innobackupex with port forwarding

I have setup a ssh port forwarded 3316.
I try to use innobackupex --slave-info --user=xx --password=xxx --port=3316 /data/backups/
it backs up the local instance of mysql (port 3306) not the forwarded instance on port 3316.

Can I take a backup over a forwarded port?

You should run XtraBackup local to the server you want to backup. XtraBackup copies files and if will not work properly over the network - you can stream to a remote server though from the backup source. reating_a_backup_ibk.html ow_innobackupex_works.html

I would love to have everything on the same server. Unfortunately, I don’t have enough space to keep full backups on production server. If I stream the backup, I can’t zip or encrypt it until it is completely on the backup server. Also, it does not leave the files I need to start the incremental backup from. Bin-log location, etc.
Is there a way to stream the backup and leave the bin-log pointer file to do an incremental backup from?