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Trade / Logistics / Distribution

The Greater New Orleans Region makes perfect sense. Our location alone is cause for trade, logistics and distribution companies to take a close look at the Greater New Orleans Region. Our multimodal transportation infrastructure, skilled workforce, aggressive federal and state incentives. The availability of land with deepwater access are enough to make the region irresistible. Take a closer look at the Greater New Orleans Region.

Unparalleled Infrastructure

The Greater New Orleans Region is home to the nation’s most integrated national waterway, railroad and highway infrastructure systems.

Major Port System

The Greater New Orleans region is part of the largest port system in the world as measured by tonnage. The region is one of the most highly connected to the national port, railroad and highway infrastructure, with a population base of 76 million people within 600 miles.

Located in Laplace, The Port of South Louisiana boasts the following:

• Highest volume shipping port in the Western Hemisphere and the 9th highest volume in the world;
• Largest bulk cargo port in the world;
• Extends 54 miles between New Orleans and Baton Rouge;
• Ranks 3rd in the world in total trade by port;
• Over 4,000 oceangoing vessels and 55,000 barges call at the port annually;
• 60 percent of all raw grain exports from the Midwest breadbasket pass through the port;
• Accounts for 15 percent of all U.S. exports and 57 percent of Louisiana exports;
• 60 percent of all raw grain exports from the Midwest breadbasket pass through port;
• Inland barge system is comprised of 19,262 miles and moves more than 233 million short tons cargo;
• Vessels drafting 45 ft (14 m) call the port district;
• Eight first-rate port-owned facilities are leased to operating companies such as:
  - Occidental Chemical
  - Archer Daniels Midland
  - Cargill

Geographic Information System (GIS)

• Tracks data for available sites, river hydrology, resident industry, transportation routes, pipelines, socioeconomic statistics, etc.
• Continuously updated and maintained in-house as component of port’s business development and marketing.

“New Orleans is strategically important to Tabasco® brand products. It is the port through which we import our key raw material, pepper mash from Central and South America. And, it is through which we export our bottled, finished products to Europe, Africa, and Central and South America. The supporting rail infrastructure throughout the region makes it cost effective and timely to produce the finished product in Louisiana and distribute it internationally from Avery Island. The Port of New Orleans has facilitated our global growth for many years and continues to meet tomorrow’s challenges with competitive and innovative solutions.” – Paul McIlhenny, President/CEO, McIlhenny Co.

Similarly, The Port of New Orleans boasts the following:

• Industrial vacancy (6.5%) and lease rates ($3.50) are competitive.
• Extensive port system with access to Mississippi River and Gulf of Mexico.
• The largest wharf in the world at 2.1 miles, able to accommodate 15 vessels simultaneously.
• Significant development potential and acreage available in the neighboring River and North Shore parishes.
• Invested more than $400 million in new, state-of-the-art facilities
  - Improved breakbulk and container terminals with new multi-purpose cranes
  - Expanded Marshalling yards
  - New Clarence Henry Truckway to handle heavy truck traffic
• 22 million square feet for handling cargo.
• 6 million square feet of covered storage area.
• World’s busiest waterway with more than 6,000 ocean vessels that annually pass through port.
• According to 2004 study by Martin Associates, maritime activity in the Port of New Orleans accounted for 160,498 jobs, $8 billion in earnings, $17 billion in spending, and $800 million in statewide taxes.
• General cargo volume averaged 8.6 million tons between 2003 and 2007
• Commodities that move in and out of port:
  - Steel
  - Coffee
  - Forest Products
  - Rubber
  - Containerized cargo
  - Copper
• 84 million short tons of cargo per year.
• 50 ocean carriers, 16 barge lines, and 75 truck lines serve port.
• Foreign Trade Zone is a defined area where foreign merchandise may be brought into the country without immediately being subject to usual U.S. customs regulations.
• A leading port for movement of imported steel from Japan, Brazil, Russia, and Mexico.
• Number one port for imported natural rubber from Indonesia, Malaysia, and Thailand.
• Napoleon Container Terminal has $100 million dollar state-of-the-art features:
  - Four dockside gantry cranes
  - Six rubber tire gantry cranes in Marshalling yard
  - Annual capacity: 366,000 teu

The Port of New Orleans Is Served By Over 50 Shipping Lines, including:

• Maersk
• Trans Sea Transport
• China Ocean Shipping Company
• Daiichi-Chuo Shipping Line
• Eastwind Transport
• Hyndai Merchant Marine Inbound
• Mediterranean Shipping Company
• Mitsui Osk Line
• Pan Ocean Shipping Company
• Yang Ming Line

“The widening of the Panama Canal will boost international trade by leaps and bounds. Businesses in the Greater New Orleans Region are perfectly positioned to take advantage of the opportunity.”

Panama Canal Expansion

The expansion of the Panama Canal, scheduled for completion in 2014, will open Gulf of Mexico ports to substantial new sources of trade with Asia and the west coast of South America, including large markets in Chile and Peru. Increased investments will fully capitalize on increased internation trade.

