U.S.: Chiquita confirms move from New Orleans

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U.S.: Chiquita confirms move from New Orleans

Only two years after returning to the Big Easy, Chiquita Fresh North America has announced it will move its Gulf operations from New Orleans back to Gulfport.

"We are pleased to return our port operations to Gulfport where our Chiquita ripening and distribution facilities are located," Chiquita president and CEO Andrew Biles said.

"We believe that Gulfport is optimally situated to service our customers most efficiently with both North and Southbound vessel services."

Rumors began to circulate "around the docks" in May this year that a return to Gulfport was on the cards.

In May 2014 the multinational said it would relocate operations from Gulfport, Mississippi, to New Orleans, Louisiana, where it was based until the 1970s under the name United Brands.

At the time Chiquita said it would be able to move 15% more TEUs (twenty-foot-equivalent units) at the port each year.

Website Sunherald.com reported that as part of the deal to return to New Orleans, the port had agreed to invest US$2.2 million in improvements at a port-owned distribution and ripening facility to be leased to Chiquita, as well as fund US$2 million in refrigerated-container electrical infrastructure improvements.

In a statement given to www.freshfruitportal.com, a representative from the Port of New Orleans expressed regret at Chiquita's decision to pursue other strategic shipping options.

"We are sorry to hear of this decision,” said Port of New Orleans president Gary LaGrange.

"We knew this could be a possibility following the acquisition by Cutrale-Safra. Chiquita’s agreement with the Port and the State of Louisiana was with its prior owners and we understand they have to make decisions based upon the business needs of the Cutrale-Safra Groups."

Figures for the 2015 calendar year show 244,681 metric tons (MT) of bananas were shipping through the Port of New Orleans, representing 2.5% of general cargo and 4.8% of the port's total container tonnage.

Related story: U.S.: Chiquita to keep ripening facilities at Gulfport "for now"

U.S.: Chiquita forced to stay longer at Gulfport

Photo: www.shutterstock.com

www.freshfruitportal.com

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