Month: August 2010

We have been advised that Hamburg Süd will introduce a “Peak Season Surcharge” (PSS) on its southbound trade for export
shipments from Hong Kong, Korea, China, and Taiwan to Australia.

The Peak Season Surcharge (PSS) will be US$ 300.00 per TEU effective 01st September on the basis of B/L (Bill of Lading) dates.

We have just received information this afternoon that the AADA member lines have agreed on a rationalisation program which will take place as quick as 28 August 2010.

The HSUD/MAERSK/APL/HMM/EMC/HALO peak season loader loop will be cancelled. This equates to around 2500 TEU’s per week less capacity (-8%).
HSUD & HMM will enter into a slot swap program with ACE/AANA loops (CSCL/ANL/OOCL) and APL will do the same with NEAX (NYK/MOL/KLINE).

The current average utilisation is around 85% so the rationalisation and expected increase in demand will get it close to 100% which is expected to support the Peak Season Surcharge announced for the 01 September. If the rationalisation takes effect as per above then we expect Rate Restoration to be applied mid/late September.

Please be advised that this information has not been broadcast by the carriers as yet.

Source: kuehne-nagel

We have received advise from Patricks that due to an industrial dispute between the MUA and DP World, containers are now being sub contracted to Patricks terminal.

The industrial dispute has caused massive crowding at the terminal and as a result, the delivery program has been severly impacted. Patricks terminal is running 24 hours a day, trying to remove as many containers as possible.

Source: DHL Global

Large vessel movement at Nhava Sheva Port continues to remain suspended due to the collision incident. Work on clearing the channel is apparently underway and there are confirmed reports that vessels of less than 10 mtrs draft are being escorted in / out of the navigational channel. Movement of larger ships will be permitted only after the channel is declared fully safe for their movement. Based on the discussions with the local shipping community this is expected to happen by the 16th August, however we still have not received offical communication from the Port.

Shipping Lines have started accepting Export bookings for vessels expected to arrive / berth at Nhava Sheva in week 33. This resumption of booking acceptance is partial in nature and depends upon the specific service / trade involved and commodity as some carriers are still not accepting bookings for Reefer / Perishable cargo. Carriers are accepting bookings only for local Nhava Sheva cargo and nearby locations and bookings for North India are still not being accepted.

The entire booking acceptance is subject to specific vessels being able to berth at Nhava Sheva in week 33, failing containers will not be allowed to gate into the terminals and will have to either be held at customers premises or at the nearby off docks.

Source: DHL Global

Members of the Asia Australia Discussion Agreement have decided to push ahead with the annual peak season surcharge in the North and East Asia-Australia trade, despite the sea freight rates continuing to fall.

The southbound PSS was originally scheduled for August 15 2010, but will now be introduced on September 1, officially at US $300 per teu and US $600 per feu. AADA has not nominated the duration of the PSS.

Carriers are “reasonably optimistic” the surcharge will stick as volumes rise, although evidence provided by the latest Shanghai Containerised Freight Index suggests rates are still heading determinedly down.

As of Friday August 6, the average cost of shipping a container from Shanghai to Melbourne – blue water rate plus all surcharges – was US $863, down US $42 since the previous week.

The Index in the Oceania trade has now dropped almost 50% since January. Meanwhile, the five members of the United States Australia Discussion Agreement have decided to impose a general rate increase of US $125 per teu and US $250 per teu on September 15.

The GRI applies to all dry and refrigerated shipments moving from the US to ports in Australia and New Zealand but is non-binding under discussion agreement principles.

Source: Lloyd’s List DCN

We wish to advise that vessel movement at Nhava Sheva Port continues to remain suspended due to the collision between two merchant ships on Saturday 7th August 2010. The vessels involved were the MSC Chitra and the Khalijia 3. It is reported that the container vessel – MSC Chitra has lost at least 400 boxes and is said to be leaking fuel.

At this stage it appears that Nhava Sheva port will remain closed for several days. Nearby Mumbai port has also been forced to shut down. Shipping lines have suspended export bookings from Nhava Sheva. Export cargo is being diverted through alternative ports of Mundra or Pipavav. A number of vessels with import cargo have also been diverted to Mundra and Pipavav ports.

Almost 50 per cent of India’s containerised cargo moves through Nhava Sheva port, so delays are expected.

Source: DHL Global