Sudden shutdown of start-up American Feeder Lines hits Maine hard
2012 05 09
- Details
PORTLAND, Maine has been hit hard by the sudden shutdown of the American Feeder Lines' (AFL) sole weekly container service between Halifax, Portland and Boston as local businesses scramble to find other methods to get their goods to market.
The recent start-up, AFL, attributed the shutdown to a lack of volume between the three ports and a loss of private investment reported the Portland MSNBC News affiliate.
"The biggest impact is on the shippers that were using the service," said Maine Port Authority executive director John Henshaw. "They were either saving time or saving money and so those shippers will have to find other routes to market or to receive their imported goods in Maine."
This has been the fifth time since the early 1990s that cargo service between the Port of Portland and other ports has come and gone, but industry experts believe there is enough business to support a similar venture, said the report.
"As a state, we can fill every container outbound that comes in inbound," said Mr Henshaw. "Ideally, we believe that this port could support two services, one operating down to New York and one operating east to Halifax. It is challenging. It requires the right vessel, it requires the right itinerary. The Boston, Portland, Halifax itinerary seemed appropriate. The vessel that was used here might have been too large for the service, at least from the outset. Perhaps as you build volumes over time you might bring on a bigger vessel."
US Maritime Administration administrator David Matsuda came to Maine to tour port facilities in Portland and Searsport and meet members of the local business community to discuss future opportunities for the region's cargo needs.
"There is definitely an opportunity there," said Mr Henshaw. "It is a matter of putting those things together over the long term to make everybody successful."
Source Shipping Gazette - Daily Shipping News
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