The Arctic Opportunity: Alaska: the commercial gateway to the American Arctic?

• Author: Wolf, Greg
• Position: INTERNATIONAL TRADE SPECIAL SECTION / ARCTIC UPDATE

As the world increasingly turns its eyes northward to the potential of the Arctic, Alaska finds itself uniquely positioned to play a leading role to serve as a gateway and forward base of operations for commercial development in the region. More so than any other state, Alaska has the opportunity to benefit from the economic activity that transpires in the American Arctic. The Arctic opportunity is literally in Alaska's backyard. Geography doesn't always deal the best hand; it can, after all, be a curse or a blessing. For Alaska, perched at the top of the world, its location has often worked to its advantage.

For decades Alaska's vast store of natural resources, combined with its strategic location on the Pacific Rim, has resulted in significant export opportunities (primarily to major Asian markets) that now amount to some $5 billion annually. Likewise, situated as it is nearly equidistance between Asia, Europe, and the United States, Alaska has become a key player in the international air cargo industry with dozens of airlines making use of the Ted Stevens Anchorage International Airport as a stop to refuel, change crews, and to pick up or transfer cargo. The airport is among the top five in the world for cargo throughput.

Now, it's the state's location in the Arctic that offers an emerging new economic opportunity.

And, it's not just the blessing of geography that presents Alaska with this opportunity. Alaska is home to a wide range of companies with world class capabilities in conducting business and carrying out projects in the far north. In addition to the business experience and expertise present in the state, Alaska is also home to a number of important Arctic policy agencies and organizations, as well as scientific research centers and cultural institutions.

One further advantage for Alaska is the state's Native peoples who have lived in the Arctic for thousands of years. They possess traditional knowledge of the lands, waters, and wildlife passed down through the generations. When joined with modern technologies and methodologies, this local expertise can help to ensure the success of projects.

Companies operating in Alaska--whether local, national, or multi-national --have demonstrated their abilities to do business in a very challenging part of the world. They've learned to deal with extreme weather conditions, isolated job sites, extended supply chains, and a host of other conditions that require high levels of technical...