In a remarkable development, plastic resin exports through the Port of Savannah have experienced a significant surge, doubling in Calendar Year 2022 compared to the previous year. The volume reached an impressive 36,000 twenty-foot equivalent container units, reflecting the port’s increasing prominence in the resin export industry. Resin pellets, derived from natural gas refining, serve as crucial components for over 70,000 products.
Cliff Pyron, Chief Commercial Officer for the Georgia Ports Authority (GPA), highlighted the reasons behind Savannah’s attractiveness as a resin export gateway. He stated, “Savannah is an attractive gateway for resin exporters because its broad ocean carrier network offers greater global coverage, and there is ample inventory of empty containers.” The Port of Savannah stands out among major plastic resin export terminals in the country, providing extensive services to numerous destinations worldwide. With 35 weekly vessel calls, it serves ports in Central America, Africa, the Mediterranean, Europe, and Asia.
Pyron also emphasized the advantages offered by the port, including efficient terminal services, a streamlined container receiving process, and a nine-day receiving window for exports. He further added, “The ease of doing business in Georgia, our supply chain capacity, and GPA’s rock-solid service reliability make Savannah a hub port that logistics managers can depend on.”
Alex Buck, Group President of Quantix Supply Chain Solutions, praised the cargo fluidity at the Port of Savannah’s Garden City Terminal, stating that it compares favorably to other resin export terminals. Buck explained, “We find that our East Coast ports allow more truck turns a day as compared to our other port locations, which is extremely beneficial for our operations in the area.” Truck drivers in the Savannah region can complete up to six turns a day, enabling 12 container moves—six loaded boxes into the port and six empty containers out. The Garden City Terminal offers truck access seven days a week.
The Port of Savannah stands out for its impressive import container processing capacity, surpassing that of any other port in the U.S. Southeast and Gulf Coasts. This results in a higher availability of empty containers for outbound cargo and allows for greater export load space on ships. Buck noted, “The availability of empty containers is one of the main reasons our customers want to be at the Port of Savannah. Customers chase empty containers so they can get their product out as quickly as possible.”
Notably, Quantix Supply Chain Solutions and Plastic Express, operating in the Savannah area, cater to a significant portion of the plastic resin producers and traders in the market. The current near-port warehouse capacity for plastic resins amounts to 1.6 million square feet, with an additional 1 million square-foot warehouse scheduled to come online in January 2024.
Ray Hufnagel, President and CEO of Plastic Express, described the decision to open operations in Savannah as an easy one. He stated, “The impressiveness of the Port of Savannah’s operations along with Georgia’s welcoming business climate made Savannah the clear and obvious choice for us.” Hufnagel highlighted the access to Class I railroads CSX and Norfolk Southern via shortline carrier Georgia Central, which extends the company’s reach to customers across the U.S. Southeast.
The efficiency of the logistics network, both on and off the terminal, played a crucial role in attracting Quantix Supply Chain Solutions to Georgia. Alex Buck, Quantix Group President, explained, “We were drawn to the Savannah market and GPA due to the structure of the port operations, amount of empty containers to be used for exports, vessel services, as well as the weight allowance of 100,000 pounds gross vehicle weight.” Buck also praised the partnership with GPA, describing it as a major factor in their decision.
Benefiting from the highest truck weight allowance in the Southeast, resin exporters in Georgia can load containers to the maximum payload of nearly 30 tons. Greg Van Brunt, GPA Regional Sales Manager, expressed confidence in Savannah’s ability to handle additional resin volumes. He highlighted the advantage of serving both Norfolk Southern and CSX railroads, stating, “That dual service is important because the local transload facilities can accept shipments with greater efficiency and lower cost than if they were served by only one of the railroads.” Additionally, Georgia’s gross vehicle weight allowance of 100,000 pounds, combined with Savannah’s terminal efficiency, enables operators to maximize trucking capacity.
Chief commercial officer Pyron revealed that CMA CGM, Hapag Lloyd, MSC, COSCO, Evergreen, and ZIM were the top ocean carriers for resin exports via Savannah during CY2022, with all experiencing substantial year-over-year growth. Shanghai and Antwerp emerged as prominent export destinations for Quantix customers. Moreover, plastic resin exports from Savannah witnessed significant container growth in key markets such as India, China, Turkey, Belgium, and Spain, underscoring the expanding global reach of the port.
The Port of Savannah’s remarkable performance in plastic resin exports reflects its strategic advantages, robust services, and reliable infrastructure. With increasing demand and future expansion plans, Savannah is poised to maintain its position as a leading hub for resin exports, further contributing to Georgia’s thriving business climate and the global resin industry.
