Month: July 2010

Due to the heavy rains in upper Yangtze River, Chongqing is encountering another flood peak on July 26th. In order to ensure the route safety, Chongqing Maritime Safety Administration has temporarily closed Tongluo Strait, which is 16 KM downriver from Chongqing.

Meanwhile, Three Gorges Dam might also be closed, depending on the situation.
Under these circumstances, we would like to draw your attention to the serious delays of moving cargo out of the area, which are resulted from the suspension of the port operation.

Furthermore, it will not only affect Chongqing barge schedule but also have impact
on Wuhan and Nanjing port. We are monitoring the situation closely and will keep you further updated.

Source: Kuehne + Nagel

Work has begun on a major expansion to the Eastern Creek distribution centre of Costa Logistics, a specialist temperature-controlled third party logistics provider.

The $5 million extension will add 4,500 square metres to Costa’s existing 14,000 square metres. The extension will be used primarily to cater for the company’s expanding national business.

It also comes on the back of the recent addition of 3,500 square metres to Costa’s Derrimut facility in Melbourne, taking its total distribution centre space to 17,000 square metres.

In March Costa Logistics leased a vacant distribution centre in suburban Brisbane of 3,500 square metres of high-quality chilled and temperature controlled warehousing space.

Costa Logistics chief operating officer Geoff Norman said the past six months had seen a continuing growth in the company’s footprint.

“It is an important growth phase in the company’s evolution. Brisbane was important for us because it gave us true national coverage, whereas the extra space in Derrimut and Eastern Creek is to cater for the businesses growth,’’ he said.

The expansions are expected to create nearly 30 jobs among the three areas once fully operational.

Costa Logistics also has a 6,500 square metres distribution centre in Jandakot in Perth and 3,500 in Devonport in Tasmania. The company is also involved with a 44,000 square metre chilled distribution centre in Parkinson, 24 kilometres from the Brisbane CBD, and a 45,000 square metre facility at Truganina in Melbourne in a joint venture under the Polar Fresh brand

Source: T AND L News

We have been advised that due to rising equipment and service costs associated with higher volume in the period from August – December, Hamburg Süd will introduce a “Peak Season Surcharge” (PSS) in the trade from Southeast Asia to Australia.

The fee will apply to all shipments effective from 15 August 2010 and in the amount of:
US$ 250/20’ container and US$ 500/40’ standard or high cube container.

Source: Hamburg Sud

Please be advised that a nationwide strike is in place at all Australian sea ports as of this morning. The strike is in relation to the fatality of one of their employees at Appleton Dock last Wednesday. The funeral is taking place today and the MUA are striking in protest of the safety issues on the waterfront.

All Australian sea ports were closed from approximately 10am today, and operations are estimated to resume at 6am Saturday 24th July. There will be no receivals and deliveries during this time.

Source: DHL Global

The Australian Quarantine Inspection Service (AQIS) has announced a change to their requirements for packing declarations as of July 2010.

The change is an addition to the current requirements. All packing declarations must now state the cargo type covered under the packing declaration. ie FCL/X or LCL

This applies to consignment specific and annual packing declarations.

Therefore if suppliers make use of annual packing declarations and ship both FCL/X and LCL cargo they will have to prepare a separate annual packing declaration for each cargo type.

To simplify this requirement for exporters to Australia AQIS have provided updated versions of their packing declaration templates.
These templates can be viewed at the below link :

Source: Rohlig Logistics

Beginning 1st of August 2010 the Transportation Security Administration (TSA) will implement 100% cargo security screening on cargo transported on passenger aircraft. Every shipment of cargo carried on a passenger aircraft will require screening at piece level, prior to being transported on any passenger aircraft. Skids and pallets will have to be taken apart, screened and reconfigured. This procedure will impact customers who’s shippers are not known shippers, with additional costs.

Our USA offices have issued letters to all regular shippers asking to have completed a written consent form to tender cargo on their behalf for air transportation, as without this written consent to screen, we will be unable to handle air export cargo.

Airline security is increasing in most countries, as reported already last month with similar changes to German security regulations.

Source: Rohlig Logistics

We have received advice from DP World Fremantle that continuing problems associated with the stevedores are beginning to affect service levels. Slot cancellations and congestion are adversely affecting the ability to clear cargo.

Please also be advised that delays are also being experienced at the Patricks terminal due to the upgrading of the current berth at Fremantle ports. As a result this is causing the block stacking of containers and late vessel arrivals in Fremantle.

DP World and Patricks are attempting to make every effort to achieve a speedy resolution.

Source: DHL Global

Yesterday there was a fatal accident at the DP World Terminal in Melbourne.

As a result the Maritime Union has called for strike action to be taken, which may or may not effect some ports.

Confirmed details are yet to be announced.

Source: DHL Global

The charge will be designed to encourage and support key objectives in support of port and transport efficiency including:

  • Promoting increased use of rail transport to and from the port precinct. The charge will not apply to trucks carrying containers travelling to or from one of the rail terminals in the port or Dynon precincts.
  • Encouraging off peak use of roads accessing the Port of Melbourne to reduce peak hour congestion around the port. The charge will be differential with a higher rate in peak periods and a lower rate in shoulder and off peak periods.
  • Promoting increased use of High Performance Freight Vehicles and increased truck utilisation and two-way loading. As the charge will be applied to trucks and not containers, increased utilisation will result in lower average charges per container.
  • The funds collected by the charge will contribute to investments in vital infrastructure announced in the Victorian Transport Plan, including $18 billion in projects that will directly benefit the freight industry, such as the Truck Action Plan and WestLink.

For further details please refer to the following link:

Source: DHL Global

Member lines of the Asia Australia Discussion Agreement (ADDA) have announced a “voluntary and non-binding” Peak Season Charge to take effect from July 1, 2010.

In a “notice to the trade” the following will be implemented:

Charges will apply to dry and reefer cargo from Singapore, Malaysia, Thailand, Indonesia, Vietnam, Phillipines and the India sub-continent (India, Pakistan, Sri Lanka and Bangladesh) bound for Australia and will be levied in addition to prevailing market rates and subject to ancillary charges applicable at the time of shipment.

AADA is a voluntary discussion agreement on 13 ocean carriers serving the trade from North and East Asia to destinations in Australia. Members include ANL, CSCL, COSCO, Hamburg Sud, Hanjin Shipping, Hyundai Merchant Marine, “K” Line, Maersk, MSC, MOL, NYK, OOCL and Gold Star Line.

Source: Kuehne + Nagel