Business

Port of Miami is Digging for Growth

By: Jim Turner | Posted: December 5, 2011 3:55 AM
Port of MiamiPort of Miami | Credit: Lonny Paul - Flickr
When port supporters talk about gearing Florida up for the anticipated growth of shipping due to the widening of the Panama Canal, ground zero is Port of Miami.

The attention has been on the $77 million that Gov. Rick Scott directed toward the dredging of the harbor to capture the super freighters expected to stream through a widened Panama Canal starting in 2014.

But that work is only one of three major projects that have been in the works for more than a decade at the cargo and cruise hotspot.

There is also a $50 million project to repair the rail lines from the port to the Florida East Coast Railway and digging the $1 billion Port of Miami tunnel.

The state has highlighted the port as the primary competition for the Port of Virginia in Norfolk and Savannah, which already is the terminal for a large portion of the goods that are brought to Florida.

“There are naysayers who do not understand the dynamics associated with the expansion of the Panama Canal and the coming shift in trade patterns once the expanded canal opens in 2014,” said Port of Miami Director of Public Affairs Paula Musto. “The 'doubting Toms' do not share our vision -- but I firmly believe that the state can move into first place nationwide when it comes to international trade and commerce.”

Florida port supporters see the state as the natural maritime crossroads for both north-south trade between the Americas and the growing east-west trade that uses the Panama and Suez canals between the United States and Asia.

Along with the dredging, the rail and trucking connections are being upgraded at the port that is projected to increase its cargo tonnage from 7.39 million to 11.7 million by 2014.

At the same time, the port expects to increase cruise passengers from 4.15 million a year to 4.35 million.

Jobs: 176,000 -- direct and indirectly.

Economic impact: $18 million annually.

Revenue: $101 million in 2009.

Desired growth:

The Port of Miami deep dredge project; the Port of Miami tunnel; port to rail; superpost-Panamax gantry cranes.

Cost: Dredging -- underway -- $220 million; Miami tunnel -- underway -- $1 billion; port to rail -- $50 million; post-Panamax gantry cranes -- underway -- $52 million.

Hindrances to growth:

Money; Port of Savannah and other East Coast port competition; ritzy Fisher Island homeowners questioning the impact of dredging on the enclave's seawall; environmentalists concerned about attracting larger ships into Biscayne Bay; and taxpayer groups have expressed concern the tunnel may become South Florida’s version of Boston’s $26 billion Big Dig, creating rather than easing traffic on MacArthur Causeway.

Seven questions with Paula  J. Musto, Port of Miami director of public affairs:

SSN: Where does the port view itself in the footprint of Gov. Scott's dream to attract more growth from the Panama Canal expansion?

Musto: “The Port of Miami plays an integral role in support of Gov. Scott’s vision to boost Florida’s economy through the growth of international trade and commerce. As noted in the Florida Trade and Logistics Study, the state of Florida faces a once-in-a-generation opportunity to transform its economy by becoming a global hub for trade, logistics, and export-oriented manufacturing activities. The Port of Miami, which will be one of only three Eastern Seaboard ports to be at minus 50 feet when the expanded Panama Canal opens in 2014, is a key component to growing international trade and commerce.”

SSN: What is the desired growth in the next five to 20 years for the port?

Musto: “The Port of Miami has established an ambitious -- but very doable goal -- to double its cargo traffic over the next decade.”


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