Port of Kalama Comprehensive Plan

Port of Kalama Comprehensive Plan 

June 1, 2015 

 

Page 29 

Corn also presents a potential growth opportunity.  The volume of corn consumed by 

ethanol production (estimated at 40 percent of the crop) could decline due to the growing 

abundance of U.S. oil production, which could increase the volume of corn available for export. 

Dry Bulk Terminals 

Overview 

Dry bulks can be differentiated by the market area that is served.  Some bulk cargoes 

originate/terminate in distant market areas (e.g. Rocky Mountains, Midwest and Canada) and 

move by unit train.  These are categorized as national/international cargoes.  

National/international cargoes include exports of soda ash (mined in Wyoming), potash (mined 

in Saskatchewan), bentonite clay (mined in Wyoming) and copper concentrates (mined in 

Montana).  Other bulks primarily serve the local and regional markets and typically move by 

truck, although some also move by rail.  These are categorized as local/regional cargoes, and 

include cement, gypsum, aggregates, steel scrap, petroleum coke and fertilizers, among other 

like products. 

Puget Sound ports dominate in local/regional cargoes (particularly cement, aggregates, 

gypsum, cement, scrap and other building materials).  Portland dominates in large-volume dry 

bulks from national/international sources (potash and soda ash).  Lower Columbia Washington 

Ports handle dry bulks from both national/international (bentonite clay, copper concentrates, 

and fertilizers) and local/regional market (cement, aggregates et al).  Oregon Coast exports 

primarily consist of wood chip exports. 

The Port of Kalama does not currently handle these dry bulk products. 

Trends & Forecast 

Pacific Northwest international dry bulk export/import volumes grew rapidly from 2001 to 

2008, reaching a peak of 16 million metric tons.  Volumes declined to around 12 million metric 

tons in 2009, due to the effects of the recession.  After 2009, volumes increased rather steadily, 

reaching 16 million tons in 2014, driven largely by increased export volumes. 

Most of the growth has occurred on the Oregon side of the Lower Columbia River, where 

market share grew from around 42 percent between 2007 and 2012 to 48 percent or more from 

2012 to 2014.  Market shares on the Washington side of the Lower Columbia River decreased 

slightly, from 14 percent between 2007 and 2012 to 13 percent or more from 2012 to 2014.  

Likewise, the market shares in Puget Sound decreased from 44% between 2007 and 2012 to 

39 percent or more from 2012 to 2014.  The market share of the Oregon Coast remained steady 

at approximately 9 percent during both time periods.  (See Figure 14) 

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Port of Kalama Comprehensive Plan 

June 1, 2015 

 

Page 30 

Figure 14 – Pacific Northwest International Dry Bulk Trends (1,000 Metric Tons) 

 

Note:  excludes domestic shipments and receipts 

Source:  WISERTrade 

Baseline dry bulk cargo volumes in the Pacific Northwest are projected to grow at 0.5% to 

1.0% annually from 2014 to 2019, reaching up to 17 million metric tons. 

The baseline forecast includes existing cargoes but excludes new market opportunities.  

There are currently plans for several potential new bulk terminals in the region, including: 



 

Coal exports via Millennium Terminal at Longview, 



 

Coal exports via Gateway Pacific Terminal in Cherry Point (also includes other dry 

bulk cargoes such as grain and potash et al.),  

These projects are currently in the planning stage.  There may also be other products that 

have not been actively sought, including inbound (imports or domestic receipts) and outbound 

(exports or domestic shipments).   

Breakbulk and Neobulk Terminals 

Overview 

Breakbulk traffic includes hand-stowed, palletized, or unitized commodities such as forest 

products (lumber, pulp, paper and plywood, et al) and metal products (aluminum ingots and 

steel products).  In recent years, shipping rates for westbound containers (exports) have been 

low enough to attract some of these cargoes, and this has accelerated the shift from breakbulk to 

containerized shipments.  These products may move in breakbulk or containerized form 

depending upon a number of factors that change over time, and which can alter shipping 

modes.  Neo-bulk cargoes refer to products that require specialized single-purpose facilities 

such as logs and fully assembled automobiles. 

Trends & Forecast 

Pacific Northwest international breakbulk and neobulk export/import volumes remained 

fairly steady from 2000 to 2008, averaging 7 million to 8 million metric tons per year.  Breakbulk 

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Puget Sound

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Port of Kalama Comprehensive Plan 

June 1, 2015 

 

Page 31 

and neobulk cargoes fell to 5 million metric tons in 2009 due to the effects of the recession, 

which significantly impacted consumption of major purchases such as autos and housing.  Since 

then, however, volumes averaged approximately 10 million metric tons per year between 2011 

and 2014.  Steel imports returned to the prior levels and log and auto exports increased 

dramatically.  

Most of the growth has occurred on the Washington side of the Lower Columbia River, 

which saw market share increase from around 35 percent between 2007 and 2012 to 40 percent 

or more from 2012 to 2014.  Market shares on the Oregon side of the Lower Columbia River 

decreased from 22 percent between 2007 and 2012 to 17 percent or more from 2012 to 2014.  

Market shares of Puget Sound / Washington Coast also decreased, from 41 percent between 

2007 and 2012 to 38 percent or more from 2012 to 2014.  The market share of the Oregon Coast 

increased slightly, from 3 percent between 2007 and 2012 to 5 percent from 2012 to 2014.  (See 

Figure 15) 

Figure 15 – Pacific Northwest Breakbulk/Neobulk Trends (1,000 Revenue Tons) 

 

Note:  excludes domestic shipments and receipts 

Source:  WISERTrade 

Future growth in international breakbulk/neobulk volumes is projected to be modest.  

Small increases in steel and auto volumes are likely to be offset by declines in the log export 

market.  

Liquid Bulk Terminals 

Overview 

The liquid bulk trade in the Pacific Northwest is dominated by petroleum, including crude 

oil and refined products.  A variety of other liquid commodities are also handled at the present 

time, but in much smaller volumes (primarily chemicals and fertilizers). 

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