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 | Potential Strike Announcement in Spanish Ports |
April 5, 2010 - After unsuccessful negotiations between the Spanish authorities and the stevedores' unions in relation to amendments to the proposed new Spanish Ports Act, the stevedores' unions have decided to employ new measures to pressurize the Government, and have signed a document agreeing to bring Spanish ports to a halt on 11th May 2010.
The disagreements started on 10th March 2010, when the unions issued a notification of intention to strike in protest against the amendments to the Ports Act, forcing the starting of negotiations with the Government. However, due to the breakdown of these negotiations, the threat of a strike has been resumed. The possible strike would be divided into three different stages:
-the first stage will be held between the 11th May 2010 (8:00 a.m.) and 15th May 2010 (8:00 a.m.).
-the second stage will cover the period from 18th May 2010 (8:00 a.m.) until 22nd May 2010 (8:00 a.m.).
- finally, the last stage would consist of an indefinite strike from 25th May 2010 onwards.
The main representatives of stevedores' interests have declared that their demands are far from being satisfied, although they are open to further dialogue. Apparently, the main points of discussion focus on the proposed text in relation to the terminals' operations, the means of handling stevedoring services, and also RO-RO traffic issues.
We shall issue further advice about developments in relation to the possible strike as soon as more news is available.
UK P&I Club Back to the top |
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BDP leader named number-one in Responsible Care® advocacy | |
May 5, 2010 - One of BDP International's most highly regarded affiliations is the company's relationship with the American Chemistry Council (ACC). As a certified Responsible Care Partner company since 2004, BDP has embraced and implemented the program's management practices including involvement in social responsibility programs. Each year, the ACC Responsible Care Awards Program recognizes companies and individuals who have made an outstanding contribution to the improved performance of the chemical sector. ACC Responsible Care award winners qualify based on exemplary performance, and winners are selected by an external expert committee.  The "Responsible Care Employee of the Year Award" is presented to one ACC member and one Partner company employee for outstanding leadership in Responsible Care. This year's Responsible Care Partner employee award went to BDP's Michael Ford, Vice President Regulatory Compliance and Quality. He was nominated by ACC Senior Director of Responsible Care, David Gleeson. Michael received this award for his exceptional leadership in the supply chain community as an industry knowledge leader. He was also recently appointed by ACC to lead the Responsible Care Partner Steering Committee. This responsibility has Michael ensuring that the goals of the Responsible Care Program are met and that partners are complying with the guidelines set forth by their agreement with the ACC. "The ACC is one of the most respected industry associations in the world," BDP President & CEO Richard Bolte added, "and for more than a quarter century Responsible Care has set the gold standard nearly everywhere for best business practice in Health, Safety and the Environment. "Michael Ford has raised the bar of BDP's affiliation with ACC to a whole new level. Those who know Michael's professionalism and work ethic also know there is nothing purely ceremonial about his receiving this accolade. Michael is one of that rare breed with the ability to make a difference, with authenticity, clarity for the facts, a passion for constructive change, and hard work. BDP could not be prouder of Michael and this outstanding accomplishment."
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| India, Japan set to seal FTA this year: minister |
May 3, 2010 - (NEW DELHI) India and Japan should be able to conclude a free trade pact to liberalise commerce this year, a minister said on Friday.
Talks between the two countries had been bogged down over how much to reduce tariffs by and whether Japan will ease its tight regulations to allow Indian generic drugs.
But Indian Commerce and Industry Minister Anand Sharma said that New Delhi and Tokyo should be able to wrap up a deal in 2010. 'India and Japan are engaged in Comprehensive Economic Partnership Agreement (CEPA) negotiations and we will be able to clear this by the time the next bilateral summit takes place,' Mr Sharma told a business function.
The summit is scheduled to be held later this year in Japan and Prime Minister Manmohan Singh will be attending it, Mr Sharma said, according to the Press Trust of India.
Mr Sharma also said that he will lead a large business delegation to Japan in the coming months to enhance economic ties between the two countries.
The Press Trust of India reported that officials from the two countries held talks here for three days earlier in April and were believed to have resolved several stumbling blocks to the market opening pact.
Issues such as liberalising sectors such as pharmaceuticals and services - areas of great interest to India - have been settled, the officials added. Once the free trade agreement comes into effect, as many 9,000 products - ranging from steel and clothing to drugs and machinery - are expected to be traded either without duty or at substantially reduced tariffs.
AFP
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| BDP Singapore awarded BizSAFE Enterprise Star Accreditation | |
May 5, 2010 - BDP International (BDP) today announced that its operations in Singapore has been awarded the BizSAFE Enterprise Star certification - the highest Occupational Health and Safety standard set by the Singapore Ministry of Manpower (MOM).
BizSAFE provides a systematic five-step process to help companies improve their workplace safety standards which in turn leads to increased productivity and improved business performance. To receive the BizSAFE Enterpise Star certification, BDP successfully completed all five steps and had an independent third party certify that the company was meeting the tough safety standards.
