Authority CEO Ed McCarthy reportedly said.
In an effort to emulate what big box retailers have figured out, officials anticipate sending freight directly to the Norfolk Southern railroad’s Dillard Yard and the Statesboro airport, 60 miles west of Savannah. Although officials are calling the logistic improvement the “South Atlantic Supply Chain Relief Program,” it has all the marking of what large corporations have already been doing to keep their businesses stocked.
Walmart executive vice president of supply chain operations Joe Metzger recently highlighted a pop-up strategy the retailer used to streamline its products through California ports.
“This was an empty lot near the LA/LB Ports just four weeks ago. Now, it processes over 500 containers per day, helping to sort through priority freight for our downstream operations and most importantly having the inventory and stock for our Walmart customers for the holidays,” Metzger reportedly tweeted. “This pop-up operation has dramatically improved our flow of containers not only out of the port but back into our port terminals with empty containers. Super innovation and entrepreneurship by our associates!”
White House port envoy John Porcari noted that private sector organizations are helping to break the stranglehold on overwhelmed container ports.
“I think you’ll see a generation of projects in the short term around the country that will help maximize the existing on-dock capacity through interior pop-up sites,” Porcari reportedly said.
Companies continue to stay ahead of the curve by taking proactive measures to move containers off port authority land where they can be stored and transported in a timely fashion. Upwards of five pop-up container locations are scheduled to open near Georgia before year’s end. Discussions have also begun regarding the unused land at the CSX railroad’s recently opened Carolina Connector outside Rocky Mount, N.C., that possesses the ability to move upwards of 110,000 containers annually. Portions of more than 300 acres of unused land at the transportation hub may be suitable for container storage.
Sources: newsbreak.com, businessinsider.com
Marshall says
As always private sector gets it done while government is wondering what permits are needed.
G B says
The only thing the Hiden admin will do is figure out a way to get their skim going and increase taxes on the incoming goods at he point of sale.
Garth says
It the hovs job to regulate they dont innovate and never have
Ken Charles says
THIS just Shows How Much Foreign Made Products are Flooding into The United States ! Thanks to Bill Clinton for signing The NAFTA Agreement. Just think if these products were made IN The United States there would be No Cargo Logjams ! Now the Big Box Stores are being hit in Their Pocketbooks & decided to do something about it by Opening The pop Up Container Terminals which is a great Idea.
MJ says
The problem has nothing to do with our government. The problem was the shipping lines refusing to take back the empty containers freeing up port space. This started back in 2020 when the shipping lines started getting $12k to $30k per loaded box to the U.S and only $2k to bring a loaded box from the U.S. The US companies started complaining and the empty containers started to be put on hold because the shipping lines would not take U.S exports! Private company greed was the cause of the problem! And yes, I run in Charleston and Savannah ports.