Study: Port accounts for $25.7B in income, $8.5B in tax revenue

By Eric Strauss
North Jersey | Oct 26, 2017 at 3:45 pm

Industry tied to the Port of New York and New Jersey supported more than 400,000 jobs and created $25.7 billion in personal income, as well as $8.5 billion in tax revenue at federal, state and local levels, according to a study released Thursday.

The New York Shipping Association released the study, conducted by the North Jersey Transportation Planning Authority, which found that the port industry also produced $64.8 billion in business income.

New Jersey gained the bulk of the taxes created by the port industry, with nearly $7 billion in federal, state and local revenue. That comprised $4.8 billion in federal taxes, along with $2.2 billion in state and local taxes.

“The NJTPA is focused on maintaining and optimizing our landside infrastructure — the roads, the rails and connections among all modes,” NJTPA Chairman Peter S. Palmer said in a prepared statement. “We recognize the value of this infrastructure as the connective tissue between the maritime terminals and regional businesses.”

The port currently employs 229,000 workers and indirectly supports another 171,000 jobs — a total that is up nearly 20 percent since 2014, according to the NYSA news release. The greatest number of jobs were in New Jersey, with 200,350 direct positions and a total of 344,470 positions.

“The significant economic contribution the Port of New York and New Jersey makes to this region has been demonstrated once again,” NYSA President John Nardi said in a statement. “The cargo and passengers that move through our ports provide a substantial benefit to the region in terms of jobs and tax dollars, and those benefits continue to grow.”

The NYSA said the port’s expanded economic footprint comes from growth in cargo movements, the cruise industry and the region’s industrial space.

The port region, which includes 31 counties in New Jersey, New York and Pennsylvania, has added tens of millions of square feet of capacity between 2014 and 2016, it added. That includes:

  • Nearly 6.3 million 20-foot-equivalent containers, up from 5.8 million in 2014;
  • Nearly 663,000 vehicles;
  • About 47.4 million tons of bulk cargo, up from 42 million in 2014;
  • Nearly 140,000 tons of breakbulk cargo, up from nearly 110,000 in 2014;
  • About 260 cruise vessels.

“The billions of dollars we’ve invested to raise the Bayonne Bridge, deepen port channels and expand our on-dock rail capacity have made this an attractive place for international shippers to do business and provided a substantial boost in the jobs and economic activity supported by this port,” Molly Campbell, director of the Port Department for the Port Authority of New York and New Jersey, said in a statement. “Our goal is to continue to invest in infrastructure that will make this port the most attractive place for shippers to do business.”

For more on the study, click here.