Shipbuilding & Ship Repair

The expansive port infrastructure in Greater New Orleans offers a thriving shipbuilding and ship repair industry. Since 1991, the industry has received over $6 billion in defense funds and private contract orders. Over 15% of all U.S. production comes from Louisiana. The industry is currently looking forward with the new Avondale/UNO Maritime Technology Center of Excellence, which is researching innovative technologies to improve efficiency and production.

Shipbuilders & Ship Repair Companies:
• Avondale
• Northrop Grumman
• Bollinger Shipyards
• Delta
• Higgins
• Todd-Pacific

Ground Transportation

Trucking
• Access to two interstate corridors – I-10 and I-12 – that link the Greater New Orleans Region to a primary east-west corridor with large markets in nearby Texas and Florida.
• Access to two secondary interstate corridors – I-55 and I-59 – linking the region to Mississippi, Alabama and Tennessee.
• The region’s interstate access provides excellent truck and distribution access from ports along the Mississippi River to population centers in the Gulf Coast and into the Mississippi River Valley.

Major Rail
New Orleans is the only deepwater port in the country served by six class one railroads—this provides direct and economical rail service to and from anywhere in the country.
• Burlington Northern/Santa Fe
• Canadian National
• CSX
• Kansas City Southern
• Norfolk Southern
• Union Pacific

Air Cargo

Nearby Louis Armstrong International Airport provides daily passenger and commercial service to major airports in the United States, Mexico, Europe, Canada, and Central & South America.
St. John the Baptist Regional Airport has two runways and offers private, business, airfreight and on-site storage.

Key Incentives

Federal, state and local incentives available to the international trade, logistics and distribution industry in the Greater New Orleans Region comprise one of the most aggressive, and potentially lucrative, financial packages in the nation.

• Full tax credits on inventory tax in Louisiana.
• Louisiana’s six Foreign Trade Zones make it possible to import materials and components into the U.S. without paying duties until they inter into the U.S. market.
• The Gulf Opportunity Zone (GO Zone) federal tax incentives offer a competitive advantage for the relocation or expansion of large manufacturing facilities in the region.
• The Louisiana Quality Jobs Program is a refundable tax credit that provides up to a 6% rebate of wages for qualifying jobs for a 10-year term. Additionally, the program rebates the 4% portion of state sales/use taxes on capital expenditures.
• Louisiana FastStart is a turnkey workforce-training program that provides customized recruitment, screening, and training to new and expanding companies at no cost.
• The Research & Development Tax Credit provides up to a 40% refundable tax credit for expenditures within the state relating to R&D activity.

“The Greater New Orleans region has historically been recognized as a key hub of the oil and gas industry in the United States. Southeast Louisiana is poised to retain this position due to the existing infrastructure, extensive base of industry workers and access to a vast amount of untapped oil and natural gas resources in the Gulf of Mexico.” – Clay Neff, General Operations Manager,
Chevron North America Exploration and Production Company

Workforce / Training / Educational Resources

International trade, logistics and distribution businesses in the Greater New Orleans Region have the advantage of a talented, experienced workforce. Wages within this industry average up to 33 percent less than in other U.S. trade centers, providing a competitive advantage for keeping business costs low.

• Martin International Maritime Training in LaPlace, LA
• Louisiana International Trade Center Library in New Orleans, LA

Tulane University

• Maritime Law Center and Society
• 2nd largest admiralty bar in the country
• International and comparative law
• Payson Center for International Development
• A.B. Freeman School of Business
• Center for International Studies

University of New Orleans

• School of Naval Architecture and Marine Engineering
• Louisiana International Trade Center
• Center for Economic Development
• International Studies

Louisiana Technical College

• Department of Marine Operations

Baton Rouge Area Chamber and GNO, Inc. Trade Study

In the first major joint effort between GNO, Inc. and Baton Rouge Area Chamber (BRAC), a sweeping study of the international trade and logistics landscape was conducted. The results provide incredible insight about how Southeast Louisiana can best leverage its unique assets for the greatest economic benefit.

Please click the link below if you would like to view the executive summary of the report, conducted by Booz Allen Hamilton.
Trade Study Executive Summary

Links

Louis Armstrong International Airport
New Orleans Public Belt Railroad
Port of New Orleans
World Trade Center of New Orleans

Corporate Presence

Agility Project Logistics
Associated Terminals
Blessey Marine Services Inc.
Boasso America Corporation
Bunge North America Inc.
CGB Enterprises
Coastal Cargo Company Inc.
Con-Way Freight Inc.
Delta Terminal Services
DynMcDermott Petroleum Operations Company
Eckstein Marine Service Inc.
Hornbeck Offshore Services LLC
Intermarine
International Matex Tank Terminals
Kearney Companies
Mediterranean Shipping Corporation
New Orleans Cold Storage
New Orleans Public Belt
Otto Candies LLC
Randa Corporation
Teco Bulk Terminal
Tidewater
Transoceanic Trading & Development
Wal-Mart Distribution Center
Westway Holdings

Downloads

Trade / Logistics / Distribution Industry Analysis
Maritime Advisory Task Force: Five-Year Ports and Maritime Plan