Canada’s Vancouver Fraser Port Authority reported mid-year
2020 results and while impacted like all ports by COVID-19, Vancouver also
reported mid-year records. The port also sees increasing trade and a rebound in
demand.
While total cargo through the port decreased just over one
percent in the first half of 2020 compared to 2020, there was strong demand for
bulk and containerized grain, as well as total foreign tonnage and foreign
exports. The biggest gain, however, was crude oil volumes which were up 150
percent in the first half of the year due to fluctations at the terminal and
volumes in local regional pipelines.
“We are experiencing unprecedented times in Canada and
across the globe as we grapple with a pandemic that is causing economic
impacts, making short term predictions difficult,” said Robin Silvester,
president and chief executive officer at the Vancouver Fraser Port Authority.
“Despite these challenges, mid-year cargo volumes through the Port of Vancouver
remained stable and Canada’s trade has continued to flow, connecting Canadians
and Canadian businesses to essential goods and international markets. This
resiliency is a testament to the importance of diverse trading partners,
foreign markets, and a range of cargo moving through the port.”
Strong global demand for Canadian grain resulted in a new
mid-year record of 16.3 MMT for both bulk and containerized grain, an increase
of more than 10 percent. Total foreign tonnage and foreign exports also record
mid-year records, due to strong increases in grain, petroleum, chemicals, and
canola oil volumes. The volume in wheat was up seven and a half percent, while
canola was up over 25 percent, and specialty crops increased 10 percent.
The port however reported declines in some segments of its
operations citing weather conditions as well as trade challenges, canceled
sailings, railroad blockades, and the global COVID-19 pandemic. The sectors the
felt the strongest declines in the first half of 2020 included autos which were
down a third as well as a 17 decline in breakbulk volumes. Container traffic
was down by nearly eight percent. The closing of Canada ports to cruise ships
also meant that the normally busy summer cruise season to Alaska was canceled.
“As we’ve seen from previous economic downturns, trade is
generally well-positioned to rebound strongly,” said Silvester. “In container
trade, we are already seeing monthly volumes recover when compared to the same
month in 2019, and the demand for goods shipped in containers continues to be
projected to grow going forward. A key part of our role as a Canada Port
Authority is to advance the critical infrastructure required to accommodate
this growth through the port.”
Along with industry and government partners, the port authority
is leading the development of more than C$1 billion worth of infrastructure
projects designed to strengthen its competitiveness as a West Coast trade hub.
To accommodate growing trade in containers, the port authority is currently
leading two container terminal projects and has partnered with the government
and industry to invest in several road, rail, and other infrastructure
projects. Once completed, the Centerm Expansion Project will be able to
accommodate a 65 percent increase in container traffic, and a proposed new
terminal if approved would increase container capacity by 50 percent at the
Roberts Bank Terminal 2.