Importers urged to check landside charges

IMPORTERS SHOULD check shipping lines’ landside service costs, not just ocean freight rates, when making freight purchasing decisions. The SA Europe Container Service (SAECS) recently reduced its terminal handling charge (THC) collected on 40-foot (12-metre) containers by R14.50 per container. This became effective on April 1. “Although the reduction is negligible in the greater scheme of things,” said Safcor Panalpina’s internal auditor, Jeff Epstein, “it tends to highlight the fact that not all charges levied by carriers in respect of landside services are the same. “In some areas the differences are marked and can have a substantial effect on the total costs incurred.” The suggestion from the forwarders is that the final costs incurred in the movement of any one consignment will reflect not only the choice of carrier, but also the routing followed. “When making freight purchasing decisions importers need to consider the total cost of both ocean freight and landside services levied by shipping lines and not just the ocean freight rate,” said Epstein.