The New York Shipping Association Inc. said Friday that it would slash shipping charges on cargo entering locations owned by the Port of New York and New Jersey for the first time in two years, as part of an effort to attract more global business.
More than 2.9 million cargo containers moved through the ports last year, up 8% from a year earlier. The value of that cargo topped a record $149 billion, with much of the increase attributed to trade growth with northern Europe and the Asia-Pacific region.
Port officials expect another 8% increase in volume this year. In order to handle that growth, the Port Authority of New York and New Jersey, which owns the ports, has already started on a $2 billion upgrade project to renovate marine terminal facilities and improve off-port roads and railways.
Earlier this year, $40 million worth of new support tracks were installed at ExpressRail Port Newark, which doubled that port's annual capacity to more than 100,000 containers. Additional tracks are being laid down to allow freight trains arrive and depart simultaneously at the port. The rail work is expected to lead to a sharp reduction in truck traffic over the next ten years and cut down on emissions.
The Port of New York and New Jersey is considered vital to the local economy, supporting more than 230,000 jobs in the region. About 5,000 new jobs have been created at the ports since 2001.
Starting July, 1, the charge for shipping cargo containers within 260 miles of the port will be reduced by $10 to $110. Three-quarters of the containers moving through the port transport cargo within that radius. The last rate cut in 2005 reduced shipping costs by $15 to $120.
"It's an added incentive for companies to do business through our port," said NYSA spokeswoman Beverly Fedorko.
The NYSA also cut the rate for shipping loaded rail containers to $10 each, which represents a savings of up to $100 per container. NYSA officials said this is first time they had established a flat rate. Previously, costs varied depending on the type of product being shipped.
NYSA, based in Iselin, N.J., is a nonprofit corporation that includes ocean cargo ships, terminal operators and marine-related businesses that move cargo through the port. The Port Authority owns the port facilities that are used by NYSA members.
More than 2.9 million cargo containers moved through the ports last year, up 8% from a year earlier. The value of that cargo topped a record $149 billion, with much of the increase attributed to trade growth with northern Europe and the Asia-Pacific region.
Port officials expect another 8% increase in volume this year. In order to handle that growth, the Port Authority of New York and New Jersey, which owns the ports, has already started on a $2 billion upgrade project to renovate marine terminal facilities and improve off-port roads and railways.
Earlier this year, $40 million worth of new support tracks were installed at ExpressRail Port Newark, which doubled that port's annual capacity to more than 100,000 containers. Additional tracks are being laid down to allow freight trains arrive and depart simultaneously at the port. The rail work is expected to lead to a sharp reduction in truck traffic over the next ten years and cut down on emissions.
The Port of New York and New Jersey is considered vital to the local economy, supporting more than 230,000 jobs in the region. About 5,000 new jobs have been created at the ports since 2001.
Starting July, 1, the charge for shipping cargo containers within 260 miles of the port will be reduced by $10 to $110. Three-quarters of the containers moving through the port transport cargo within that radius. The last rate cut in 2005 reduced shipping costs by $15 to $120.
"It's an added incentive for companies to do business through our port," said NYSA spokeswoman Beverly Fedorko.
The NYSA also cut the rate for shipping loaded rail containers to $10 each, which represents a savings of up to $100 per container. NYSA officials said this is first time they had established a flat rate. Previously, costs varied depending on the type of product being shipped.
NYSA, based in Iselin, N.J., is a nonprofit corporation that includes ocean cargo ships, terminal operators and marine-related businesses that move cargo through the port. The Port Authority owns the port facilities that are used by NYSA members.