Port of Virginia box volume soars 24% in February

The Virginia Port Authority continues to deal with operational challenges caused by the fast growth in business resulting from cargo diversion in response to port congestion at West Coast ports more than a year ago.    The Port of Virginia processed 220,726 twenty-foot equivalent units (TEUs) in February, a 24 percent increase (42,622 TEUs) when compared with February 2015. Import and export volumes roughly grew in equal proportions.
   “Last February’s volumes were affected by several snowstorms, but it is important to note that the strength of our increase was far greater than the impact of last year’s weather,” Virginia Port Authority CEO John F. Reinhart said in a statement.
   The Port of Virginia has been a major beneficiary of cargo diversion in response to port congestion at West Coast ports more than a year ago, some of it caused by a labor dispute that slowed down dock work. West Coast ports have significantly increased efficiency since then, but some shippers have kept routing some cargo to East Coast ports such as Norfolk, Va.
   In February, the port saw increases in rail volume, up 51 percent; truck volume, up 12 percent; and ship calls, up 10 percent. New rubber-tire gantry cranes were placed into service in February and helped to build throughput at the rail operations at Virginia International Gateway and Norfolk International Terminals.
   Volumes grew 42 percent year-over-year to 1,116 containers at the VPA’s river terminal in Richmond, Va., and 96 percent to 4,035 lifts at the Virginia Inland Port in Front Royal.
   “Richmond and VIP are showing growth and demonstrating their overall importance to our capacity to efficiently handle cargo outside of our primary facilities and meet the needs of our customers,” Reinhart said.
   The port director acknowledged that the Port of Virginia is still working to make operational improvements to reduce truck congestion.
   “While we handled a significant amount of volume, we did experience some deterioration of service levels at Virginia International Gateway that created a challenge for our motor carriers: corrective measures are being taken and implemented,” he said.
   The Port of Virginia handled 2,549,270 TEUs last year, 6.5 percent more than in 2014.
   For the first couple months of 2016, Port of Virginia volumes are up 11.7 percent to 413,571 TEUs.
   On a fiscal-year basis since July the port’s TEU volumes have grown 5 percent; rail volumes are up 11 percent; truck volumes are up 2 percent; and ship calls are up 2 percent.