In the first 200 years of the nation's
existence, trade with Europe created
the major U.S. nodes of commerce, starting
with New York, Chicago and Kansas City.
With the new order now based on trade
with Asia, the corridor of influence
begins in Long Beach, Calif., and
travels east across a ribbon of interstates,
including I-40 in Memphis.
Memphis' place on the route makes
it a pearl in a 3,300-mile strand
of cities -- from Los Angeles to Detroit
-- that stand to benefit the most
from Asian trade, according to the
River of Trade Coalition.
"It means you are on the map,
literally on the corridor," said
David Dean, president of the coalition
and former Texas secretary of State.
"If it were a railroad, you would
have a stop on the route."
The 225-member coalition -- which
includes 30 state legislators -- held
its quarterly meeting in West Memphis
Friday, a nod to the region's role
in supply chain management and a push
to educate people "about where
Memphis sits in all of this,"
Dean said.
"This trade is a recent phenomenon.
We're not teaching it in schools.
We have to let people know the significance."
Besides an overview of the regional
infrastructure, speakers included
state Sen. Mark Norris, R-Collierville;
Adsinar Cajar, Consul General of Panama;
Mario Cordero, member of the Long
Beach Harbor Commission; and Scott
Davis, head of Environmental Protection
Agency Air Quality Modeling in the
Southeast.
The coalition, which started two
years ago in Dallas, is working to
improve the economic viability of
the whole route and lobbying for recognition
in 2007 as one of five congressionally
funded high priority corridors.
Some along the proposed I-69, which
Memphis also straddles, are also lobbying
for this thoroughfare to have that
high priority distinction.
The two put Memphis in a particularly
enviable spot of being on the route
between the most populated regions
of Mexico and Canada and on the import
route from the Far East.
"The difference is, the river
of trade corridor is already built,"
Dean said. "What we need is money
to improve the infrastructure for
all that business coming into this
country from Asia."
By 2010, 16.4 million containers
are projected to pass through the
Long Beach port alone, Cordero said.
"By 2020, we expect 36.1 million
containers. When people are stuck
in traffic and see all those containers
on the highways, they're not thinking
of the much-less expensive Nike shoes
they bought or that their new suit
cost less."
What they see is the blinding congestion
that annually costs Americans 3.7
billion hours of travel delay and
more than 2 billion gallons of wasted
fuel.
The coalition stresses the importance
of collectively "seeing the chokepoints"
along the entire route and working
out joint solutions, Dean said.
One of the largest here is the vulnerability
of the Mississippi River bridges.
If an earthquake or terrorist act
took them out, the national cost to
divert the freight traffic would easily
exceed $11 billion a year.
Who should pay to add infrastructure
that benefits the whole nation is
part of the coalition's agenda.
"We've got to move goods efficiently
to keep prices down," said Dexter
Muller, senior vice president of community
development at the Memphis Regional
Chamber. "With all the congestion
in the West Coast ports, one of the
things being looked at is how you
move in the most efficient manner."
Because Memphis is one of only three
cities in the nation with five Class
I railroads, the issue has fundamental
implications here where railroad investment
rivals any city in the nation.
In the past year, both Burlington
Northern Santa Fe and Canadian National
have announced investments of $100
million apiece to improve capacity
here.
BNSF will break a record here this
year by transferring 310,000 containers
at its yard off Shelby Drive and Lamar.
But by 2011, it will have enough infrastructure
to handle a million, thanks in part
to the construction that is totally
altering the intersection.
Canadian National held its annual
meeting in Memphis, the first time
in the railroad's history that the
shareholders met outside Canada. The
move was a nod to Memphis, which has
fast become CN's second most important
U.S. city behind Chicago.
The reason is clear. When CN acquired
the Illinois Central in 1999 -- to
take advantage of the NAFTA agreement
-- business began booming for CN.
Today, traffic on its north-south
route through Memphis is growing 8
to 10 percent a year, more than twice
its growth across Canada.
"If we realize what's happening,
we work together collaboratively,"
Dean said. "Many of the containers
coming through the corridor arrived
two weeks ago in Los Angeles. If we
don't take time to stop and think
where they're coming from and where
they are going, we lose opportunity."