According to the deputy executive director for operations at the Port of Long Beach, the organization is working on solutions to regain business lost to Gulf and East Coast ports and address a critical report released by the Pacific Merchant Shipping Association, or PMSA, report. The deputy executive director told AJOT that his agency is aware of the recent loss of customers. Long Beach port operations staff is working with the State of California, shippers and port partners to solve these problems.
Long Beach port operations staff is aware that several East Coast gateways have spent significant sums of money on terminal and facility upgrades in order to attract more business. In a press release, the PMSA outlined key points from the report that detail the movement of cargo away from Western United States ports and to the East Coast. According to the report, there are three main factors causing the decline in business. For one, the cost of doing business in the states of Washington and California is high, which is resulting in a decline in cargo business. Labor disruptions and work slowdowns in connection with contract negotiations have created concerns that West Coast ports are not reliable. In addition, California has not supported the needed infrastructure to achieve efficiency and infrastructure goals or promoted in-state ports.
The deputy executive director of operations at the Port of Long Beach says that the organization is working with the State of California and regulators to help make the port more competitive while meeting the goal of being a green port. In addition, the Port of Long Beach is engaging with cargo owners to make sure they are aware of the port’s ongoing efforts to support a cost-competitive and efficient supply chain.
In today’s complex world of shipping and logistics, it is a good business practice to maintain clear documentation and contracts that spell out expectations and responsibilities for all parties. When a cargo company makes a change to their business, whether it’s choosing a new port or engaging with a new client, freight companies may work with a dedicated attorney familiar with transportation law to ensure that all contracts and partnerships have the proper legal protections.
