Trends in global shipping and the impact on Alaska's forest products

Traditionally, there has been a strong forest products trade between Alaska and Asia. This trade relationship has developed owing to Alaska's proximity to Asia and, in the past, an abundance of high-quality timber. Although forest products markets in North America remain soft, markets in Asia are growing. However, to benefit from Asia's growing forest products market, it is important to understand the concepts of global shipping including containerization, intermodal transport, non vessel operating common carriers, and freight forwarders. One key development that could have a major impact on Alaska's forest products trade is the opening of the Port of Prince Rupert (British Columbia) in 2007. The Port of Prince Rupert ships lumber, logs, and wood pellets to Asia and is much closer to southeast Alaska than are the ports of Seattle and Tacoma. The Prince Rupert port is also 1 day closer to Asia. Despite Prince Rupert's proximity to Alaska, however, there is still no regularly scheduled barge service between the Port of Prince Rupert and southeast Alaska. Potential connections that may develop are examined in this paper. This paper also examines the changing concepts of global shipping and how they affect Alaska's forest products industry.