Encouraged by signs of increased business, the state is moving ahead with an $11 million dollar expansion of the Commercial Port in Portsmouth.
When completed, the project will extend the main pier 125 feet along the Piscataqua River.
As NHPR correspondent Roger Wood reports the expansion is a sign that the State Pier is poised for economic as well as physical growth.
The Pease Development Authority has overall control of the port, and Dick Green is the PDA’s Director.
He says, if all goes well, the port could see some construction by late next year…or early in 2009.
The Legislature's Capital Budget Oversight committee has already authorized over $700 thousand dollars for the design phase.
(Green 1) :14
“Once that design is done, we'll go back to the Committee, and if they authorize us to go to bid, then we will go to bid, and see what we get for bids.”
Green says that the state is planning to float a bond for the cost of the entire project.
When the expansion is complete, the pier's overall length of 725 feet should accommodate larger vessels which dock at the port.
For the port, the expansion project couldn't come at a better time.
For the first time since the 1990's, a container cargo ship has been making a regular stop at the state pier.
Northeast Marine Development, based in Florida, signed a contract with the PDA to start the service this past summer.
Again, Dick Green.
(Green 2) :10
“It's been gradually growing. They're finding that they can service our businesses in the Seacoast. So, we're very pleased and look forward to them continuing to grow.”
Dale Wood, President of Northeast Marine Development, is also encouraged by the new venture.
His company began shipping cargo containers back and forth from Portsmouth to Halifax, Nova Scotia.
Now, he says, the company is also exploring the port of New York as a destination.
Wood says that he envisions Portsmouth serving as a feeder port.
(Wood 1) :20
“So, in other words, a ship from China won't come to Portsmouth and make a direct call, unload cargo and go back to a point in China. What happens is, a smaller vessel from Portsmouth would then feed into a hub port, either Halifax or New York, and connect to a mother vessel there with far greater capacity.”
Wood says that so far, his company has exported more goods from Portsmouth than imported.
(Wood 2) :13
“I think we'll always be strongest on exports, but we will be increasing our import traffic as well. We first had to establish Portsmouth as a viable port facility before shippers would start to even entertain the idea of importing through the port.”
Geno Marconi is the Director of the Division of Ports and Harbors, under the PDA.
He says that Northern New England companies have already saved money by using the container cargo service to export forest products.
(Marconi) :23
“There were higher transportation costs to go from NH to truck them down to another facility, say New York, where this forest products company could bring their cargo to Portsmouth, save on those trucking costs, bring them to Halifax, Nova Scotia, where they could catch a larger ship going to a final destination.”
And the new business has already added jobs.
The Port has hired two full time office workers and when ships arrive, 18 longshoremen are hired to unload the containers.
Marconi says that he'd like to see more use of the local facility for imports, but points out that the container cargo business here is in its infancy.
(Marconi 2) :20
“Since 1990, we've been trying to get something like this going, so there needs to be a gradual increase. But, Mr. Wood is confident, and based on our discussions with him, we're pretty confident that this is a good project and has all the earmarks of working out for us.”
Right now, the port of Portsmouth derives most of its revenue from bulk cargo, mainly scrap metal exports for recycling and imported highway road salt.
The companies involved in those enterprises pay the state fees to store the material and ship it.
Two cruise ship visits next summer will also add to the revenue mix.
In Marconi's opinion, the port is in a unique position for more revenue growth.
(Marconi 3) :10
“We are the only public access general cargo, general use facility, deep water facility in the state. We are the only open door.”
In the meantime, the Port Director is awaiting an audit report to find out what effect, if any, the newly established container cargo service has already added to the bottom line.
For NHPR News, this is Roger Wood in Portsmouth.