New Investment at Georgia Ports Authority: What It Means for the Future
THERE’LL BE MORE RO/RO AND CONTAINER TRAFFIC—AND GREATER NEED FOR WAREHOUSE SPACE.
The Georgia Ports Authority (GPA) is overseeing $4.5 billion in investment over the next decade to expand the state’s port infrastructure and related endeavors. This investment will have a profound impact on Georgia’s economy, not just in the port cities themselves but in surrounding communities as well. There will be a dramatic rise in available jobs as demand grows for new warehouse space and various services.
The plans were described in detail by GPA Chief Operating Officer Ed McCarthy at the 2023 Georgia Transportation Summit. This annual event is held by the GPA in partnership with the Georgia Department of Transportation.
Among the coming enhancements:
DEEPEN THE PORT
The ongoing $1.9 billion master plan to deepen the port of Savannah and make other improvements.
RAIL LINK
The Blue Ridge Connector project, scheduled for completion in 2026, which will provide a rail link from the Mason Mega Rail terminal near Savannah (the largest on-terminal intermodal facility in North America) to the Atlanta suburb of Gainesville.
PROCESSING SPACE
Improvements to Colonel’s Island at the Port of Brunswick, including 640,000 square feet of new processing space, 122 acres of additional auto storage, and a fourth Ro/Ro berth.
In addition, the Georgia Department of Transportation is proceeding with multiple projects that will enhance the state’s road infrastructure:
The Talmadge Bridge Maintenance and Air Draft project will replace existing cables and include planned maintenance to bearings, joints and barriers, while increasing vertical clearance under the bridge, which spans the Savannah River.
The interchange at I-16 and I-95 west of Savannah will receive $318 million in improvements.
The Dean Forest Road (SR 307) @ I-16 Diverging Diamond Interchange will receive $48 million in improvements.
Effingham Parkway will receive $66 million in improvements from Blue Jay Road to State Road.
This is all part of the statewide effort to accommodate increased commerce arising from Georgia’s growing role in the worldwide shipping industry.
BUSINESS IS BOOMING AT GEORGIA PORTS AUTHORITY
Georgia has long been a prime destination for international shipping. And its activities are projected to increase in coming years. Already, Savannah is one of the four busiest ports in the United States—a role that garnered increased attention as the recent supply chain crisis revealed the vital importance of maintaining efficient shipping processes nationwide. While the West Coast ports of Los Angeles and Long Beach are closer to China and Southeast Asia, it now takes five fewer days to ship from Southeast Asia to the East Coast through the Suez Canal. That shift has brought even more prominence to the Georgia ports of Savannah and Brunswick. And in fact, East Coast ports now handle 54 percent of all U.S. international shipping trade.
It’s well known that many of the consumer goods Americans uses are manufactured in China. But as U.S. relations with China have grown tense, importers are increasingly following a “China plus one” policy—using alternative sources such as Taiwan, Singapore, Malaysia, Thailand, and India for the products they import. The result is an uninterrupted flow of products from that region to seaports like Savannah and Brunswick. And the shipping activity goes both ways, as China and India—the world’s two most populous nations—are developing large middle classes with a desire for American goods.
Recognizing the strategic location that Georgia’s ports occupy, many companies have relocated to the area or opened facilities there. Some examples:
Hyundai has launched a $9.8 billion metaplant project for manufacturing electric vehicles, creating an expected 14,000 jobs.
Burlington has announced the creation of a new 2 million square-foot warehouse operation.
Bradshaw Home plans to open a 1.2 million square-foot distribution center for its kitchenware in Bloomingdale, Ga.
Kubota will be expanding its facility in Gainesville, Ga.
DAS Corp will be creating 300 jobs for its auto parts operation with its $35 million investment in Candler County, Ga.
Hanwha Q Cells, LG, GE now has new locations in the Appalachian Regional Port.
Aeronet Worldwide has opened an 180,000 square-foot warehouse near the Port of Savannah for its logistical services business.
As these companies have discovered, it makes sense to have a strong presence in Georgia, from which the entire eastern U.S. is readily accessible.
HOW GEORGIA PORTS AUTHORITY CONTRIBUTES TO A HEALTHY ECONOMY
Last year, 2023, saw $24 billion in new investments in Georgia, with the addition of 38,400 new jobs. The ports and inland terminals by themselves generate an estimated $33 billion in revenue annually, sustaining 561,000 jobs throughout the state. It’s no surprise that CNBC ranked Georgia number one in the U.S. for infrastructure in America’s Top States for Business in 2023. And Area Development magazine has named Georgia as the best U.S. state for doing business—for ten years in a row.
All this increased activity will mean higher demand for workers in construction and operations for the port communities and surrounding areas. There will also be a need for more housing and all the services that a growing population requires. Meanwhile, the increased shipping traffic is already creating more demand for warehouse, distribution, and cold storage space in those communities.
In this realm, Rainwater Construction Company is at the cutting edge, building the new warehouse infrastructure that will serve the region far into the future. Rainwater’s work on Colonel’s Island Terminal at the Port of Brunswick is a prime example, adding a total of 650,000 square feet in five buildings to that terminal’s capacity.
All in all, it’s a good time to be in business in the Peach State—and to take part in its phenomenal growth.
RAINWATER CONSTRUCTION COMPLETED 40K MANUFACTURING FACILITY FOR SWIFT ATLANTA
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