(The following report appeared at TodaysTrucking.com on April 12.)
VANCOUVER, B.C. — Canadian shippers and importers dependant on the Port of Vancouver are reaching out to the federal government for help as the container backlog along the coast has reached the equivalent to 72 kilometres of traffic, the Canadian Manufacturers & Exporters says.
In a letter to Transport Minister Tony Valeri, CME President and CEO Perrin Beatty writes that the current backlog of container traffic has reached “unprecedented levels,” costing Canadian shippers millions in late delivery charges. “Immediate measures are required to bring all stakeholders to the table to deal with current problems in container traffic. I urge you to convene a meeting to resolve the issue of container traffic on an urgent basis.”
The record backlog at the Port of Vancouver has been attributed to surging volumes of cargo from China combined with a shortage of rail cars from the railways — primarily from Canadian Pacific Rail. Last month’s four-week strike at Canadian National Railway diverted cargo to CP, and overloaded what was already a tight capacity situation for the railway.
Beatty also stressed in his letter that Canada needs a long-term strategy aimed at enhancing rail and port infrastructure in order to avoid ongoing problems. “Our growing trade with China will only exacerbate problems if we do not make the investments required to improve and expand Canada’s rail and port capacity. The future competitiveness of Canadian manufacturers and exporters depends on our ability to ship goods efficiently through western and eastern ports alike,” he wrote.
In February, the Port of Vancouver announced the completion of the first phase of a new $35 million axis container handling facility that is expected to increase port capacity. The South Richmond project, centrally located between the Port of Vancouver’s three major deepsea terminals and Fraser-Surrey Docks, in New Westminster, puts selected importers and exporters in the same location, eliminating the need to truck empty containers between the two.