Post by HardTimeTrucker on Dec 18, 2008 0:22:52 GMT -5
The JOURNAL of COMMERCE
Charleston, SC Port to Cut Box Fees
December 17, 2008
The South Carolina State Ports Authority announced it will discount container-handling fees at the Port of Charleston through March, 2009.
The agency's Mid-Winter Rate Roll-Back will reduce contract unit fees for container carrier customers by 5 percent Jan. 1 through March 31.
It said it is instituting the across-the-board rate discount “to provide near-term relief to customers impacted by the current global economic situation”.
The authority said the action is aimed at maintaining the viability of current service levels from its carrier clients, avoiding cuts that would negatively affect the local maritime industry and jobs statewide.
Through the first five months of the current fiscal year, which started July 1, Charleston’s container traffic fell 4 percent from the previous-year period.
This week the International Longshoremen's Association locals at Charleston rejected a proposal to allow Charleston's biggest customer, Maersk Line, to switch from ILA labor to less expensive non-union terminal workers.
Maersk, which accounts for one-fourth of Charleston's container volume, has threatened to pull out of the port if it can't reduce its costs. With cargo volumes down, the company has been hit with shortfall fees for failing to meet volume commitments under its contract with the ports authority, which runs through 2010.
Charleston, SC Port to Cut Box Fees
December 17, 2008
The South Carolina State Ports Authority announced it will discount container-handling fees at the Port of Charleston through March, 2009.
The agency's Mid-Winter Rate Roll-Back will reduce contract unit fees for container carrier customers by 5 percent Jan. 1 through March 31.
It said it is instituting the across-the-board rate discount “to provide near-term relief to customers impacted by the current global economic situation”.
The authority said the action is aimed at maintaining the viability of current service levels from its carrier clients, avoiding cuts that would negatively affect the local maritime industry and jobs statewide.
Through the first five months of the current fiscal year, which started July 1, Charleston’s container traffic fell 4 percent from the previous-year period.
This week the International Longshoremen's Association locals at Charleston rejected a proposal to allow Charleston's biggest customer, Maersk Line, to switch from ILA labor to less expensive non-union terminal workers.
Maersk, which accounts for one-fourth of Charleston's container volume, has threatened to pull out of the port if it can't reduce its costs. With cargo volumes down, the company has been hit with shortfall fees for failing to meet volume commitments under its contract with the ports authority, which runs through 2010.