Rates reflect strong demand bounce and call for more ocean capacity
Despite generally weak cargo demand, spot rates on the Asia-Europe trades continued to show gains ...
ATSG: UPDATEMAERSK: QUIET DAY DHL: ROBOTICSCHRW: ONE CENT CLUB UPDATECAT: RISING TRADEEXPD: TRUMP TRADE LOSER LINE: PUNISHEDMAERSK: RELIEF XPO: TRUMP TRADE WINNERCHRW: NO JOYUPS: STEADY YIELDXPO: BUILDING BLOCKSHLAG: BIG ORDERLINE: REACTIONLINE: EXPENSES AND OPERATING LEVERAGELINE: PIPELINE OF DEALS
ATSG: UPDATEMAERSK: QUIET DAY DHL: ROBOTICSCHRW: ONE CENT CLUB UPDATECAT: RISING TRADEEXPD: TRUMP TRADE LOSER LINE: PUNISHEDMAERSK: RELIEF XPO: TRUMP TRADE WINNERCHRW: NO JOYUPS: STEADY YIELDXPO: BUILDING BLOCKSHLAG: BIG ORDERLINE: REACTIONLINE: EXPENSES AND OPERATING LEVERAGELINE: PIPELINE OF DEALS
Shippers say they feel powerless over the barge congestion crisis in northern Europe – one believing there may be no early solution.
Stanley Black & Decker’s senior transportation manager for EMEA-ANZ, David Lenaers, told The Loadstar congestion at Antwerp had been a problem since last year.
“Although things may have seen a slight improvement over the last month, delays persist,” he said.
“Furthermore, it seems there is no immediate solution in sight – with shippers being left out of the discussion and nobody willing to talk to, or represent, us.”
Dutch barge operator Contargo last week claimed barges were waiting up to five days for container loading and unloading, which had led to the imposition of a €19.50 container surcharge.
Mr Lenaers said delays of five to seven days had become increasingly frequent, with peak periods seeing even more severe congestion.
He said whenever he tried to speak to the inland terminals about the delays, they had directed him to the ocean carriers, who pointed him back to the inland terminals and port authorities.
“They continue to blame each other, but our biggest concern remains the lack of alternatives. We have no other option but road, and this has its own problems,” he continued.
“The roads in Belgium already suffer from heavy congestion and by using trucks we too would be creating bottlenecks at the port of Antwerp, not to mention the costs involved.”
Tool supplier Stanley Black & Decker has its main warehouse in Tessenderlo, between Antwerp and Liege, approximately 5-6km by road from the BCTN-operated Meerhout inland terminal on the Albert Canal.
“Various factors make using the canal the quickest form of transport. We have the goods delivered to Meerhout and then truck them the last few kilometres,” Mr Lenaers said. “If we were to truck them the whole way, it would become a 50km trip, which not only delays delivery but is also prohibitively expensive.
“For urgent deliveries, we have had to do this, and it remains a possibility in future cases where cargo cannot come by barge, but this is not sustainable in the long term.”
Another shipper also told The Loadstar the barge congestion had been problematic.
Mr Lenaers said there were no other ways for shippers to offset its impact, nor could they find a direct correlation between the delays and loss of sales.
Port of Antwerp said it was “well aware” of barge delays, claiming this was down to several factors, including a shortage of dock labour and capacity as a result of the rising volumes of shipping.
One inland terminal operator told The Loadstar congestion in Antwerp had turned into a “real disaster”.
Comment on this article
Gunther Ginckels
July 29, 2017 at 7:08 amShippers are rightfully complaining over the Inland Navigation operation in the Ports of Antwerp and Rotterdam. On the other hand, Mr David Lenaers is not right stating “shippers being left out of the discussion and nobody willing to talk to, or represent, us.” At the creation of the Antwerp Actionplan earlier this month, shippers where represented by Mr Lennart Heip of their organisation O.T.M. On the other hand and at the same occasion, O.T.M. admitted that shippers are no party to the Barge Operators and that O.T.M. was awaiting reactions and feedback from their members. Mr Lenaers is right that all parties continue to blame eachother however shippers are also a party and one can wonder why O.T.M. lacks the feedback from its members to make their point and defend their common interest. Lennart Heip’s observation that a consolidation of volumes is one of the solutions and right as long as this is done from the Ocean Terminal’s operational viewpoint. The one inland terminal operator who told The Loadstar congestion in Antwerp had turned into a “real disaster” can only blame himself as exactly these inland terminal operators managing both the barge services and inland facilities are through the fragmented volume flows the main cause of the “disaster”. Why can Container Carriers (2M+, THE Alliance, Ocean Alliance) controlling over 70% of Global Container shipping enter into VSA’s on the seven seas yet fail to extend same on the land side? Why are the ARA Ocean Terminal Operators (DP World, PSA, MPET, APM Terminals, RWG) handling 60% of the container volumes not taking control by consolidating volumes of their customers – the shipping lines – creating extended inland yards and gates? Why do Container Carriers and Ocean Terminals continue to ignore the opportunity to consolidate their volumes by offering an efficient and sustainable inland navigation operation on the market to serve their customers – the shippers?