Alabama Waterway Coalition Announces Economic Impact Study
The Coalition of Alabama Waterway Associations (CAWA) has announced results of a study detailing the economic impact of the state’s five commercial waterways, which include the Black Warrior-Tombigbee, the Tennessee-Tombigbee, the Alabama, the Apalachicola-Chattahoochee-Flint (ACF) and the Tennessee.
The study, conducted by Martin Associates, draws on data from calendar year 2022 (the most recent statistics available) to conclude that Alabama’s inland waterways generate $19 billion in value annually and support one in every 24 jobs across the state.
“When combined with activity at the Port of Mobile, the total economic impact of waterborne commerce across the state rises to $113.9 billion, with $17.8 billion attributed specifically to shipping on inland waterways,” CAWA stated.
Commerce tied to the state’s inland waterways adds close to $650 million annually in statewide and local tax revenues, the report found.
“The demand to move bulk commodities, such as metallurgical coal, scrap for steel, finished steel products, wood pellets, ag products, construction materials, petroleum and chemical products continues to rise,” said Wynne Fuller, president of the Warrior-Tombigbee Waterway Association. “Terminals in Birmingport, Demopolis, Decatur, Columbus and Yellow Creek are investing in infrastructure and modern material-handling equipment to meet this growing demand.”
The Martin Associates study divided waterway economic activity into five sectors: maritime logistics and shipping, marina and recreational boating, cruise passenger activity, fishing tournaments and ship and boat building. John Martin with Martin Associates was scheduled to present details of the economic impact study during the Warrior-Tombigbee Waterway Association’s annual meeting, held May 7–9 in Orange Beach, Ala.
Fuller said what’s impressive about the state’s inland waterways is that they have room to grow.
The Mobile Engineer District is in the midst of a study to assess the financial feasibility of deepening both the Black Warrior-Tombigbee Waterway and the Tennessee-Tombigbee Waterway. Julie McGuire, project manager for the waterway improvement study, speaking at the Warrior-Tombigbee meeting, said the good news is, preliminarily, the data supports going deeper than the currently authorized 9 feet. McGuire said Corps engineers are focusing on 10 feet or 11 feet, rather than the industry-supported 12-foot draft, largely because of the cost to modify locks on the lower end of the system.
Col. Jeremy Chapman, commander of the Mobile District, discussed the deepening of the Mobile Harbor, which is nearing completion. Once that project is complete, the Port of Mobile will be at 50 feet, making it one of the deepest ports on the Gulf Coast.
Both deepening projects would add capacity to the state’s waterways, further boosting their economic impact.
