Since 2017, Brandy Christian has served as president and CEO of the Port of New Orleans, the nation’s 10th largest port in general tonnage, 17th largest container port and sixth largest ocean-going cruise port. It’s an impressive operation but one that has been losing ground over the past 30 years to other Gulf of Mexico ports like Houston and, even, Mobile, Alabama.
Which is why Port NOLA is planning for a new $1.8 billion international terminal downriver in St. Bernard Parish that, when completed perhaps as soon as early 2028, will enable the port to service oceangoing vessels nearly twice as large as those it services from its facility on Tchoupitoulas Street.
The project comes as the state’s port systems are under scrutiny from state lawmakers, concerned about the competition and lack of coordination among them. In this week’s Talking Business, Christian discusses the need for a more coordinated planning and economic development strategy and why she believe the redevelopment of the old Avondale site is in everyone’s best interest.
Interview has been edited for length and clarity.
What is the latest on the container terminal project in Violet?
We are currently in the Army Corps of Engineers permitting process, which typically takes three years and we have been in it now for 18 months. We are conducting all the various studies that can be conducted, continuing to work with the community and moving forward with partnerships with a number of workforce development groups. So, if it takes three years, that would put us breaking ground in 2025, with phase one being completed in early 2028.
There are still environmental concerns from some in the parish. Are you worried that will derail the process?
That was the most important piece for us and why we started the process of community outreach from the beginning — to engage the community on what are the concerns, what are the issues, what are the opportunities. Any project of that size will have concerns, questions, confusion about the impact. We have been able to take a lot of that feedback and incorporate it into the design of the terminal and planning process. At the end of the day, they really want a seat at the table and what we are hearing is a real desire for economic development and job creation.
Last fall, you secured a key piece of funding for the project. Where will the rest come from?
Our public private partnership, which is with TIL and Ports America, has committed a minimum of $800 million. The port itself will bond $500 million from our revenue base and the remainder will involve working with the state and federal grants. As we phase the construction, we will also look at additional bonding if necessary, based on revenue.
Is this project too little too late? Will it help it catch up to Houston and Miami and Mobile?
The competitiveness of container ports is based on economic development. A port is fed by the cargo that is generated by the manufacturers and retailers. Where Mobile has surpassed us is in being very aggressive in attracting manufacturers that feed cargo through the port of Mobile. They also invested in the port to make sure it had the infrastructure to handle that cargo. What we need to be competitive with Mobile and others is to attract the manufacturers. It’s not just having the port infrastructure. It’s partnering with the state to attract manufacturers and then making sure we can serve them.
How are supply chain issues affecting port operations?
The supply chain model has significantly changed and in ways that favor Louisiana. Ten years ago, a major retailer like Walmart picked one gateway, like Long Beach. So you had one bite at the apple. Now, because of supply chain congestion and natural disasters, retailers are looking for alternative gateways and multiple gateways. We can service them and have the infrastructure with rail and trucking. And they see now, with our International Terminal, that in five years we’ll be able to serve the large, deep-draft vessels.
Will it be too late in five years?
No. We will be able to take vessels in the 12,000-18,000 TEU (20-foot equivalent unit) range. That’s about what Houston does. Mobile can do a little bigger. The largest vessels, 20,000 TEU and above, don’t come into the Gulf of Mexico anyway. Right now, we do mostly 8,000 TEU to 12,000 TEU vessels so this will get us competitive with Houston and Mobile, and that is really what we need — to stay on the same trajectory with them. The bigger jeopardy is what we lose if we don’t do something. Our studies have shown we lose 10,000 jobs in five years if we do nothing.
There are currently three bills in the Legislature aimed at bringing our many ports systems under one board or a more centralized leadership structure. What are your thoughts on that?
Any conversation about investment in ports and state economic strategy is an important conversation to have because whatever we do should be rooted in best practices. We should always improve and it should always start with more coordinated master plans. There are finite federal and state infrastructure dollars and the more we can leverage them the better.
Would the state be better served with fewer ports?
You could slice it in different ways. We’re a small state but there is a lot of activity and there are niche opportunities for different ports. We need to begin by setting as strategy with a coordinated master plan then follow that strategy. But we have not taken a position yet on any of the bills.
But it is easy for Port NOLA to say we need better planning when y’all are the big dog and now building this new terminal in Violet.
We did have conversations about Violet. We identified a downriver terminal in our master plan and then we looked at sites in St. Bernard and Plaquemines. We have had those conversations since day one. And we partner with the Port of Baton Rouge in container-on-barge projects and apply for grants together.
Given recent developments and closer scrutiny of the Port of South Louisiana’s controversial deal to buy the former Avondale site, what is Port NOLA’s position on the project?
Avondale is an extremely important asset within our jurisdiction. Jefferson Parish is extremely important within our jurisdiction and portfolio. It’s a unique asset with acreage and waterfront. It has its challenges for redevelopment … But we are confident a redevelopment will happen.
Would Port NOLA like to be a part of that if the Port of South Louisiana’s deal falls through?
We would love to be part of that redevelopment because when you look at Jefferson Parish, the East Bank is developed. The West Bank is the only opportunity for us to expand, particularly with the New Orleans Public Belt Railroad, to be able to increase our operations and bring value to Jefferson Parish. … If for some reason this deal doesn’t work, we will do everything to make sure Avondale is successful.
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