Port Everglades Celebrates Upswing in Cruise and Cargo Business

Friday, 06 January 2012

Cruise travel celebrated a banner year at Broward County’s Port Everglades in Fiscal Year 2011 (October 1, 2010 through September 30, 2011) and containerized cargo climbed to its highest level since the global economic downturn in 2009, according to recently released year-end statistics for the South Florida seaport. Multi-day cruise passengers, those sailing on cruise ships that go out for more than one night, reached a record 3,664,103 in FY 2011, a 10.6 percent increase from 3,314,208 in FY 2010. The total number of passengers, including single-day and multi-day, was 3,952,843 in FY 2011, up 7.6 percent from 3,674,226 passengers in FY 2010. Cruise traffic generated a record $56.7 million in revenue for FY 2011, which is 24.1 percent higher than in FY 2010. Royal Caribbean International’s introduction of its second year-round 5,400-passenger Oasis-class ship, Allure of the Seas, in December 2010, contributed significantly to the increase in multi-day passengers at Port Everglades. Thirteen cruise lines offered services at the Port in FY2011 via a 55-ship cruise fleet, including Carnival Cruise Lines, Celebrity Cruises, Costa Cruise Lines, Cunard Line, Discovery Cruise Line, Holland America Line, MSC Cruises, P&O Cruises, Princess Cruises, Regent Seven Seas Cruises, Royal Caribbean International, Seabourn, and Silversea Cruises. Containerized cargo activity increased approximately 11 percent in FY 2011 to 5,787,961 tons and 880,999 TEUs (20-foot equivalent units which is the standard measuring tool for containerized cargo), up from 5,216,831 tons and 793,227 TEUs inFY2010. Revenue from containerized cargo increased by 7.4 percent in FY 2011 to $31.7 million from $29.5 million in FY 2010. In FY 2011, export activity exceeded imports at Port Everglades, accounting for 57.9 percent of the loaded TEU activity. The Port’s primary trade lanes are in the regional Caribbean, Central America and South America markets, representing nearly 83.9 percent of the Port’s cargo movements. Of that amount, 39.4 percent of the Port’s containerized cargo volume was destined for Central America where Port Everglades dominated all U.S. seaports, with 17.5 percent of the entire Central American market. There are 22 container shipping lines that maintain regular service at the Port, providing service to over 200 ports in 129 countries. FY2011 also saw the opening of a new 25-acre cargo terminal operated by SeaFreight Agencies with a 10-year agreement. Petroleum activity, the third largest source of revenue for Port Everglades, decreased by 1.0 percent in FY 2011 to 108,262,845 barrels from 109,380,437 barrels in FY 2010 due to a decline in consumer demand. (One barrel, the standard measurement for petroleum throughput, equals 42 gallons.) Twelve petroleum terminal operators receive refined product across Port docks to their privately-owned storage facilities within the Port Jurisdictional Area. Gasoline arriving at the Port is transported via tanker truck to gas stations in the twelve counties of southern Florida.  Jet fuel is also delivered from Port Everglades to Palm Beach International Airport by truck and by pipeline to Fort Lauderdale-Hollywood International Airport and Miami International Airport. Petroleum products handled at the Port include asphalt, diesel fuel, gasoline, residual fuel oil, jet fuel, propane, crude oil and alternative fuels such as ethanol and biodiesel. Total waterborne commerce, as measured in short tons (2,000 pounds) and including all cargo that crosses the docks, reached 22,087,515 tons, which is a 2.1 percent increase over the 21,640,144 tons recorded in FY 2010. Operating revenue at Port Everglades also reached a record high of $139.2 million in FY2011, which is 11.6 percent higher than the Port’s previous record high of $124.7 million achieved in FY 2010, while the Port’s Gross Operating Margin increased by 26.6 percent. This was accomplished by holding expenses flat in spite of increased volumes.