Young Bros. runs out of room at Maui harbor

Young Brothers wants to stop shipping non-container cargo

The state's largest interisland cargo service says it has run out of room at Kahului Harbor.

Young Brothers Ltd. has asked the state for permission to discontinue non-containerized cargo service to and from the Maui harbor.

If approved by the Public Utilities Commission, the service would end Jan. 1.

However, several commercial freight consolidators want to step in to meet the needs of Young Brothers' customers who ship goods under the category "less than container load."

Young Brothers President Glenn Hong said discontinuing non-containerized cargo service would free up space at the harbor, which has become more congested because of Maui's strong economy and next year's planned start of Hawaii Superferry operations.

Young Brothers was notified by the state Department of Transportation that 23 percent of its existing Kahului facility will be reallocated for the Superferry. Young Brothers occupies 15.9 acres in Kahului Harbor.

"We don't have many choices, since we've already exceeded capacity at the port," Hong said. "Moving the consolidation services off site is the only viable solution."

Mike Beidleman, president of Honolulu Freight, said he believed the change was long overdue.

"The interisland shippers to and from Maui will now have the opportunity to select from a number of different shipping options," he said.

Another company, Island Movers, has been providing interisland consolidation service for all islands since 1981.

Vic Angoco, vice president and general manager of Young Brothers, said the company will try to make the transition as smooth as possible. He also said no employees would lose their jobs as a result of the end of the non-containerized cargo service.

John Garibaldi, president and chief executive of the Superferry, said the company was one of the charter members of the Hawaii Harbors Users Group and has worked with Young Brothers on space needs and how the companies could operate efficiently.

"We'll just have a portion at the end of Pier 2 that today isn't really suitable for Young Brothers and their preferred heavy lifting equipment," Garibaldi said. "We know that the state is looking to provide additional acreage near the Young Brothers' Kahului operation in the near future, and this is phase one of some of the changes that are being made in the harbors for Young Brothers here."

In December, a report by the Mercator Transport Group said the planned location for ferry service in Kahului "will significantly impact the ongoing operations of Young Brothers unless a variety of other improvements on the facilities and adjustment to operations are made at the port."

Garibaldi said the Superferry is planning to begin service on July 1, 2007, with a second vessel to start operating in late 2008 or early 2009.

"We have a very good relationship among all the harbor users, and everyone's focused now on the development of harbors for future needs based on growth and services to be provided by this important mode of transportation," he said.