The Upstate region of South Carolina has been called one of the fastest growing areas in the nation. The real estate adage which states that “location, location, location” is the key to successful business rings true for the business owners, corporations and residents who call the area home. In recent decades the Upstate region has experienced tremendous economic growth and a subsequent influx of families relocating to the region. Some attribute the Upstate’s placement between Atlanta, Georgia and Charlotte, North Carolina, its closeness to beaches and resorts, and to a scenic landscape that covers every almost every geographic need imaginable from mountainous terrain to urban areas to this growth. According to the South Carolina State Ports Authority (SCSPA), a large percentage of the surge of development in the Upstate region is also directly correlated to the proximity of the area to the Port of Charleston. The SCSPA owns and operates the public seaports in Charleston and Georgetown and was established in 1942 by the stare’s General Assembly to foster economic development trough international trade.
Lawmakers in the state claim that the Port of Charleston is rapidly becoming the premier port along the Southeastern Interstate 85 corridor. Each year over 20,000 companies nationwide use the Port of Charleston to connect with global markets. Goods shipped through the port have a total value of approximately $50 billion per year which equates to annual payments of over $600 million in duties to the General Treasury. Although Port of Charleston has the deepest channels on the South Atlantic coast and business for the Port of Charleston is growing steadily with container volume growing 17% in 2010, competition remains a concern in the port business from states such as Virginia and Georgia In addition to competing markets, container and cargo ships are constantly evolving and getting larger, as a result deeper channels are required to accommodate the changes in technology and to better manage the cargo going through port. Because of this need, earlier in the year the SCSPA announced a 10 year $1.3 billion capital investment program to facilitate anticipated increase in businesses for the port. The cost shared project between the federal and state governments and the SCSPA would include building a new terminal at the former naval base that will boost total container capacity in the port by 50%, improvements such as IT systems updates, the obtainment of new equipment to handle operations, and the deepening of the current channel.
According to SCSPA Vice President of Marketing, Public Relations and Planning, Byron Miller, the proposed port changes are necessary to increase the global positioning of the Port of Charleston and increase the economic viability of state of South Carolina. Governor Nikki Haley told the SCSPA that South Carolina is in the “unique position to lead the nation in economic development” with the deepening of the Charleston port and that one of the main points in recruitment efforts to bring business to the state surrounds activity at the port. While the entire state is impacted positively by the port, the Upstate area appears to have the most influence on and benefits from the Port of Charleston. In the state the economic impact from port activity over is close to $45 billion. Of that sum, $21.4 billion is related to Upstate business. In addition, of the 260,000 jobs affiliated with port services, 112,700 of those jobs are based in the Upstate. To further emphasize the point, when Charleston Mayor Joseph Riley discussed the proposed port expansion he stated that the potential economic gains of the project is the equivalent of bringing another Boeing or BMW to the state.
According to Jerry Howard, President and CEO of the Greenville Area Development (GADC), his organization and the entire business community in the Upstate support the Charleston port expansion. He says that the expansion would allow for companies that are currently not engaging in trade to begin which will foster new opportunities for increases in profit and production. Howard states that the expansion will also lead to job creation and an increase in global exposure to the state and region. The GADC works with business and community leaders and government agencies to accelerate growth in the Upstate and supports key initiatives to further the area’s economic growth.
Richard Blackwell, Vice President of Upstate Alliance says that the port expansion is critical because it is part of a continued effort to make the area competitive. The Upstate Alliance works to create a “powerful brand” for the Upstate region that will attract investment to the area. Blackwell states that the port and its expansion is a major selling point for his organization. Blackwell adds that the potential for increases in shipping and receiving of goods from the Port of Charleston expansion can only benefit the economic opportunities in the Upstate. The SCSPA reports that Charleston is the best buy in the nation for harbor deepening when compared with other national ports, if this is true, the expansion promises to be a great sell for the already booming Upstate region of the State of South Carolina.