At the National Association of Steel
Pipe Distributors' 2006 Annual Convention last week, many important people in the world of steel gathered to discuss the market. Among the presenters at the conference was Port of New Orleans manager Jim Reese.
The Port of New Orleans, the number one port in the country, is essential to the transportation sector of the steel industry. Mr. Reese shared with the attendees how he sees the port recovering after Hurricane Katrina in his speech, "New Orleans Post-Katrina: The Restoration and Return of a Great American Steel Port."
Mr. Reese assured the audience that although thirty percent of the Port's capacity was demolished in the storm, the remaining seventy percent is operating at full capacity. He mentioned that vessels started coming back into the Port only ten days after the storm.
The problem the Port experienced after the storm and continues to experience, is the labor problem. Most truck drivers that worked for the Port left New Orleans after their homes were destroyed, or were hired by FEMA to pick up debris. Most dock workers lost their homes in the hurricane as well and have since been living temporarily on cruise ships paid for by the government.
Despite this major problem, Mr. Reese insisted that the Port's role will not be reduced, as it is too important to the American economy, including the steel sector.
"The metals market would go absolutely haywire overnight," said Mr. Reese of what would happen if the Port were to close.
He believes that in time, the labor problem will be resolved as the city starts to rebuild.
He also mentioned that he does not think that the controversial sale of US ports to a Dubai-based company will pose a serious security threat, since none of the Port practices will actually change.
Mr. Reese's main message to the audience was that all will be well at the Port of New Orleans, given a certain amount of time.
"The thing we need the most is patience," said Mr. Reese.