by Bradley Parsons
Staff Writer
The Jacksonville Port Authority’s bid to become Mercedes-Benz’ exclusive regional shipper received a boost last week when it received a State loan to build an auto processing plant.
The port is competing with Brunswick’s port authority to become the home of Mercedes’ consolidated shipping operations in the Southeast. A processing plant dedicated to outfitting Mercedes cars when they roll off the ships is seen as a key part of Jacksonville’s bid. The low-interest State Infrastructure Banking loan should pave the way for that facility’s construction if Mercedes chooses Jaxport.
Mercedes currently ships through both Jacksonville and Brunswick but is expected to consolidate in one of the ports next year. Port officials already considered their port well-positioned to snag the luxury car maker’s business due to its easy access to a pair of interstates and three railroads. They hope the processing plant will be the last piece of the puzzle.
“All we need now is the nod from Mercedes,” said port executive director Rick Ferrin in a letter to Mayor John Peyton. “I’m optimistic about getting it by year’s end.”
Port spokesperson Robert Peek was more guarded in his assessment. He wouldn’t speculate on whether the new plant would put Jacksonville in the lead to snare Mercedes. But he acknowledged that such facilities are “one of the really key factors” automakers examine when deciding where to ship.
Although Jaxport strives for diversity in the cargo that passes through its docks, car shipments are particularly attractive because of the jobs, wages and other revenue they bring with them.
A recent study by a national consulting firm found that importing and exporting vehicles through Jaxport creates 2,080 jobs and $152 million in wages and other spending. Pennsylvania consulting firm Martin and Associates, which specializes in reviewing the port and maritime industries, found that nearly half those jobs are directly involved in moving the vehicles through the port; jobs like truck drivers and longshoremen. Another 1,100 jobs are owed to support jobs like maintenance or parts and equipment suppliers. The auto shipping industry also spent more than $140 million on the services of local businesses.
The authority slipped a bit last year in the number of cars shipped through its docks. That was primarily due to auto shipper CLOVIS’ decision in 2003 to ship about 130,000 Kias and Hyundais through Brunswick instead of Jacksonville. Jaxport still handled more than half a million cars and trucks last year, making it one of the country’s largest auto shippers.