Ribbon cutting ceremonies were held recently at the St. Bernard Port, Harbor & Terminal District to dedicate a new bulk cargo warehouse alongside the Chalmette Slip.

The 40,000 square-foot facility, the largest of its kind on the lower Mississippi River, began receiving cargo this fall. It was built to house fertilizer from deep draft vessels and barges. Associated operates the facility as part of its agreement with the St. Bernard Port.

ConAgra International Fertilizer, a division of ConAgra Foods, Inc. will be the primary customer, with AT and ConAgra having entered into a long-term lease agreement for the facility.

Calling it a “Partnership for Progress,” David Fennelly, AT’s president, says there was a need for a facility of this type on the lower Mississippi.

“We’re very proud to be a part of this project. I’m glad to say that our friends at the Port of St. Bernard had the vision to build such a facility because, as an industry, we’re seeing increased volumes of incoming bulk cargoes seeking land-based storage.

“This facility allowed us to form a three-way partnership that will add jobs to the area, bring new cargo through the Port of St. Bernard and provide a logistical advantage for our customer.”

Glenn Schexnayder, a Sr. Vice President at Associated, said: “Chalmette Slip is the ideal location for this bulk storage facility. It was a bold step to build something that can handle 40,000 tons of cargo, and we feel fortunate to have ConAgra join this venture as our partner.”

The new warehouse presents an opportunity for ConAgra to bring additional business to the Port of St. Bernard. In fact, ConAgra executives expect the new facility will afford the opportunity to double the number of bulk rail transfers at the port in 2008.

Glenn also said, “Associated has seen an increase in agricultural products moving through its terminals during the past year and it’s a trend that should continue.”

Schexnayder says a main reason for the increased fertilizer shipments is related to the added acreage of corn planted to serve our country’s burgeoning ethanol industry.

In addition to the new building, the Port also purchased and installed two 150-foot long, telescoping conveyor systems. These conveyors will be used to transfer cargo from vessels and barges to warehouse, or from warehouse to railcars.

Eric Johnson, a marketing manager at CSX Railroad, says he expects the demand for fertilizers to lead to more railcar loadings at the Port of St. Bernard. In fact, he estimated that CSX should handle 1,500 to 2,000 railcar loadings at the Port in 2008.