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High-flowing half for Port Metro Vancouver

CANADA’s largest port complex, Port Metro Vancouver, hit cargo records for the first half of this year, with coal exports providing a fillip.

Donna Schmidt
High-flowing half for Port Metro Vancouver

Collectively, PMV handled 66.4 million tonnes of cargo between January and June a 6.3% jump year-on-year. The group said the expansion of its coal facilities helped it deliver big results, with record volumes of coal shipped.

Bulk commodities made up the majority of the rise at 46.2Mt, helping offset losses in sectors including lumber. That total, too, was an 8.7% rise from 42.5Mt over the same six-month period last year.

The volumes also reflected demand for Canadian commodities by Asian economies and the growing strength of Canada’s economy, officials said.

“In each of coal, grain, potash and containers, we’re at record levels for the half-year,” CEO Robin Silvester said.

“It’s a really encouraging picture and shows the strength of demand for BC [British Columbia] and Canadian natural resources and the ability of the port to meet that demand.”

PMV said coal export volumes hit a record 18Mt in the half, up 9% from 2012’s comparable half. That result was achieved despite still-slumped prices and the long-down market.

“What we have seen to the mid-point in 2013 is continuing strong demand for Canadian natural resources, with all the major economic benefits that provides for the local and national economy," Silvester said.

“We also continue to focus on environmental improvement and engaging with local communities most impacted by a busy and growing port.”

Scotiabank economist Patricia Mohr told the Vancouver Sun that record exports of steelmaking coking coal from Australia and the US, along with Japan’s demand slowing had been part of what pushed prices down.

Mohr, in a new Commodity Price Index report, noted world prices were down to $145/t in the second quarter, down from the first quarter’s $175.

However, she said, PMV customers were not put off by the reduction and continued shipments at record pace.

PMV is North America's largest export port by tonnage, and trades $172 billion in goods annually with more than 160 trading economies.

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