Savannah, GA – The Georgia Ports Authority (GPA) showcased its ambitious $1.9 billion master plan and infrastructure investments during the much-anticipated Savannah State of the Port event held on October 12, 2023. Attended by a capacity crowd of 1,200 individuals, including state and local political leaders, GPA customers, maritime and logistics industry executives, investors, developers, and supply chain partners, the event offered a glimpse into the port’s vision for the future.
“As economic engines for the state and our gateways to the global market, the ports in Savannah and Brunswick are essential to maintaining Georgia’s unprecedented and decade-long status as the No. 1 state for business,” said Governor Brian Kemp. “Job creators consistently cite the Peach State’s responsible government, top-ranked workforce training program, and world-class infrastructure as key reasons the state has held this title and for the record trade and commerce our state has enjoyed. I’m thankful the GPA is making strategic moves to keep it that way.”
Several key trends are shaping GPA’s strategic position in the market. The U.S. Southeast has experienced a 9 percent population growth since 2012, adding 6.5 million people and driving increased consumer demand. Notably, states such as Texas, Florida, North Carolina, Georgia, South Carolina, and Tennessee are among the fastest-growing in the nation, attracting major brands and manufacturers.
“We’re gearing up for the next wave of cargo. Every company needs access to a competitive port system. Governor Kemp’s leadership is helping us achieve this through a pro-business approach with a strong Economic Development team, which continues to attract and win major companies to the Peach State,” said GPA Board Chairman Kent Fountain. “Ports are huge economic engines for growth, and we are ensuring Georgia Ports grows in a responsible, intelligent way for the future and brings the community along with us to benefit from new jobs and philanthropic partnerships.”
Furthermore, shifting sourcing patterns in Southeast Asia, driven by the “China plus one” strategy, have been favoring U.S. East Coast delivery. Shipping routes from Southeast Asia to the U.S. East Coast via the Suez Canal are five days faster than those to the U.S. West Coast, enhancing the competitiveness of Georgia’s ports.
India’s growth as the world’s most populous nation, with an expanding consumer class, presents new opportunities for GPA customers. Approximately a dozen weekly services now connect GPA with India. Equally significant, an increasing number of global supply chains have migrated from the U.S. West Coast to the U.S. East Coast, with East Coast ports now handling 54 percent of the nation’s global trade.
“We need to be ready for future economic cycles. We’re engaging with our customers and designing a gateway port and inland supply chain that aligns with their long-term requirements. We’re fully committed to this mission. The decisions we make will determine who we become as we prepare for the next wave of future cargo,” emphasized Georgia Ports Authority President and CEO Griff Lynch. “Savannah’s ocean carrier customers are investing in larger vessels, with 80 percent of container ships entering the port now boasting a capacity of 11,000 TEUs or more.”
The Georgia Ports Authority offers one of the nation’s most well-connected port operations, boasting 35 weekly ocean carrier services, ample terminal capacity, and available land in Georgia to attract new businesses. Inland connectivity is central to GPA’s growth strategy, with 75 percent of the U.S. population within a 3- to 4-day rail journey from the Port of Savannah. GPA is focusing on a mid-American arc encompassing cities like Dallas, Chicago, Cincinnati, and those within a 200-mile radius of Savannah, including Charlotte, Rocky Mount, N.C., Tampa, Orlando, and Miami.
GPA successfully handled 5.4 million TEUs in FY2023 and projects a growth rate of 4-6 percent in the coming years. Notably, the Port of Brunswick celebrated a record-breaking year in FY2023 for Roll-on/Roll-off cargo, contributing to an overall growth rate of 17.7 percent over the previous year, with 723,515 units handled.
The unveiling of GPA’s master plan underscores the port’s commitment to continuous expansion and adaptation to meet the evolving needs of global trade and ensure its status as a cornerstone of Georgia’s economic success.
Another round of deepening in Savannah’s port is expected to be a multi-year endeavor, demanding bipartisan political backing in a divided Congress, and potentially necessitating the allocation of hundreds of millions of state funds, mirroring the previous deepening effort.
About 25 years ago, the initial planning commenced for the deepening of the port’s shipping lanes, a project that unfolded over two decades before its recent completion. The commencement of this new project is poised to generate a host of inquiries and draw scrutiny from public and environmental organizations alike.
