Growth in Burns Harbor project cargo shows America is retoolingBy Peter A. Buxbaum, AJOTWhat does it say about the United States economy when more project cargoes are moving into American ports? It says that U.S. businesses are recapitalizing and preparing competitively for the future. That, at least, is the contention of Tony Develli, vice president for commercial development at Federal Marine Terminals, Inc., based on his observations of cargo moving through the Port of Indiana - Burns Harbor. Federal Marine Terminals serves as the general cargo stevedore for that port. “Since the recession we have seen a resurgence in investment by American companies,” he said. ”They are refitting and updating equipment and building new plants. It is quite evident that companies are using this time to get ready for the future and become more competitive. Instead of the normal flow of consumer goods, we have definitely seem increases in the movement of capital products over the last couple of years.” The Port of Indiana - Burns Harbor is located in Portage, Ind., on the south shore of Lake Michigan, 18 miles from Chicago. It is the largest U.S. Great Lakes port in terms of oceangoing volume. The port handles international ships via the Great Lakes connection over the St. Lawrence Seaway to the Atlantic Ocean and barges via inland river links to 38 states and the Gulf of Mexico. The Ports of Indiana, a statewide port authority, also has port facilities in Mount Vernon and Jeffersonville. Together with Burns Harbor, they handle close to $2 billion in cargo shipments per year. “We’ve seen increases in project cargo in Burns Harbor,” said Develli. “Business has been good for two or three years now. We’ve landed some very large projects some of which we have worked on for a long time.” What has set Burns Harbor apart from other Great Lakes ports, according to Develli, is its lifting ability. “We have high capacity cranes and some very large forklifts,” he said. “Some of our competitors could not do these types of moves without renting outside equipment.” Burns Harbor shipped 14 times more project cargo in 2010 than in 2009, resulting in a 43 percent increase in overall shipments and a total tonnage of 1.8 million metric tons. In 2010, the port registered an increase of 73 percent in tonnage over 2009. The port handled 351,600 metric tons of international cargo, primarily comprised of wind components, steel and construction equipment. Business in 2011 is over 20 percent ahead of 2010 as of July. “Many of our customers have been in the energy business from wind and oil to coal and nuclear,” said Develli. He added that the port’s customers do not want to be publicly identified with these shipments for competitive reasons. In August, a series of shipments spread out over three years came to an end with the final delivery of components and equipment for an oil refinery project in Indiana. “This project involved over 15 vessels with heavy components for an oil refinery,” said Develli. “We worked on that project for close to ten years, following it and quoting on it.” Components for the refinery project included piping and beams for refinery structure itself. “These pieces were larger more than they were heavy,” said Develli. The project also included shipments of platforms and flame gas burners. The components were shipped primarily from the Philippines and elsewhere in the Far East. The shipments, loaded on heavy lift vessels, crossed the Pacific Ocean, traversed the Panama Canal, and were down the St. Lawrence Seaway to the Great Lakes. “An alternative might have been to go through the river system and up on river barges through New Orleans,” said Develli. “Some of these components were too big to go through East Coast ports. They needed an all-water route to final destination. It was advantageous for the port to have been in proximity to the building site.” In many cases, project cargoes are trucked or railed to their final destinations. In the case of this Indiana