The Panama Canal is expected to be widened in 2014, and when it is, Florida needs to be ready.
That was the message, at least from business leaders Tuesday gathered at the Florida Chamber of Commerce's annual Future of Florida Forum in Orlando.
A wider canal will allow larger cargo ships to cross from the Pacific Ocean to the Atlantic Ocean. Florida, of course, would like to see one of its ports be the primary destination for those ships. The consequences for missing out on such an opportunity could be staggering for Florida's economy.
"If the port of Miami isn't at 50 feet, those vessels will go to Freeport (Mississippi) and $1 billion in annual wealth will be lost," said Bill Johnson, director of the Port of Miami.
Johnson was referring to the minimum 50 feet of depth a port needs in order to handle the large ships ports intend to lure. Of Florida's 14 ports, none currently is deep enough to handle the cargo ships that will be sailing through the Central American isthmus, he said. Just two -- Miami and the Port of Jacksonville -- have plans to deepen their waters by the time the improvements to the Panama Canal are made.
Port Manatee, just south of Tampa, nevertheless has taken huge strides to improve its facilities in anticipation of the canal widening and hopes it can compete, too.
Florida also needs to improve its transportation infrastructure. Dockside railways that could allow goods to access markets up and down the East Coast would entice shippers to consider docking at Florida ports, instead of other ports along the Gulf Coast, such as New Orleans.
While Florida is usually considered the end of the line for products in the domestic market, a more positive note was struck Tuesday, with some touting the state's potential as a hub for global trade.
"Florida is going to be at the center of these North-South, East-West trade flows. If we can combine the domestic market with global commerce, the future of Florida could be really quite great," said John Kaliski, principal at Cambridge Systematics Inc.
Business leaders will also be looking for political support to help tempt ships to Florida. Tax breaks, targeted incentive packages and presenting the state as an interconnected part of a thriving region are seen as keys to pulling the large cargo ships away from other ports.
Ultimately, however, Florida may want to focus on streamlining the shipping process and keeping costs down, because it's the bottom line that speaks loudest.
"Focus on shippers and steamship costs, as well, to leverage Florida's cost advantage. That's what's going to pull the ships in," Kaliski said.
Reach Gray Rohrer at grohrer@sunshinestatenews.com, or at (850) 727-0859.
