Zim America Israeli Shipping plans to move about 10,400 containers a year at the port.
By STEVE HUETTEL
Published August 28, 2003
TAMPA - Tampa's port has landed a major container shipping line with worldwide reach, a significant step in expanding its tiny trade in containerized cargo.
Zim America Israeli Shipping Co., based in Norfolk, Va., announced plans Wednesday to include Tampa in a weekly Gulf of Mexico route that connects to its hub in Kingston, Jamaica. A Zim ship will sail from Tampa each Wednesday starting Oct. 8.
The company expects to deliver and pick up the equivalent of about 200 20-foot containers weekly - or about 10,400 containers annually - according to port director George Williamson. That's peanuts for Florida's big East Coast ports, such as Miami, which handles nearly 1-million containers a year.
But it's an increase of more than 150 percent from the 6,000 that now move through the Tampa port. Unlike current container lines that sail from Tampa to Caribbean ports, Zim provides global connections through its Jamaica hub.
"For us, it's an enormous leap," said Williamson. "Now, you can say "Tampa' and "containers' in the same sentence and not have people laugh at you."
The major beneficiary will be Tampa Bay area companies that move goods in the 20- and 40-foot-long steel boxes. Many must use other Florida or other Southeastern ports with better shipping service and pay about $500 to have each container trucked to or from that port. About three-quarters of the containers carry cargo imported from foreign suppliers, Williamson said.
A group of more than 30 businesses, including Eckerd Corp., Rooms to Go and Ace Hardware, has worked to attract container lines to Tampa's port. The companies ship about 70,000 containers a year.
The Tampa Bay area's potential market is 100,000 containers annually within an hour's drive and 400,000 for a wider stretch of Central and West Florida, said Wade Elliott, the port's marketing director. He says Zim's experience should bring other big shipping lines.
"The industry has a really good track record that once someone gets into a market and it's successful, others are quick to take notice," he said.
The Tampa Port Authority is negotiating with Seattle-based SSA Marine to take over its terminal for containers and "break-bulk" cargo, which includes lumber and steel bars. A non-profit operator has done the job since the mid-1990s.
But port officials have been frustrated that Tampa hasn't broadened its reach beyond bulk cargo - mostly fertilizer, phosphate rock and petroleum - which make up about 90 percent of the tonnage that moves through the port.
SSA, the world's largest private terminal operator, has connections with container lines that the port authority hopes will lead to more service. Container cargo has been the fastest-growing segment of the shipping business over the last two decades.
Under a draft agreement, SSA will bring a large crane for moving containers to the port. Williamson said he expects to close the deal in time for the crane to be in place when Zim arrives.
The Norfolk company is a division of Zim Israel Navigation Co., which calls itself one of the world's largest container lines. The Israeli government owns 48.6 percent of Zim, according to its Web site, with private investors owning the rest.
Tampa will be the first stop out of Jamaica on the new route. The vessel will continue to Mobile, Ala., New Orleans and Houston before returning to Jamaica.
