LOWER FEES “PUSH UP ST LAWRENCE CARGOES”

[proud_ionian]

REDUCED lockage fees for smaller vessels and new cargo on the Welland Canal section of the St Lawrence Seaway have resulted in higher volumes. “By the end of June,” says Dick Corfe, President and CEO of The St. Lawrence Seaway Management Corporation, “we had already logged 81,581 tonnes of new cargo, generating over $200,000 in revenue.”

The three major new commodities by tonnage are raw sugar, aluminium and calcium ammonium nitrates, but the cargoes are diverse and include other chemicals, feed pellets, brine and machine parts. About half the new cargo transits are short-haul Seaway/Great Lakes traffic, while the rest originate as far afield as Denmark, Norway, Brazil and Houston. “It’s encouraging to see the movement to short-sea shipping beginning to take hold, says Mr Corfe. “This long-established means of cargo transport in Europe is a logical option in the Seaway/Great Lakes context as it alleviates highway congestion and reduces GHG emissions. There’s one shipping company in particular that seems to be establishing a niche for itself in this market, accounting for more than a third of the new cargo tonnage.” Despite the recently resolved labour disputes in the iron ore industry that slowed traffic in the first quarter, Seaway traffic statistics remain very close to 2004 year-to-date figures, thanks to increased steel movements and the new cargo initiative. Traffic is expected to grow steadily over the rest of the year, now that iron ore is moving again at full capacity. While part of the credit for the invigorated Seaway goes to healthy U.S. and Canadian economies, Mr Corfe also points to new marketing strategies as a contributing factor. “We’re concentrating on cargo-focused initiatives this year,” he comments, “showing how we can add value in terms of cost reduction, reliability, and available capacity. We’re also building on the significantly higher profile that marine transportation is beginning to achieve, thanks to the concerted work of the marine industry and growing government interest.”

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