STRONG QUARTER

Port benefits from cargo boom

Halifax Port Authority statistics show second quarter port cargo numbers have increased “pretty dramatically” when compared against the second quarter of 2020, says Lane Farguson, communications advisor to the Authority.

According to numbers released this week by the port authority, containerized cargo throughput in the second quarter this year was 156,378 twenty-foot equivalent units, which represents a 44.9 per cent increase over the 107,888 TEU throughput recorded during the same period in 2020.

The increase is the result of continued strength in inbound cargo from Asia and increased flows between Europe and Halifax, according to the port authority.

The continuation of ultraclass vessel calls at PSA Halifax container terminal, formerly Halterm, has been a big part of the revival at the port. Ships of more than 8,600 TEU have been calling at Ceres-halifax. The port has also benefitted from the continued support of Zim, Tropical, Oceanex, ACL,

Eimskip, Ocean Alliance, and THE Alliance.

“Last year at this time it was our COVID quarter, where things went down. We have been in recovery mode ever since and that hasn’t stopped. It’s been just flat out for the last year really and certainly those (first half 2021) numbers are an indication of that,” Farguson said.

It might not be fair to compare the second quarter this year to the same period in 2020, because of the pandemic, but when compared to the pre-pandemic second quarter of 2019, Farguson said, 2021 figures still represent a fairly health bump in port activity.

“And you have to keep in mind also, in 2019 we still had the Northern Pulp exports. So, it is an indication that we have been busy and it is reflected there now,” he said.

Year-to-date figures show longshore workers handled imported cargo totalling nearly 2.2 million tonnes in 2021, which represented a 25.3 per cent increase over the 1.7 million tonnes handled in first half of 2020.

While it is difficult to say that the growth in port business will continue at the same pace in the second half of 2021, Farguson said the port authority is working with the terminal operators, the shipping lines and the port community to keep it going for as long as possible.

“That being said, I don’t think anyone a year ago would have predicted what we’re seeing right now. And to look ahead to the next six months, it’s difficult to say where things are going to go because it’s been so unusual,” Farguson said in an interview.

“We’re sort of in uncharted territory in a way but all indications are right now that we should be able to keep this going for the next little while anyway and certainly we’ll do what we can,” he said.

The amount of cargo of all kinds passing through the port has increased this year, Farguson said, “The containerized cargo is the most dramatic when you look at the numbers. There is continued strength of inbound cargo from Asia, Europe is healthy right now and on the export side, we’re seeing some really strong numbers in the Reefer (refrigerated cargo) category from Atlantic Canada – that would be frozen blueberries, frozen seafood and potatoes moving from here to the Caribbean area. And we’re also seeing strong export numbers from the dry cargo coming from central Canada.”

Looking ahead, he said the proposed railway merger between CN and Kansas City Southern, announced in

May, could be good news for the Port of Halifax if it goes through.

“Considering Halifax is served by only one rail line, CN, if the merger goes through it is good news for Halifax in the sense that it will provide new opportunity and potential.”

The port is eager to build on that potential but it will probably take a little time to achieve, he said.

“Having greater reach into the southern United States and into Mexico as a result of that deal is absolutely good news for the port of Halifax.”

The port’s commercial activity is strong, but it doesn’t

include the cruise ship business, which stopped coming due to COVID-19 restrictions imposed by the federal government, but is set to return in 2022.

“If these trends continue and we add cruise on top of that, yeah we’re going to be busy,” said Farguson. “Right now we’re looking at 159 potential (cruise ship) calls on the books right now for 2022, and of course we’re working to ... fill that in but we are starting the rebuilding (of the cruise business) from a fairly strong position.

“We’re really looking forward to that because we certainly miss cruise,” he said.