The Northwest Seaport Alliance (NWSA), a partnership of the ports of Seattle and Tacoma in the United States, launched its 2023 Rail Cargo Incentive Program aiming to drive growth and cost-effective operations in the Pacific Northwest region.
The program is expected to increase cargo volumes in the gateway while reducing costs to importers and exporters that utilise the NWSA gateway and their rail partners, according to NWSA.
In fact, around half of the import cargo that moves through the NWSA gateway is bound for destinations outside of the Puget Sound region, primarily the Midwest.
Additionally, the 2023 Rail Cargo Incentive Program will provide a US$50 incentive per rail move for eligible rail volumes moving through the gateway beginning on 1 May 2023.
The program is expected to generate approximately 60,000 additional rail lifts, equivalent to roughly 15% of NWSA international intermodal lifts in 2022.
The initial investment will total US$3 million in incentive funding, with the option of extending the program beyond April 2024.
“As competition in the shipping industry intensifies with current market conditions, the rail cargo incentive program is an important tool to help attract additional cargo volumes that provide critical jobs for maritime workers across our gateway,” commented Sam Cho, co-chair of NWSA.
Managing Members approved the 2023 Rail Cargo Incentive Program at their 4 April Managing Member meeting.
