Vancouver joins DP World to expand intermodal links to Detroit, US Midwest

PORT Metro Vancouver is to build facilities for intermodal cargo bound for the US Midwest with Canadian Pacific (CP) and Canadian National (CN) links to be supported by DP World Vancouver land acquisition.

The arrangement is said to offer competitive transit times and rail rates to destinations as far as Detroit, Kansas City and Minneapolis, of which boasts a day faster than imports via US west coast, said DP World Vancouver's general manager Matthew Hoag who aims to increase capacity to 60,000 TEU through a land acquisition deals with CN and CP.

"We are promoting their rail services and offering financial incentives to use them, such as rebates," he added in order to boost the four per cent market share of intermodal cargo to the US Midwest.

The move is further cemented by the Canada Transportation Act, which is reviewing the overall picture of container cargo travelling by rail from ports and in particular dwell times, which improved by 30 per cent in 2011 at Port Metro Vancouver.

Despite the siphoning of cargo by its neighbouring port of Prince Rupert, estimated to be as much as 200,000 TEU to 250,000 TEU it maintains it is both competitor and collaborator. Port CEO Robin Silvester said Prince Rupert admits to a "love/hate relationship with Prince Rupert which shares a similar business model.

"We both work together with the government on the gateway strategy and collaborate on this," he said, adding that they hope to increase cargo volume four per cent by year-end.