Sceptics in the traditionally "show-me" State of Missouri have battered the "big idea" of a China air cargo hub at St Louis airport, but heavy weights from two chambers of commerce have staged a counter-attack in the pages of the St Louis Post Dispatch.
Steven Johnson, vice president for economic development for the St Louis Regional Chamber & Growth Association and Daniel Mehan, CEO of the Missouri Chamber of Commerce, have blasted critics for underhanded motives in trying to stymie the plan.
The plan, which critics call a costly boondoggle, calls for regular air cargo flights from China using St Louis and an intermodal base for north and south American, opposing the view that they will be outclassed by already busy Chicago and Dallas airports which are supposedly better suited to handle any influx in trade. Writing in the South Missourian newspaper, conservative think tank member Andrew Wilson of the Show-Me Institute fellow said: "If setting up a Midwestern cargo hub at Lambert is such a great idea, why has the sensible money stayed on the sidelines? Why does the hub need tax credits or other government guarantees to attract investments for upgrades, retrofits or new construction for refrigeration?
"Over the past several years, we have seen many examples of much touted job creation and pump-priming economic schemes, at the federal as well as the state level - everything from Cash for Clunkers to the massive $787 billion stimulus bill," Mr. Wilson said. As it stands, there will be three flights a week from China carrying cargo to St Louis, and three return flights. China Daily reported that flights would bring agricultural goods and other products from the US Midwest to China.
Said Mr. Mehan, of the Missouri chamber: "Flights will begin in September. When people see that happening, they will understand that Missouri will be transformed into an international trade hub. It will get a lot of attention not just in the state but in the world." Said Mr. Johnson, of the St Louis chamber: "Recent declarations by two air cargo consultants that no international air cargo hub could succeed are interesting. The naysayers seem to have relationships with airports that might be impacted by our success.
"China is poised to enter the air cargo industry in a major way. Now, just 20 per cent of the goods that China makes and ships via air to the United States are carried on Chinese-flagged airlines. China has announced their intent to increase their market share to 50 per cent, but cannot do so without a major cargo hub or hubs," said Mr. Johnson. "China will also establish an air cargo bridge to link China to Brazil and the rest of South America. Look at a map and you'll see St Louis is ideally located to fill that role. And China, after three years of studying St Louis, is at the table now. It's not a question of whether China will do these things, only whether it will do them in St Louis," he said.
Said Mr. Mehan: "The question is not whether Missouri should invest funds in economic development. The question is how can Missouri best invest? This would allow St Louis to leverage its location. St Louis remains the second-largest inland port by tonnage and the third-largest rail commerce centre in the country. Eighty per cent of US truck and 50 per cent of US rail traffic passes within a 50 miles. Few airport cities can match that."
Source: Shipping Gazette, August 04, 2011 |