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Current Position:Home » News » Agri & Animal Products » Fruits & Vegetables » Topic

Chiquita verifies company considering a move from Gulfport

Zoom in font  Zoom out font Published: 2014-05-14  Views: 31
Core Tip: Chiquita Brands International is scheduled to let state port officials know by Friday whether the company plans to leave.
Chiquita Brands InternatioChiquita nal is scheduled to let state port officials know by Friday whether the company plans to leave.

"They are just not providing me with any information," the port's executive director, Jonathan Daniels, said Monday.

Three tenants, including Chiquita, employ a majority of the longshoremen who work at the port. Chiquita also employs tugs and ship pilots to escort its vessel, the Eurus London, through the ship channel during a weekly port call.

Chiquita, which is merging with Irish fruit company Fyffe's, has a lease at the port that expires in July. A letter Chiquita sent customers in April says Gulfport and other nearby ports are being evaluated for "efficiency and effectiveness" as part of an investment in fleet modernization, along with expansion and updating of its hub at Puerto Barrios, Guatemala.

Mario Pacheco, Chiquita senior vice president of global logistics, said in the letter, "In 2014, we will replace a segment of our fleet with newer, larger, and more modern container vessels servicing the U.S. Gulf and Florida markets."

"As part of the investment in updating logistics infrastructure, we are also evaluating Gulfport, MS, and other nearby ports for efficiency and effectiveness in serving the Gulf Coast. If we are required to change our port call, we can assure you that any changes will be required to enhance our service, efficiency and value to our customers. We are not contemplating altering other port calls within our North American service profile at this time." Pacheco verified Monday that he wrote the letter but referred other questions to corporate communications.

Ed Lloyd, Chiquita's director of corporate communications, said he had nothing to add. "At this point," he said, "we haven't made any final decisions."

Daniels said Chiquita did not send him a copy of the letter, which has been circulating among port workers.

Daniels said too much is unknown to discuss the financial ramifications of a Chiquita departure, but the port is looking ahead based on several scenarios. The port, he said, has offered Chiquita an option for a two-year extension under current terms while a $570 million restoration and expansion is completed. The port also is negotiating with a prospective tenant, but the expanded West Pier will have room for all the port's current tenants, plus about 50 acres for new business.

 
 
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