Business, Freight News, Sea

Top International Forest Product Producer Expands Business at Port of Baltimore

[ October 21, 2020   //   ]

One of the world’s top international forest product producers has signed a new contract with the Maryland Department of Transportation Maryland Port Administration (MDOT MPA) that will significantly expand its operations at the Helen Delich Bentley Port of Baltimore. The agreement with Metsä Group of Finland and Logistec (as terminal operator Balterm) will consolidate all Metsä Group’s Mid-Atlantic volumes through the Port.
“The Port of Baltimore and the import of goods plays crucial role in Maryland’s COVID-19 recovery,” said Governor Larry Hogan. “The expansion of business, especially during challenging times, reflects the industry’s unwavering confidence in our Port and its talented workforce.”
The three-year contract commences January 1, 2021, and includes options for an additional three years, for a potential six-year total. Under the terms, Metsä and Balterm will lease 797,980 square feet of warehousing space at the South Locust Point and Dundalk state-owned public marine terminals, an increase of more than 300,000 square feet – or more than 60% – compared to the current Metsä contract signed in 2016.
“The Port of Baltimore and its dedicated workforce have played a critical role in keeping Maryland’s supply chain open and flowing during the COVID-19 pandemic,” said MDOT Secretary Greg Slater. “Now, the strength of our Port infrastructure and our private-sector partnerships are even more evident as we work together to boost Maryland’s economic recovery.”
Projected annual volumes from the new Metsä Group contract include 370,000 tons of rolled paper used to produce packaging materials commonly used in the food service industry, as well as liner board used to produce cardboard materials, and pulp used to produce tissues, paper towels and napkins. Each giant roll of paper can weigh up to 7,000 pounds and, if unraveled, would stretch about 12 miles in length.
“I am extremely pleased that Metsä Group, Balterm and MPA have reached an agreement to secure our future port and warehousing needs,” said Dorothy Geyer, supply chain director for Metsä Board Americas Corp. “Metsä’s sustainability goals for the next 10 years include a 100% sustainable supply chain, and reducing CO2 emission in transportation is an essential part of that. In order to achieve our goals, we need to find strong partners who can help us by working with ethical, reliable and environmentally responsible partners. The consolidation to one northern port allows us to improve our transportation services, reduce costs and enhance our supply chain efforts. We look forward to this new partnership as we work toward a more efficient and sustainable future.”