Hamilton to get $75M shipping container hub, boosting trade and cutting local truck traffic

A new shipping container warehouse is coming to Hamilton, which could see several hundred-thousand containers pass through the city’s port each year.

The port authority says the facility will bring down costs for local industry, and make Hamilton a vital part of international trade and it could even mean fewer potholes on Hamilton roads.

Residents may soon be seeing fewer transport trucks on Hamilton roads.

“Less truck traffic perhaps, less GHG emissions, better air quality therefore,” said Hamilton Mayor Andrea Horwath, “and maybe even, wait for this one, maybe even fewer potholes.”

That’s because a Hamilton company is now one step closer to setting up an international shipping container warehouse, and the rail line to transport them.

The Hamilton-Oshawa Port Authority (HOPA) says the federal government’s approval in principle of the project set for the city’s north end will make Hamilton a vital hub for international shipping, and lower the cost of sending and receiving goods for local companies.

“Certainly every container that’s handled through this facility is cheaper than it’s handled today,” said HOPA Ports president and CEO Ian Hamilton. “And those savings are up to $500 per container.”

The containers will still come through a first-port-of-arrival, including Prince Rupert, Vancouver, Saint John, Halifax or Montreal, where it is screened by the Canada Border Services Agency (CBSA).

From there, it will be shipped by rail to Hamilton, and held until the company comes to pick it up.

Companies will also be able to export once the port is up and running.

READ MORE: Hamilton-Oshawa Port Authority reports strong trade despite global economic climate

Previously, local companies would have to transport their shipments via truck from facilities in Toronto, Brampton or Vaughan.

“It allows us to reduce the distance that trucks and vehicles travel on the roads, and give better connectivity to the international market for Hamilton companies,” said Hamilton.

HOPA says 400,000 containers could be shipped through Hamilton, and in the short term are aiming to see between 2,000 and 3,000 a week pass through the port.

“Just the industrial area here, that you can see is 10 kilometers from this area, along industrial drive, we estimate 10 to 12,000 containers right on this drive,” said Hamilton Container Terminal CEO Amandeep Kaloti.

While the Hamilton container terminal is eyeing businesses along the industrial strip, the warehouse will also be able to process consumer goods, potentially lowering costs.

“Tim Hortons could bring their coffee through this facility for their roasting, that could certainly reduce their supply chain costs,” said Hamilton.

It will still be at least four to six months until we start to see any containers shipped into the port.

Much of the rail line is already built, but the next steps include building a facility for the CBSA to operate on the site.

HOPA says it is investing around $75 million in the project, and expects the port to attract more industries and jobs to the golden horseshoe.

READ MORE: Crime Stoppers, Hamilton police and HOPA Ports launch crime prevention campaign