New Cape charge threatens industry

Serious backlash to new charges that could kill small operators ALAN PEAT THE HACKLES of Cape cargo owners and forwarders have been raised by yet another change to a shipping line extra charge from September 15 that could kill some small operators in each industry sector. This followed up-and- down thinking at AP Møller’s Maersk Sealand and Safmarine lines where customer objection saw a downward change in the proposed new agents’ release fee (the destination documentation fee, according to Safmarine). “On June 30,” said the line, “a client advisory was sent giving notice of a change in the level of the destination documentation fee from R103 per container (capped at a maximum of three containers per bill of lading) to US$15 per container with no cap. “However, we have reviewed the impact that this change in charges will have on many of our import clients, and have decided to implement a fairer and more visible revision.” Therefore, from September 15 the DDF will be invoiced at R206 per bill of lading. But this has met with serious objection from forwarders and importers. “You might like to note that during early 2004 this local rate was R75/container, with a maximum of R225,” said one forwarder. “Presently it is R103/container – maximum R309. “This looks like a continuing crusade to increase charges. Is there no end?” This is now added to other extra charges out with the straight freight rate from the lines to which the freight industry, shippers and importers have raised loud objections. “Look at the SA Port Operations (Sapo) overstay port charge for Cape Town of R71.88 for a 20-ft (6-metre) and R143.75 for a 40-ft (12-m) container,” said Colin Schultz, distribution manager for SANS Fibre and founder member and chairman of the Cape Cargo Owners Association (CCOA). “Lines charge up to R1 500 for the first day whether the container has moved off the port or not. And this on top of the free days down to two from three days previously.”