What's happening in U.S.

 

U.S. Trade Specialists 

  

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RS Logistics Limited

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Bon Voyage Logistics Limited

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Port automation will change the role of longshoremen, it's time to adapt or die

 


LONGSHOREMEN in California ports and freight handlers at logistics operations everywhere are in the midst of a global shift in way the trade industry does business and in which megaships are demanding ports become automated.

Technological advancements in cargo handling stand to greatly benefit the local ports by increasing efficiency and improving competitiveness while also helping US west coast ports to repair what some in the industry see as a bruised reputation from work stoppages, writes Samantha Mehlinger in the Long Beach Business Journal.

Labour unions, although cautious about how technology will impact the workforce, also realise that technological changes, such as automation - which will likely reduce manual labour jobs but also create new technology-based higher paying jobs - are inevitable, according to industry experts.

"Technological advances and automation are not an option or a choice; they're a requirement," said Peter Friedmann, executive director of the Agriculture Transportation Coalition (AgTC), the largest national trade organisation for agriculture and forest product exporters.

Technological advances are already becoming apparent at the Port of Long Beach's Middle Harbour terminal, which is set to be the most automated, efficient and greenest terminal in the United States, and at the TraPac terminal in the Port of Los Angeles.

The first phase of the US$1.3 billion Middle Harbour project, which involves consolidating two terminals into one for Orient Overseas Container Line's (OOCL) Long Beach Container Terminal (LBCT), has been completed.

After testing new equipment and systems, the terminal is preparing to open around April of next year.

Mr Friedmann said members of AgTC, which is holding its annual meeting in Long Beach next year, recently visited the International Longshore and Warehouse Union (ILWU) leadership at the Middle Harbour terminal to see how union dockers are being incorporated into new jobs that technology is creating.

He said the highly advanced terminal shows how the Port of Long Beach is progressing

technologically along with the union's "cooperation and engagement" faster and more effectively than any other port in the United States.

Although the new jobs may be more mechanical or technology based, such as gate operating, the longer-term benefit is that technological advances will help keep cargo moving through west coast ports rather than through US Gulf, east coast and Canadian ports as has recently been the case because of work stoppages caused by labour disputes.

"If changes aren't made, the trend of cargo moving to other ports will only "accelerate. Labour as well as the port authorities understand that there is a major shift in global cargo flow taking place right now," Mr Friedmann said, adding that the US government's new Trans-Pacific Partnership (TPP) deal if ratified would only encourage more cargo to be diverted from west coast ports if technological advances aren't made.

US west coast ports have benefited from having naturally deep harbours that enable larger ships to dock. However, up to six other ports on the east coast are working to deepen their harbours while the Panama Canal has already been widened for larger ships to pass through.

Goods for US consumers are no longer coming just from China but also from Vietnam and India, which are closer to the Suez Canal. In addition, two thirds of US consumers live on the eastern one third of the country.

"Automation or any other advantage that the west coast can bring to bear is essential," he said.

With regard to exports, technological advancements are also critical. Farmers and forest product producers in California may lose the global marketplace if local ports don't become more efficient since such goods can't be exported through any other ports.

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