Maersk and Safmarine to levy piracy risk surcharges

The AP Moller-Maersk Group has announced a brace of emergency risk surcharges in the wake of ongoing ocean piracy concerns. The charges, effective from August 15, will be levied by Maersk Line and Safmarine on specified routes. Safmarine says there are cogent reasons for revising the emergency risk surcharges. “The A P Moller-Maersk Group remains vigilant and constantly monitors the situation in the Gulf of Aden and the area off the Somali coast. “Preventing piracy attacks is at the forefront of our considerations to ensure the safety and security of our crew, vessels and customers’ cargo.” As history has shown in the Gulf of Aden and off Somalia, many attacks have been repelled by merchant vessels simply outrunning the pirate skiffs, though such implementation comes at a higher cost. What is more, sailing distances have increased significantly in order to avoid high risk areas, resulting in additional bunker costs as well as the need to deploy additional vessels in order to sustain similar service levels. Costs also associated with the hiked surcharges are higher insurance premiums, crew compensation and training, in some cases replacing smaller vessels with larger and faster ships to reduce the risk of attack. Maersk Line MD, David Williams, told FTW the risk of piracy remained “real” and relevant, hence the need for revised emergency risk surcharges. “In terms of sentiments or questions by customers affected, we are more than happy to discuss this directly with them.” The more than 20 surcharges range from US$45TEU to US$450FFE, depending on the routing. Details are available from the lines. Europe and US cargo not sailing through the Gulf of Aden will be exempt from the emergency surcharge.