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Don’t be complacent when surcharges go

11 Dec 2003 - by Staff reporter
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That’s the call from steering committee Alan Peat ALTHOUGH THE port congestion surcharge (described as a ‘port additional’ by the lines) has begun to go - warnings are going out that shippers, importers and forwarders shouldn’t become complacent. This from all the shipping, forwarding and cargo-owning bodies that are involved with government and the relevant parastatals in the private/ public sector port steering committee (PSC). This body was established in June and charged with establishing measurable and lasting improvements in container terminal performance at all SA ports. It is an exercise that should ensure not only lasting benefits to all port users, but re-establish SA as a reliable international trading partner. The message is that the surcharge still remains at Durban, and the shipping conferences have made it clear that it could be instantly re-imposed at the ports that have been cleared - if their performance again drops below the conference-delineated 16-hour average delay. “Everyone has a part to play in avoiding congestion, and achieving long-term efficiencies at the ports,” said a PSC member. This has seen recommendations going out from a number of the industry bodies to members, suggesting what they can do to help achieve these desired efficiencies. One of these was a report compiled by Dave Watts, adviser to the SA Association of Freight Forwarders (SAAFF) in Durban. At the request of the PSC, Watts has distributed the following recommendations to all SAAFF members: “The following practices have a negative impact on port performance,” he said. “Forwarders are asked to urgently address them - not only in their own operations but also with their clients l Import container receiving times: All major terminals work on a 7/24 basis, whereas many receivers accept only on a 5/8 basis. During weekends and holiday periods reduced uplift of import boxes results in increased container numbers, dwell time and yard congestion. Importers should be urged to extend receiving times whenever possible. l Export weight misdeclaration: The under-declaration of export container weights, either through negligence or intent, is not only a safety hazard but consistently results in vessels shutting out cargo as they reach tonnage capacity. The consequences for the terminals in containers occupying yard space and for all other parties in the supply chain are considerable. Agents and exporters should ensure that container weight information is consistently accurate. l Multiple bookings: It is common practice for both agents and exporters to book the same consignments on different vessels, subsequently cancelling the unutilised booking at the last moment. Again this results in vessel planning difficulties and inaccurate forecasting affecting terminal operations. Agents and their export clients are urged to avoid this practice. l Late delivery of exports: For various reasons a high proportion of export containers are delivered on the final stack day - and commonly after stacks have closed. This practice affects vessel planning and causes departure delays and resulting extended berth occupancy - both of which add to port congestion and delay. Wherever possible members should request their export clients to avoid late deliveries at all times. l Information accuracy: Accurate information on booking confirmation is critical to lines and terminal planning. Agents and exporters should ensure that all information provided is correct. “The implementation of these suggested improvements will assist our ports in reaching goals of efficiency and best practice,” said Watts. “They will decrease overall supply chain costs, expedite the removal of surcharges and reduce the risk of future punitive charges.”

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