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California ports will get $27 million from state to create data system to improve supply chain

A large container ship is docked at the Port of Oakland in Oakland, Calif., on April 4, 2023.

Posted on May 3, 2023

The ports of Oakland, Los Angeles, Long Beach, Hueneme and San Diego will receive a one-time $27 million allocation from the state budget to develop a shared data system aimed at improving the flow of goods, an attempt to tackle some of the logistics challenges that emerged during the pandemic and subsequent supply chain crisis.

The MOU outlines an agreement among the five ports to jointly advance computerized and cloud-based data interoperability, with a common goal of supporting improved freight system resilience, goods movement efficiency, emissions reduction, and economic competitiveness, a state news release said.

“Sharing vital shipping data will reduce delays and aid the entire goods movement industry from the docks to doorsteps,” said Port of Long Beach Executive Director Mario Cordero. “By working together, California’s ports can enable end-to-end visibility and connectivity across the supply chain.”

The agreement for the California Port Data Partnership was signed Wednesday, April 26, in Sacramento.

“Data was essential to navigating supply chain disruption,” Port of Los Angeles Executive Director Gene Seroka said. “Analytics from that data allows us to see around corners, which is not just a competitive advantage, it’s now a public necessity.”

The Port of Los Angeles has been proactive on that front and its website now features a Cargo Operations Dashboard that tracks cargo, trucking, terminal and vessel activity in real time.

The port even rolled out its cloud-based Port Optimizer before the pandemic, in 2017. Updates were made during the pandemic and since, with features frequently added.

It was a first-of-its-kind information portal, according to a port news release, and was “designed to digitize maritime shipping data for cargo owners and supply chain stakeholders through secure, channeled access.”

It was promoted as providing “real-time, data-driven information to enable ports and the supply chain to operate more efficiently,” the release added, “helping cargo owners bring goods to market in a more predictable and timely manner.”

The Port of Long Beach, meanwhile, will devote its share of funding to further developing and refining its Supply Chain Information Highway.

“California’s ports are an essential link in the global supply chain,” California Lt. Gov. Eleni Kounalakis said in a news release. “Today’s historic agreement will create a greener, more transparent and more efficient supply chain — unlocking innovation in how cargo moves in California.”

Over the recent months, the state’s five ports and state officials have held biweekly roundtables to develop the framework for the MOU. It will serve as the basis of cooperation for the $27 million in funding from the California Governor’s Office of Business and Economic Development, also known as GO-Biz, for port data system development and emerging data integration and analysis.

“This MOU and the funds that follow will build the basis for greater cooperation and standardization when it comes to data in our supply chain,” said GO-Biz Director and Senior Advisor to Gov. Gavin Newsom Dee Dee Myers.

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