Besides the many large container carriers, there
are also many niche operators which serve markets off the beaten
track, or which are not of interest to the major carriers. Even
these routes, such as South America, the Caribbean and South Africa
are now attracting the attention of companies such as Maersk Line,
P&O Nedlloyd and Zim, which call at large ports such as Halifax.
There are certain markets, however, such as Bermuda, Cuba, the
Bahamas, South America as well as perhaps South Africa which Sydney
might tap into. Theoretically, there are vessels and shipping companies
which call at Pictou, Montreal, Quebec City, Sept Iles, Gros Cacouna,
and even the Great Lakes which could be approached about including
Sydney in their port rotation. But Sydney would have to offer them
something they cannot already obtain, either access to a unique
cargo, or very attractive cargo-handling and inland shipping rates.
The development of a general cargo base, and shipping services
at the SYSCO facility depends on four factors:
- The facilities
- Availability of local cargoes
- Cost of inland transportation
- Stevedoring / labour costs
The Stevens and Stevens Cape Breton Rail Opportunities Report identified
several potential shippers that could use the Cape Breton and Central
Nova Scotia Railway. If these cargoes were brought in by water,
the total number of car loads per annum are not significant in terms
of developing sufficient ‘inducement’ for a shipping
line.
Because of the added distance involved, transportation to and from
inland markets may be more expensive than from Halifax. On the other
hand, Sydney may be closer to certain world markets than other east
coast ports, so ocean fright rates may be lower. For shipments such
as military equipment and large project cargoes, stevedoring costs
will have to be significantly lower to offset the cost of inland
transportation. Rail would also have to be available at or very
close to dockside.
Icelandic Shipping
Icelandic Shipping (Eimskip) operates a regular liner service between
Iceland and North America on a bi-monthly basis using 725 teu geared
vessels. Presently, they call at Argentia, Newfoundland, and Shelburne,
Nova Scotia. The carry liquor inbound to Argentia for the Newfoundland
Liquor Board, and fish outbound to the U.S. They shifted their Nova
Scotia port call from Halifax to Shelburne two years ago to escape
high port costs in Halifax, and to better serve fish importers on
the South Shore. While it is unlikely that Eimskip will switch Nova
Scotia ports again, their example may be instructive in terms of
the type of line that may be attracted to Sydney.
Cuba
At the present time, there are at least four direct shipping services
between Canada and Cuba, three of which call at Halifax: Coral Container
Line, Melfi Lines and as of November 1999, Licorne Navigation. All
of these lines are to some degree dependent upon rail service to
and from Ontario and Quebec. However, if a unique cargo in the Sydney
region could be identified, then perhaps one of these lines could
be enticed to leave Halifax.
Russia & Baltic States
It has been more than 10 years since the Berlin Wall came down,
and the former communist states in the Eastern Bloc began to open
up their economies to a more free market system. Surprisingly, there
has been little evidence of direct trade links being developed between
eastern Canada and Russia or the former Baltic states of Lithuania,
Latvia and Estonia. Yet, there are a number of shipping lines that
serve the Canadian market via Montreal. Perhaps a unique cargo could
be identified in the Sydney region, which might entice a Baltic
carrier into that port.
McLean Kennedy, a Montreal shipping agent, represents Maras Linija,
which calls at Tallin and St. Petersburg, as well as Kursu Linija,
which calls at Klaipeda, Kaliningrad and Tallin. Likewise, Atlantic
Ro-Ro Carriers, which calls at Halifax on a monthly basis, serves
St. Petersburg and Kaliningrad. Perhaps they could be enticed to
Sydney on the same basis as Eimskip was enticed to Shelburne, i.e.
lower costs and labour flexibility. Sea Projects Alliance of Montreal
specializes in project cargoes of all kinds, and in the Russian
market in particular. Volfro is an NVOCC (non vessel owned common
carrier), charterer and ship broker, which also specializes in Russia
and surrounding countries and Baltic Republics.
South America & South Africa
One little known fact about Nova Scotia ports is that, because of
their location on the great circle route, they are closer to ports
in south America and Africa than their eastern North American counterparts.
For instance, the distance from Sydney to Cape Town is 6,423 nautical
miles, whereas it is 6,789 miles from New York. Likewise, it is
4,663 nautical miles from Sydney to Rio de Janeiro and 4,743 miles
from New York. Of course, a vessel calling a range of eastern North
American ports would first have to sail north to Sydney before commencing
its southbound voyage, and Sydney is that much further away from
inland markets. The deviation, therefore, for a ship on one of these
trade routes to call at Sydney is much less than one might presume.
Again, if a cargo unique to Sydney could be identified, then perhaps
it could be combined with additional cargoes that the Cape Breton
and Central Nova Scotia Railway would carry from inland markets.
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