TransGroup Worldwide Logistics sees business surge By Gene Linn, AJOT Things have been getting a little crazy at the project cargo wing of TransGroup Worldwide Logistics, according to Susan St. Germain, the company’s Director of Project Cargo. And that’s good. After several slow years, burgeoning orders are making life hectic. “We’re very, very busy now,” said St. Germain. “All of us in the industry see an upswing in the economy. There’s new construction, and with the US dollar the way it is now (down against must other currencies), that helps exports.” The surge in business is welcome news after a lean period. “It was very slow a couple of years ago,” said St. Germain. The September 11 tragedy did not hurt business very much because it did not disrupt projects that were already in the pipeline. “What hurt us was the Enron collapse. We feel that some investors (in power projects) became more conservative. We had 11 projects canceled or postponed. But some have come back. We’re still not where we were, but in another year or two we might be.” The recovery of the power industry is especially significant for TransProject, the company’s project cargo department, because power plants are its bread and butter. “We’re working on a pretty interesting project right now,” said St. Germain. Huge pieces of equipment for a power plant in Astoria, New York, are being shipped to the port at Norfolk, Virginia. The largest pieces weigh about 300,000 pounds and are 105-feet long, 45-feet wide and 65-feet high. “Now we’re barging these monsters to Astoria,” said St. Germain. “There are so many details to take care of, and we must be involved in all aspects of the operation - choosing the type of barge, coordinating with an engineering company to build a ramp for unloading, picking the right type of trailer, and so on.” The pickup in bids for power plant projects includes those for renewable energy operations. One reason, according to St. Germain, is that Congress reinstated the Production Tax Credit for such projects last year. This allows wind farms and other renewable energy sources to compete economically with coal and natural gas projects. Transporting windmills has become more of a challenge as the equipment has grown considerably. “Back when we first started,” St. Germain said with a laugh,” we were worried because the wings (blades) stuck one meter out of a 40-foot container. Now, we see the newer wings are not so heavy, but they’re 33 meters or more long.” Equipment for wind farm projects is often shipped on charter vessels. Manufacturers have devised collapsible frames that can be folded up, shipped back and reused. “The manufacturers have become very efficient in setting up transportation,” said St. Germain. TransGroup’s project cargo business is also getting a boost from the falling dollar, which makes US equipment cheaper to buy. Overseas bids are increasing for projects involving a range of capital equipment and systems to upgrade existing plants. Heavy equipment, such as Caterpillar earthmovers, are increasingly in demand. “There are more construction projects, which is always a good sign,” said St. Germain. TransGroup as a whole has a network of partners with some 150 international logistics stations. The company was founded in 1986, focusing on international logistics, and today 48% of its overall business comes from overseas. In addition to commercial business, TransGroup’s project cargo department is heavily engaged in a broad range of military and homeland security projects. The cargo includes a 125,000-pound generator, armored vehicles and workboats. “The military keeps us very busy,” said St. Germain. The company’s office in Washington, DC, is an important contact point. The other side of the coin in the growth of security-related business is the huge increase in security measures imposed on trade since 9-11. But St. Germain asserts TransGroup has very stringent security practices and has had “no instance of undue delays.” Increased business, commercial and