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Intermodal Report

The Accelerated Growth in Halifax

by David Bellefontaine

Growth at the Port of Halifax is accelerating. Most sectors have been experiencing volume increases in the double-digits. Container cargo alone is up 19 percent at the end of July, and likely to break the 500,000 TEU mark in 2000 for the first time. New liner services, increased capacity by existing carriers and a continued expansion of U.S. midwest traffic are all underlying factors.

The port combines appropriate infrastructure with a stable and productive work force to provide a competitive environment for all vessels. The Halifax Port Authority continues work on its five-year capital investment plan of facility upgrades. As part of a strategic planning exercise, a capacity study and a land use plan are now being examined. If current growth rates are sustained, decisions will have to be made in the near future.

The Port of Halifax is known world-wide for its location, facilities and services. The harbor was blessed with many natural advantages. Only six miles off the Great Circle Route, Halifax is an ideal port of call for transatlantic crossings. In fact, many shipping lines use Halifax as their first inbound and last outbound port on round-the-world and Suez routings. The water depth in the main shipping channel is over 18 metres, with 13-15 metres at the container berths. There are minimal currents and a low-tidal variation. Halifax remains ice-free and accessible year-round.

The Port of Halifax is used by more than 20 liner services operating on all major trade routes. Coastal feeder vessels service markets in New England, Newfoundland, and the islands of St. Pierre and Miquelon. With approximately 2,500 vessel arrivals each year, annual port tonnage at Halifax ranges from 13 to 14 million tonnes.

Bulk cargo comprises 65 percent of all port tonnage. Bulk volumes for the first seven months of the year were 5.3 million tonnes. Gypsum exports, crude imports, petroleum products and grain are the major bulk commodities shipped over the Port of Halifax. Wharves are maintained by National Gypsum (Canada) Ltd. and Imperial Oil Limited, while the facility for grain shipments is operated by Halifax Grain Elevator Ltd.

Halifax’s container volumes reached 2.6 million tonnes to the end of July. Imports were up 23 percent to 1.1 million tonnes

Breakbulk volumes for the first seven months of the year were 126,800 tonnes, up 12 percent over the seven months of 1999. Breakbulk cargoes are traditionally exports of forest products and locomotives, and imports of rubber, metals and sulphides. These goods are shipped over two general cargo facilities. Ro/Ro volumes to July 2000 were 170,300 tonnes, an increase of 22 percent over the same period last year. Ro/Ro traffic in Halifax is primarily vehicles moving over the Autoport terminal.

Halifax boasts two modern and efficient container terminals. The Port offers low container costs and the fastest ship turnaround times of any North American East Coast port. Container volumes reached 2.6 million tonnes to the end of July. Imports were up 23 percent to 1.1 million tonnes; exports were up 16 percent to 1.5 million tonnes. The top five commodities shipped via container in 1999 were machinery, newsprint, miscellaneous manufactured goods, iron and steel articles, and inorganic chemicals.

Europe is the primary market for goods shipped over the Port of Halifax, handling roughly 50 percent of all containerized traffic. Southeast Asia and the Far East account for almost 30 percent of total container traffic. To examine inland markets, 40 percent of the container cargo shipped over Halifax has its origin or destination in central Canada, 20 percent in Atlantic Canada and 15 percent in the Midwestern United States. The Port of Halifax handled 48,000 TEUs of US Midwest traffic in the first six months of 2000, a surge of 35 percent from last year’s levels. As rail developments continue to improve the seamless flow of traffic in and out of the Port of Halifax, volumes to the Midwest will likely continue to climb.

Canadian National (CN) provides on-dock rail service at the Port of Halifax offering daily double-stack train departures to Montreal and Toronto with third morning delivery to Chicago. A direct train to Toronto now means shorter transit times with better cut-offs and deliveries. Service improvements at CN have been beneficial for shippers using the Port.

The Seawall at Ocean Terminals is the principal berthage for cruise vessels arriving from May to October. The Cruise Pavilion allows for covered reception and includes an extensive vendor’s court. Immediately outside is the marshaling area for buses and taxis/ limousines. The 2000 season is expected to bring 100 cruise vessel calls and 140,000 passengers.

Other facilities found in Halifax are vegetable oil and tallow storage tanks operated by Halifax Tank Storage Ltd.; shipbuilding and ship refit/ repair provided by Halifax Shipyard Ltd. Pilotage, towing and bunkering are also available.

Halifax is a dynamic world-class port with the infrastructure, resources and expertise to handle a diversity of cargoes. As a key vehicle for economic development, an estimated 8,080 jobs and $520 million in incomes are supported by port activity in Halifax. From the Golden Age of Sail and Steam through to today’s mega-containerships, vessels and cargo handling technology are changing dramatically and the Port of Halifax is evolving to meet these opportunities.