New York Terminal Congestion

Please be advised that the Port of New York is facing severe congestion. This has been caused by several factors.  According to official information, Maher Terminal’s capacity has been reduced significantly due to problems with software upgrades which resulted in excessive turn times and congestion in the port area in general. The increased turn times have reduced trucking capacity. Due to summer vacation season  all terminals are also experiencing labor shortages, leading to reduced productivity levels on vessels and terminals.

This week Maher Terminal advised that they believe that the modifications made to their systems should allow a return to normal operations. However it is too early to confirm whether this is indeed the case. Labor availability is expected to normalize by middle of September.

Right now Global Marine Terminal is undergoing a significant expansion project which results in limiting their available storage capacity. Due to lack of storage capacity, individual vessels that are capable of passing under the Bayonne Bridge have been redirected to New York Container Terminal (NYCT) in Staten Island. It is possible that this practice will continue from time to time, especially when high-volume services operate off pro-forma schedule.

Intermodal cargo is trucked to/from other rail ramps in the port. Combined with above mentioned factors, Global continues to struggle to perform these transfers in a timely fashion. To mitigate these delays, Global is moving a sizable percentage of intermodal cargo by barge between Global Terminal and its sister facility NYCT for loading to rail there.

As part of the above construction project, the terminal has built a new gate infrastructure. During the phase-in/testing period, significant productivity losses were experienced. The system is in full production since July 30 and early indications are suggesting improved productivity.

Major portions of the project are expected to be completed by June 2014. RCL Agencies will report further updates as they become available.