Caustic reaction greets new port dues

From page 1 "There's just no prospect of these cargoes being able to pay that, and still survive in such a price-competitive global market. "Any cargo valued under R3 500 a metric ton (mt) will have to pay more than before - and they just cannot do that. You'll put the likes of the coal industry out of business. "The port authorities made a big issue of the R380-million they will save the shippers with the new wharfage, but it costs them a lot less. "The NPA are charging land rental and concessioning charges to Sapo, for example. And that's a completely new income stream - which will help to compensate for any income loss from wharfage." What about productivity? n MIKE ECONOMOU - Chairman of the Cape Association of Shipping Lines (ASL): "Some of these marine services charges are up by 30%. "But has the productivity of the ports gone up by 30%?" Low value cargo hit n COLIN SCHULTZ - Member of the Cape Town Port Liaison Forum (PLF), and distribution manager for one of the province's biggest exporters: "These cargo dues are very contentious. "Some will be smiling, and some not - especially the low value cargo guys. "I'm certainly very pleased that our wharfage is now container based rather than the ad valorem of before. "But that 22% increase in terminal handling charges (THCs) - that's a different issue altogether. "With the ports performing as they are, there's no productivity, we're not getting the service we need, and there's just nothing to measure these new figures by. "22% is just not acceptable. What are we getting for it?" Transparency needed n NOLENE LOSSAU - Executive director of the SA Shippers Council: "I must admit that I am a bit horrified as to the levels of the export wharfage. "Also, what do Portnet define as breakbulk and bulk cargo? Where does liquid cargo fit in? "Also why should the container wharfage equate to a higher cost per ton than the bulk? "The continued differentiation between exports and imports is also of concern. "Importers should be happy with the levels as these do look like reductions for them. "But the export wharfage for bulk will only save money for those exports with a current FAS (free alongside ship) value of more than R3 500/metric ton. Those exporters with lower bulk export values will be paying more than current levels. "On the breakbulk side, the value cut-off to benefit from lower wharfage is just over R8 000/ton FAS. Are there many breakbulk cargoes that have this very high level? "I do think we should ask NPA to be transparent as to how these numbers were arrived at."