Great Lakes Ports May Handle Preference Cargoes Under Program

Great Lakes ports now have a better opportunity to compete for government-generated agricultural commodity cargoes, MarAd's Albert J.

Herberger announced today. "Our new trial program will help Great Lakes ports compete for additional cargoes they would not otherwise be eligible to receive," Adm. Herberger said. "This is good for the region, and good for the country." For both economic and defense reasons, cargo preference laws help maintain U.S.-flag merchant shipping by requiring the use of U.S.-flag vessels for a portion of the cargoes generated by the government.

Great Lakes ports have not been able to handle preference cargoes because there currently are no U.S.-flag shipping services out of the Lakes to overseas destinations, Adm. Herberger said.

During the ongoing shipping season, MarAd will allow agricultural commodity preference cargoes to be loaded initially on foreign-flag vessels at U.S. Great Lakes ports for the trip along the St.

Lawrence Seaway. The cargoes will then be transferred to U.S.-flag ships for the ocean portion of the trip to foreign destinations.

MarAd is implementing the trial period by publishing amendments in the Federal Register to its cargo preference regulations. The trial period will remain in effect this year for as long as the St. Lawrence Seaway System is open.

Other stories from September 1994 issue


Maritime Reporter

First published in 1881 Maritime Reporter is the world's largest audited circulation publication serving the global maritime industry.