Port of L.A. Posts Record May, Prepares for Seasonal Crunch

Despite efforts by local importers and exporters to prepare for what is expected to be the busiest shipping season ever, some still worry that cargo could pile up on docks over the next few months.

Statistics released Tuesday by the Port of Los Angeles showed that in May the nation’s busiest port took in record cargo for the second consecutive month. It was a sign that this year’s peak shipping season began earlier than usual as retailers stock up for the perennial back-to-school and holiday shopping frenzies, which have been stoked to record highs in recent years by torrid U.S. economic growth.

More than 2 million 20-foot cargo containers passed through the Los Angeles port during last year’s peak season--generally late spring through early fall. And although the U.S. economy is showing signs of cooling, port officials say that, based on cargo flow so far in 2000, this year’s peak season is likely to be at least 15% higher.

Last year, record imports and differing operating hours at port terminals and local distribution centers caused cargo backups that delayed delivery of shipments by days and sometimes by more than a week.

Port of Los Angeles Executive Director Larry Keller said there has been no appreciable backup so far this year, despite the fact that freighters have been arriving 90% to 95% full for the last few weeks.

The neighboring Port of Long Beach, which will release its own container statistics for May within the next few days, also reported that cargo has been moving smoothly.

But Patty Senecal, vice president of sales for Transport Express, a trucking and warehousing company in Rancho Dominguez, said there have been logjams at some terminals already this year and she worries that more could follow as the peak-season cargo volume grows over the next few months.

“In general, things are moving,” Senecal said. “But some of the terminals have been backed up.” She declined to identify them by name.

T Concerns that the seasonal cargo onslaught could lead to shipment bottlenecks and delays even worse than last year’s has sparked efforts for greater coordination among importers, terminal operators, government officials, warehouse facilities and others in the shipping industry. A meeting is scheduled Thursday in Long Beach to detail recommendations for avoiding delays, such as better scheduling of pickups and deliveries and expanded operating hours.

Already, some retailers have begun to ship peak-season goods. Indeed, some shipments of artificial Christmas trees reportedly arrived from Asia as early as January.

Senecal, who will be attending Thursday’s meeting, said that, while more needs to be done, communication within the shipping industry has improved.

“I think awareness is greater around the fact that warehouses are going to have to open up their receiving hours to accommodate all this cargo,” she said.

Some importers such as Boeing Co., which imports parts from Europe, have apparently taken that awareness to the next level.

Jack Hanley, the company’s director of parts control and transportation, said Boeing’s Long Beach-based commercial division last week expanded service at its receiving window from eight hours a day to 15. “After talking to the shippers about their problems, we decided to open up our receiving time,” he said.

Senecal said more shippers are going to have to do the same in light of this year’s anticipated cargo volume.

In April and May, the Port of L.A. took in more cargo containers over a four-week period than during any month at the height of last year’s peak season.

The port handled more than 408,000 20-foot cargo containers in May, a 22% jump in volume over the same month last year. Imports led the surge, accounting for more than half of the total volume.

Exports were also up, with the port handling nearly 82,000 outbound containers, its fourth-highest monthly export total ever.