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Oakland Vies To Become Global Supply Chain Hub

Oakland envisions more than $600 million worth of infrastructure investment. It’s coming from private developers, government grants and port fund.

By ·
By ·

More news surfaced recently confirming that the Port of Oakland is consolidating its position as a leading ocean cargo gateway in the U.S.

As reported here earlier this month, Moody’s Investor Services gave the port a positive revue and upgraded its bond ratings. More recently, Fitch Ratings told SCMR that Oakland was proving to be “remarkably resilient” when other ports were struggling to expand.

“Given the regional dependence on the Port of Oakland, this should not come as such a surprise,” says Fitch Director, Emma Griffith. “Shippers in Silicon Valley, the Central Valley, and in the wine country really need a strong and diversified port.”

A senior Port of Oakland executive concurs, telling investors that the port is making long-term commitments to his international shipping hub.  Maritime Director John Driscoll said last week that the trend bodes well for Oakland’s future in global trade.

“A lot of people believe in the port,” Driscoll told a 40-member Efficiency Task Force created two years ago to improve Oakland’s cargo-handling performance.  “They’re putting their money where their mouth is and I’m proud that they see Oakland as a major trade gateway.”

Driscoll said the port envisions more than $600 million worth of infrastructure investment.  It’s coming from private developers, government grants and port funds, he added.

Projects ranging from marine terminal improvements to new distribution centers are either on the drawing board or under construction, Driscoll said.  They’re expected to strengthen Oakland’s position as a magnet for containerized imports and exports. “These are game-changers,” Driscoll said.  “They will give us first-class logistics capabilities.”

The Maritime Director gave his audience of trade and transportation officials a progress report on key developments in Oakland. Among the highlights:

•      Construction began last month on a 283,000-square-foot Cool Port Oakland refrigerated distribution center.  Scheduled to open next summer, Cool Port will prepare chilled and frozen beef, pork and poultry for Asian export.  Developers estimate the location could handle up to 37,000 20-foot containers of cargo annually.
•      A project is underway at Oakland International Container Terminal to raise the height of four ship-to-shore cranes.  Two more are scheduled to be heightened at nearby TraPac terminal.  Taller cranes will help terminals handle the newest megaships now calling West Coast ports.
•      TraPac is in the midst of expansion that will increase its Oakland footprint by 86 percent next year.
•      A 6-acre Drayage Truck Center is being designed to support the more than 3,000 harbor truckers visiting Oakland daily.  It would provide fueling stations with diesel and alternative fuels, truck scales and retail outlets in the heart of the port. 


About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]

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