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SHIPPING ADVANCES IN 2014






                                 The year 2014 proved to be exceptional for shipping at   and domestic applications since that time. With
                                 the Port. With 230 vessel calls in 12 months, the Port   worldwide demand for bulk coal estimated over three
                                 exceeded its total for a single year in its 82-year    billion tons over the next five years, the Port is poised
                                 history. The increase in vessel tra c is a combination   to participate in providing just a small amount of the
                                 of factors beginning with the recovery of the global   global demand. Bulk sulfur, calcined clay, petroleum
                                 recession, which has triggered a demand for increased   coke, beet pellets, hay cubes, bulk nitrogen products,
                                 construction materials across the United States. Most   iron ore and many other commodities have been
                                 notably is a marked increase in steel products used in   exported to more than 55 countries through the Port
                                 heavy construction projects. Products such as steel    since 1952. Overall, the Port has experienced an
                                 beams and pipe in large and small diameter, rebar,     increase in tonnage to more than four million tons —
                                 tubing, channel and coils of finished and unfinished     the highest level in 10 years.
                                 banded steel are all required materials, leading the
                                 way as new construction projects continue to rise.     The Port’s core business model is to support local and
                                                                                        regional agriculture. To complement this, imports of
                                 A resumption of imports of bulk cement is on the       nitrogen products used as fertilizer has continued to
                                 horizon and in December 2014, the Port received        grow. The Port provides logistical services to more
                                 its first import vessel in more than five years. The     than 90 percent of farms situated in the greater San
                                 combination of these materials clearly indicates the   Joaquin Valley as well as portions of Kern County. As
                                 economy is on the rebound and is expected to           commodities movement continues to rise at the Port,
                                 continue moving forward. New products such as bulk     maintaining and improving upon exiting transport
                                 barite used in drilling operations, bagged urea as a   facilities is crucial. Recent improvements in railroad
                                 nitrogen source for crop production, as well as bulk   capacity pushed over 90,000 rail car moves in 2014.
                                 gypsum for fertilizer and soil conditioning are adding   This improved rail capability will provide future growth
                                 to the Port’s commodity mix with significant benefit.    opportunities as the Port continues to develop
                                 On project cargo opportunities, Tesla Motors imported   business on the West Complex. Overall, the Port is
                                 a complete vehicle assembly line from Italy for delivery   strategically aligned to continue its shipping successes
                                 to their assembly plant in Fremont, California through   well into the future. The Port is “running on all
                                 the Port.                                              cylinders” and shipping operations should continue
                                                                                        their upward rise well into 2015 and beyond.
                                 On the export front, the Port celebrated a milestone
                                 in 2014 by hitting its two millionth ton of bagged rice.
                                 In addition, increases in low-sulfur coal tonnage that
                                 passed through the Port also surged during 2014. The
                                 Port exported its first cargo of bulk coal in 1981 and   MARK C. TOLLINI
                                 has continually handled bulk coal in both international   Senior Deputy Port Director




       Operational E ciency                                                                                                                   09
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