Handling new challenges
Faced with reduced volumes, The Terminal Corporation is adapting at the Port of Balitmore
Scott Menzies, IFPTA Secretary / Treasurer
President & CEO, The Terminal Corporation
Published: June 30, 2011
After 22 years of operating a 23-acre lumber transload yard in the backyard of the Port of Baltimore, The Terminal Corporation is throwing in the towel. We will move out at the end of this year.
Three years ago we were handling 35,000 cubic meters a month of imported lumber from the Europe. Today, the volume is 3,500 cubic meters every six months. That’s less than one tenth of the volume just three year ago.
Reduced demand, reduced volumes
The big volumes of the past were part of the demand for dimensional lumber for a soaring housing market. Today, all the EU imports are high-grade boards for the home center and do-it-yourself markets.
It could be called inevitable. No housing market … no lumber demand … no need for a rail transload yard. For the transition, we will use other existing facilities to handle the reduced volumes.
So what is moving? We are still seeing a steady volume of imported plywood, moldings and some decking. Again, most of these imports are going into the home center businesses. A good deal of the imported plywood from China is cabinet grade plywood going to various producers and the home centers.
The only thing creating any demand on the lumber side of the industry is the unwanted natural disasters; the earthquakes, tsunamis, tornadoes, and unprecedented fires.
Most economic pundits are predicting at least another four years of low housing starts in the US market. Other global economies appear to be in much better health though, particularly Brazil.
Improving the flip
A challenge for our industry is the increasing volumes of plywood moving worldwide in containers. Most shippers load plywood in what we call a “pin wheel” configuration. This allows the shippers to optimize the weights and cubes of the container.
But there are some downsides to this configuration. Because of how they are loaded, half of the plywood bundles are situated on their side, often with no runners on the bottom. The receiver must then “flip” these bundles back to their normal handling and storage positions, remove the side runners and install bottom runners.
We are exploring the best way to automate this flipping and runner installation process with a few materials handling companies and some shippers. The end result should be faster unloading, safer re-positioning techniques, and less damage to any sheets or bundles due to the flipping process.
Despite how little or no damage results from the flipping exercise, I have to believe there is a better way. We would welcome any thoughts or suggestions from the IFPTA community on they are currently managing this process. Together, we can improve this handling technique for the industry.
See you in Amsterdam.
Scott Menzies, President & CEO of The Terminal Corporation, is the Secretary / Treasurer of the IFPTA. Scott can be reached at smenzies@termcorp.com.
