Page 37: of Marine News Magazine (March 2019)

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INLAND PORT PROFILE

KY metropolitan area. Coda described these types of in- vestments as “long-term plays because in our industry we, metaphorically, run marathons.”

Regarding markets, Coda was asked whether shifting, and unsettled, federal tariff issues were impacting Ports’ business. He said that tariff actions “have caused some de- gree of dislocation in the supply chain,” adding, “the Ports are being “affected negatively and positively by these (tariff) actions.” Nevertheless, he conceded, that it will take time to assess long-term impacts from the tariff uncertainties.

Coda said that “agriculture and steel form the bedrock of our system in Indiana.” One operational change at Jefferson- ville is that trucks are now hauling more steel because steel imports are down. Coda expects, however, that these pertur- bations will play out and wane. Confdent that trade policy negotiators will resolve tariff issues, he offered, “Neither side benefts from a protracted high-tariff environment.”

Regarding coal, the Ports are benefting from continu- ing, strong international demand for coal, again, sourced from the nearby Illinois coal basin. Coda said these coal operations had a “signifcant effect” on Mount Vernon’s 2018 coal volumes. He said that the world market is “still a relatively strong market for coal.” Conversely, in the United

States, it is Coda’s view that coal has bottomed out and that natural gas is stabilizing, a status linked to the fact that elec- tric generation utilities have taken ineffcient plants off line.

Building for the Future

The completion of the Olmsted Locks and Dam this past the Great Lakes, the Gulf of Mexico and the Ohio River. summer is another big positive for Port operations. Roughly

He was most recently the executive director of the Duluth 100 miles downriver from Mount Vernon, Olmsted is al-

Seaway Port Authority.

ready eliminating extensive – and costly – delays. This has

Coda was asked about factors driving the Ports’ growth obvious operational and logistical benefts. The Ohio River is and how that growth is linked to its 2019 business plan. working “a lot better for the inland water carriers,” Coda said.

Infrastructure development, Coda said, is at the top of the Additionally, though, and importantly, Coda added that “the list. “The Ports have signifcant projects through (DOT’s) greater effciency on the Ohio River creates opportunities for

FASTLANE and TIGER (grants) that we will be complet- us.” One reason: Port services are subject to less risk, sched- ing,” Vanta explained, adding that “we are reinvesting in ules are now more dependable because of reduced delays.

the infrastructure that draws traffc.”

Indiana Ports’ year-over-year growth is impressive but

Those DOT grants are for rail-multimodal projects. In it’s important to keep in mind that it’s occurring even be- addition, though, Mount Vernon is investing approximate- fore the completion of two big rail multimodal projects at ly $2 million in its general cargo terminal. That work in-

Jeffersonville and Burns Harbor. These aren’t incremental cludes replacing a 60-ton overhead gantry crane – a project projects – they will really scale up operational assets and that actually started last year – capable of transloading any abilities, promising big payoffs. The projects – both par- general cargo between barge, rail, truck and the warehouse.

tially underwritten by US DOT/MARAD grants – have

Another big transportation project underway at Jeffer- been in planning for a number of years. They should be sonville will establish new direct highway connections, for ready to come on line this year and in 2020.

heavy trucks, from the Port site to I-65, I-71 and I-64,

Jeffersonville received a $10 million TIGER grant in all of which converge near the Port, within the Louisville, 2015. This will enable unit train delivery to and from the 37 www.marinelink.com MN