Louisiana Life, Spring 2005
Louisiana's economy is intimately tied into its geographic placement along the water. After all, Midwestern states don't have industries such as offshore oil drilling or shrimping. Nor do they have a port system that is located at the gate of a 14,500 mile inland waterway network.
Indeed, the Pelican State has been blessed with a prime location to support various aspects of a thriving maritime industry. However, location is not enough. Thankfully, Louisiana taking advantage of its geographic position and promoting itself as "Open for Business," as Governor Kathleen Babineaux Blanco likes to say.
Port of New Orleans
The newest major development at the Port of New Orleans--the Napoleon Avenue Terminal--has instantly become a source of pride (and profit) to the local maritime industry and the entire state of Louisiana. Finished not even a year ago at the cost of almost $120 million, it is experiencing constant use and already spurring plans for expansion .
"The Napoleon terminal was needed to accommodate the port's growth," explains Gary LaGrange, the president and CEO of the Port of New Orleans. "It's one of the most sophisticated and technologically-enhanced in the world." For example, computer systems allow port workers to monitor shipment traffic electronically instead of through cumbersome paperwork. In sum, the terminal's sophistication translates to high capacity; it handles three times as much cargo as the port's older France Road Terminals.
The demand at the Napoleon terminal has been so great that the port is drafting up plans to expand. Napoleon Phase II is estimated to cost $80 to $90 million and increase the terminal's current capacity by 72%.
The Napoleon terminal is designed for cargo shipped in containers, but the Port of New Orleans continues to lead the United States in what's known as "break-bulk" cargo. "We're the country's largest importer of steel, rubber, plywood, forest products, precious metals, and the second largest of coffee," says LaGrange.
In addition, the port is increasing traffic in another type of "cargo"--tourists to be exact. Big cruise lines have been discovering that New Orleans is a great home port. Their customers love to pass through the Big Easy, and the city is convenient to vacation destinations in Mexico and the Caribbean. The Port of New Orleans is building a brand new cruise terminal at Poland St. for $40 million and expanding existing terminals at Julia St.
Associated Branch Pilots
Oceangoing and river vessels continue to be the most economical way for international corporations to transport goods throughout the United States. They are cheaper than rail or trucking, and the Mississippi River remains the country's most prominent waterway. But unlike rail with its fixed tracks and roads with their well-marked signs, the Mississippi is always changing, which can make travel on it dangerous. Banks shift, depths shoal, and currents change.
The Associated Branch Pilots, or Bar Pilots, serve as expert guides along the Mississippi. They safely lead all types of oceangoing vessels through southern Louisiana's narrow channels to five different ports.
However, the Associated Branch Pilots are considered more than just nautical escorts. They are active participants in Louisiana's economy. Most recent figures show that pilot fees alone brought $24 million into Louisiana from outside of the state. This figure does not include the billions of dollars in goods they help guide safely to Louisiana's ports.
The Bar Pilots also use their expertise to maximize profits for owners of the ships they guide. For example, each foot of a vessel's draft (or depth) means more cargo capacity. The pilots' intimate knowledge of the Mississippi's ever-changing depths allows shipping companies to bring in larger ships whenever possible.
In addition, the organization seeks out new business for Louisiana. "We work closely with industry to help market the ports we serve," says Captain Michael Lorino, Jr., president of the association. "I'm happy to report that businesses often acknowledge the work we do, and the Bar Pilots have received numerous industry awards."
Most recently, the Bar Pilots, working in conjunction with the State of Louisiana, were instrumental in attracting the business of CG Railway, Inc. This contract otherwise would have remained in Alabama at the Port of Mobile.
Louisiana is home to other pilot associations as well. All work together as partners to bring maritime traffic into the state, boosting its economy.
