
Nation’sPort lies at the heart of the largest metropolitan region and wealthiest consumer market in the United States. Centered around the Port of New York and New Jersey, it represents billions of dollars of private sector economic activity, which create some 250,000 jobs in goods movement and supporting industries yielding more than $6 billion in Federal, state and local taxes.
The Port-Based Transportation and Distribution System
There are currently almost 30 million people in New Jersey, New York, Connecticut, Pennsylvania, Maryland and Delaware, collectively consuming over 80% of the cargo delivered to the Port of New York and New Jersey.
• 35% of the nation’s consuming public lies within a one-day truck drive of the Port, and another 20% -- for a total of more than 55% within a two-day drive, including Chicago, the largest rail terminal in the US.
• The Port-based goods movement industry in New York/New Jersey moves more than 5 million containers and 87 million tons of cargo, valued at more than $166 billion, and produces more than $160 billion in overall economic impact through production, sales, salaries and wages etc.
• Recent trends indicate substantial growth in exports in addition to the Port’s large volume of import traffic.
In 2006, The Port Authority of New York and New Jersey reported a 7% increase in container volumes alone, and a 10% increase in general cargo tonnage.
Future Growth of the Goods Movement Industry in New York/New Jersey
Despite the recent downturn, international trade activity is projected to continue expanding with some predictions calling for the region to develop the capacity to handle over 15 million containers by 2040. The growth in international trade, combined with continuing improvements made to channels and terminal areas, provides the region with an opportunity to gain an economic advantage as the center for the logistics industry in the eastern U.S. Although the current escalation in fuel prices is expected to change some of these projections, the scale of the region alone guarantees a continued and growing role for the Port under almost any circumstances.
Challenges
The region lacks both a viable strategic plan and a unified public/private partnership committed to its implementation. Several agencies have responsibility for freight-related infrastructure, and there is only limited collaboration on the development of a unified approach to easing congestion, rationalizing land use, and integrating the workforce resources necessary to managing the anticipated growth and changes.
Without implementing an integrated plan for infrastructure investment, the region will lose market share and existing jobs, as well as opportunities for new job creation. Preserving the status quo — standing still — is to lose ground to inefficiency, to competition from more efficient paths in the global logistics chain, and ultimately to a reduced performance of the regional economy.
Opportunities
Building on the region’s existing assets, new investments promoting sustainability and efficiency will create important benefits:
• High-paying jobs in the maritime, trucking, railroad, aviation, and logistics industries. Many of these will be open to those with high school or technical training.
• Infrastructure development and construction from new investments have a six-fold economic impact in the economy.
• Reliance on the Port of New York and New Jersey will minimize the costs of transportation and its supporting investments while at the same time significantly reduce the environmental costs of using alternative ports located at a distance.
• Investment in upgraded transportation and improved distribution centers will provide significant employment while supporting the needs of international shippers.
The Response: A Comprehensive Strategy
No single agency oversees the full scope and scale of the region’s Port based transportation and distribution system. Coordination is limited, and many important issues appear to fall into the gaps between their plans. Nation’sPort is committed to bringing together the many plans and forging a single strategic overview that can assist in a coordinated approach to implementation. Most importantly, Nation’sPort will focus on maximizing the effectiveness of investments in an era of limited financial capacity compared to the vast needs that rebuilding and modernizing the Port and its infrastructure represent.
Critical First Steps
There are many entities, both public and private, that play major roles in the development of a unified strategy to build this business sector – especially in this bi-state region. The strategy must be the outcome of a committed partnership between the public and private sector entities who share a major stake in the success of this industry. Achieving consensus on both the content and the economic necessity of a significant investment in the logistics industry is the critical first step to building the momentum necessary to deliver the plan, the projects and the financial investment required to make the New York/New Jersey region the center for logistics in the Eastern U.S.
We Invite You to Join Us
Nation’sPort seeks members who will support and actively assist in the development of the Strategic Plan. We urge you to join us to insure the continued success of the goods movement industry and regional economy.
There are four levels of membership in Nation’sPort:
• Patron: Patrons volunteer to provide exceptional levels of financial support consistent with their critical role in the operation and advancement of port interests.
• Partner: Partners are major firms and agencies with a key role in the development and operation of the port and its supporting logistics system.
• Professional: Professional membership is for large professional firms providing services and support to the port and its industries.
• Basic: Non-Profits and small firms may join at the basic level.
Under the bylaws, Patrons and Partners are guaranteed seats on the Board of Directors. The bylaws provide for a Board of up to 30 members. At present, membership is below that figure, and all members have been attending the Board meetings. However, in the future, voting at Board meetings may be limited to those who have established their eligibility through their contributions to the organization.
The Executive Committee has been established at 12 members to allow for a full representation of interest. Members are elected to the Executive Committee by the Board. Additionally, the Board elects the two Co-chairs, one representing the New Jersey interests, and one representing the New York interests, as well as the Secretary and the Treasurer.