The Northwest Seaport Alliance (NWSA) launches a comprehensive cargo and service incentive program, with a focus on enhancing international container rail cargo volumes and refining service delivery within the Seattle and Tacoma harbours.
With an allocated budget of US$11 million, the program aims to boost intermodal cargo volumes, enhance vessel schedule reliability, and expand marine terminal operations.
Approved by the Managing Members on 2 April, these incentives have been strategically tailored to meet market demands and are earmarked to support specific stages of the supply chain. Commencing on 1 May, the incentives encompass the Voyage Consistency & On-Time Arrival Award Program, the International Container Rail Cargo Incentive, and a Gate Operations Incentive.
“The Northwest Seaport Alliance is committed to providing best-in-class service for shippers, which requires partnership across multiple supply chain stakeholders. By incentivizing increased rail cargo, on-time vessel performance, and marine terminal gate consistency, we can better serve our import and export customers and the local trucking community who utilize our gateway,” stated Kristin Ang, port of Tacoma commission president and NWSA co-chair.
Voyage Consistency & On-Time Arrival Award Program: In an endeavor to foster consistency and punctuality, which bring about advantageous outcomes for cargo fluidity and capacity downstream, the NWSA will incentivize ocean carriers to maintain dependable voyage schedules. With a total reward pool of US$1 million, the top three ocean carriers meeting the program’s consistency standards will receive public recognition and may qualify for cash rewards ranging from US$200,000 to US$500,000.
International Container Rail Cargo Incentive: With an allocation of US$8 million, this incentive aims to stimulate intermodal rail cargo transportation to and from inland US markets. The NWSA will offer US$100 per lift for incremental year-over-year rail volumes within our gateway. Intermodal cargo utilizing both BNSF and Union Pacific railroads is eligible, including cargo transported via inland rail hubs linked to the NWSA gateway.
Gate Operation Incentive: Recognizing the pivotal role of gate operations in ensuring seamless cargo flow, improving the trucker experience, and minimizing the impact on nearby port communities, the NWSA will designate US$2 million to streamline terminal operations by implementing five-day-per-week gates and extending gate hours. Marine terminals that maintain consistent gate hours and offer extended gate services will be eligible for funding.
Building upon the success of the 2023 Rail Incentive Program, which facilitated more than 54,000 lifts and accounted for 15% of the international intermodal rail volume in 2023, this program seeks to further enhance intermodal rail cargo transportation. The NWSA will vigilantly oversee the performance of the incentive program and assess the possibility of its continuation in 2025.
