Container-on-Barge Pre-Feasibility Study Final Report - Towmasters ...

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Summary of Tasks Task 1: Formation of a PA Barge Shippers’ Council The Port of Pittsburgh Commission (PPC) will identify Pennsylvania and regional industries and companies engaged in trade with Monterrey, Mexico, and waterway points in between, interested in joining a PA Barge Shippers’ Council. The PPC, in partnership with the Council, will formalize the organization; document technical problems they perceive impeding the increase barging opportunities and help guide market research. The council could serve as a model for ports throughout the inland waterway transportation system (IWTS). Task 2A: Market Analysis The PPC will assist MARAD in convening a working group of key port and barge service providers to document system-wide impediments to the development of new cargoes, such as intermodal, international, container-on-barge, and project cargo shipments, etc. and strategies to overcome those impediments. Task 2B: Mexican Market Case Study The PPC will retain a consultant to research the Brownsville-Monterrey market, identify the potential leads and additional users to the waterways, interface with the PPC staff to develop said leads, represent the Port of Pittsburgh and the IWTS capabilities, document the key shippers and the advantages/disadvantages they perceive to entering international IWTS transportation to/from Mexico, help develop Spanish language marketing materials and facilitate activities indicated in Task 3. Task 3: Establish a Mexican Barge Shippers’ Council in Monterrey, Mexico The PPC will form and host a Mexican Barge Shippers’ Council (MMBSC) meeting (less formal than the PA Council), meet with previously screened potential shippers to discuss impediments to greater waterway usage and devise strategies to increase IWTS commerce. It is anticipated that the MMBSC would eventually expand to cover issues in all U.S. IWTS ports and waterways. Task 4: Interim Report An interim report will be submitted by October 31 documenting information gained, lessons learned and strategies suggested. Please see Appendix M for a copy of the Interim Report Task 5: Final Report The draft report will be finalized after review by MARAD.
Summary This report responds to the tasks outlined, and it also provides strategies for overcoming the obstacles identified to capture the cargo opportunities. It should be noted that the original application for this grant was to do a demonstration project running a service of containers-on-barge (COB) between Pittsburgh, PA at one end of the system and Brownsville, TX, at the other end. At the outset of this study, it was determined to be premature to do a demonstration project, and perhaps beyond the scope of MARAD to fund such a demonstration, without additional documentation. Consequently, a modified scope was approved to provide part of that documentation. This report intends to serve as a useful guide to anyone interested in organizing barge traffic to Mexico and COB traffic anywhere on the inland river system. Unless otherwise indicated, the “inland river system” for purposes of this report refers to the Mississippi and Ohio rivers and their navigable tributaries. It uses the Pittsburgh to Brownsville route as a case study. Brownsville, Texas, is the gateway to the northeastern area of Mexico, including Monterrey. Most conclusions, however, will be applicable for any part of that inland system. The report addresses preliminary steps taken before the start of this project and recommends steps to be taken in the future to continue the momentum. Please note that while there are references to COB initiatives based on international cargo arriving at deepwater Gulf ports, such as the successful service of Osprey Line, this report is more focused on the issues of inland ports, including the special problems created by locks and dams on the inland system and the need to analyze domestic traffic as well as international traffic. The findings rely on a series of groups focused on the same issues. They include the two barge shippers’ councils; the Maritime Transportation System’s National Advisory Council’s Inland Waterway Intermodal Team (MTSNAC-IWIT); two MARAD sponsored groups: the Inland Waterway Intermodal Cooperative Project (IWICP) and the Gulf Rivers’ Intermodal Project (GRIP); and subgroups of the trade association of Inland Rivers Ports and Terminals, Inc. as well as the Inland Waterways Committee of the Transportation Research Board. While participation varied with these groups, the consistency of their findings makes it important to reference them as well as prior reports on the subject. Special thanks are due to Bill Brown, Mary Ann Bucci, Luis Garcia, Deirdre McGowan, John Anglin, John Pearson, Bob Portiss, Don McCrory, Steve Brooks, John Ricklefs, Gloria Ralston, and Sonya Dietz for their assistance. Thanks are also due to Ray Barberesi, Richard Walker, Richard Lolich, Michael Gordon, Gordon Angell and all the MARAD staff that provided guidance and support for this project.
Page 1 and 2: CONTAINER-ON-BARGE PRE-FEASIBILITY
Page 3: Final Report Container</str
Page 7 and 8: Marketing efforts to date are likew
Page 9 and 10: To date, council members have ident
Page 11 and 12: Initial Assumptions: 1. Freight tra
Page 13 and 14: Issues Explored: 1. Projected conge
Page 15 and 16: Task 2A: Market Analysis: The PPC w
Page 17 and 18: Characteristics of Successful COB S
Page 19 and 20: Obstacles to Starting a COB Service
Page 21 and 22: Osprey Line uses deck barges and wi
Page 23 and 24: Alternatives to Double Handling Fee
Page 25 and 26: Promoting the Cheapest Way Barging
Page 27 and 28: Inventory Cost If barging adds to t
Page 29 and 30: In addition to the region specific
Page 31 and 32: Task 3: Establish a Mexican Barge S
Page 33: Future Actions Demonstration Projec

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