Regional Director of BDP South East Asia, Mr Peter Barnesby said receiving the BizSTAR Enterprise Star certification establishes BDP as an employer that places the highest value on worker safety.
"BDP has always understood it is our people that make our company different. We set exceptionally high standards of performance for our team, and in return, we ensure that their welfare and safety is our foremost concern."
"BDP is a privately-owned business and we treat our employees as if they are part of our family. That is why we have been working towards gaining this accreditation."
"It is BDP's belief that profitability goes hand in hand with workplace safety. When accidents do occur there is always a cost to the business as well as the stress and emotional upset caused to the family of the injured worker. So it makes good business sense to implement effective safety and health management procedures to reduce the probability of injuries or illness in the workplace," Mr Barnesby said.
Of the 4,500 companies currently undergoing various levels of accreditation under the BizSAFE scheme, BDP is one of only 15 Transportation and Logistics companies to hold the highest standard BizSAFE Enterprise Star accreditation.
BDP International
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| Carriers eye fleet expansion again as dust settles from the downturn |
April 29, 2010 - AS the storm of last year's recession now fades into the distance, a number of carriers are looking to expand their fleet again in 2010, despite the apparent risks involved.
Contrary to last year's trend of getting rid of excess tonnage and putting newbuilding deliveries on hold, shipping companies this year, are increasing their fleet and hoping that positive business trends will turn the move into a winning strategy in the long run.
The practice is however, not universal. Among the top 25 carriers that increased their operating capacity by five per cent in the past year, only 15 added new capacity, while the rest reduced tonnage, according to Alphaliner.
Shipping lines that expanded their fleet gained a higher market share over the other lines.
Prominent among carriers that opted for a bigger fleet was Chilean carrier, Compania Sud Americana de Vapores SA (CSAV ), which is expected to see a 46 per cent, or 132,000 TEU, increase in its operated tonnage to 419,000 TEU in the 12 months ending May 1.
Fleet expansion has enabled the carrier to up its market share to three per cent from 2.1 per cent, and move to the tenth slot from the sixteenth in global carrier rankings. The carrier has achieved the mean feat of having no idle vessel in its fleet this year.
CSAV's fleet expansion took place amid efforts to ink a financial bailout deal involving shareholders and German shipowners to whom it owed money.
The bailout, which included the innovative strategy of offering 18 per cent of the carrier's equity shares to German shipowners in exchange for its outstanding debt and concessions, helped it to generate US$773 million in new equity, said Alphaliner.
The bailout supported by financial institutions has not gone down well with carriers like Hamburg Süd, which has reportedly reduced dealings with banks that helped the distressed carrier.
Shipping Gazette - Daily Shipping News
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| Iceland volcanic ash grounds flights across Ireland | |
May 4, 2010 - DUBLIN (AFP) - Aviation chiefs grounded flights into and out of Ireland and Northern Ireland on Tuesday as ash from an Icelandic volcano drifted in, causing fresh travel chaos for thousands of passengers.
After last month's lengthy airspace shutdown across Europe that crippled air travel, Irish and British air authorities announced a new aerial closure from 0600 GMT due to the risk to plane engines from the ash.
"Ireland falls within the predicted area of ash concentrations that exceed acceptable engine manufacturer tolerance levels," said the Irish Aviation Authority (IAA).
Irish flag carrier Aer Lingus and budget carrier Ryanair cancelled hundreds of flights, throwing travel plans for air passengers into disarray.
Britain's Civil Aviation Authority (CAA) said airspace over Northern Ireland -- a British province -- would be closed from 0600 GMT.
"Airspace over Northern Ireland will also be closed from 0700 local time (Tuesday) morning," it said in a statement.
The air authority also closed down airspace over the Outer Hebrides islands off the northwest of Scotland at 1700 GMT Monday due to the ash cloud.
The new alerts should not disrupt aircraft overflying Ireland from Britain or Europe, or southern British airports including Heathrow, Europe's busiest air hub, authorities in the two countries said.
The cloud of ash came from the eruption of Iceland's Eyjafjjoell volcano, whose drifting dust was behind last month's shutdown that left hundreds of thousands of travellers stranded across the globe.
Airspace was re-opened after about a week following emergency talks between European governments, airlines and regulators.
The IAA said all flights into and out of Ireland would be grounded from 0600 GMT to 1200 GMT Tuesday due to the dangers posed by the new volcano cloud.
"The decision is based on the safety risks to crews and passengers as a result of the drift south of the volcanic ash cloud caused by the north easterly winds," said the authority in a statement.
It added that "over-flights of Ireland from the UK and Europe will not be impacted tomorrow. Flights in mainland Europe will operate normally."
Information from the London-based Volcanic Ash Advice Centre (VAAC) suggested that the no fly-zone' would affect Dublin and other airports across the country, said the IAA.
Hundreds of flights were due to depart and fly into Dublin airport throughout the day, with more from Shannon and Cork in the south of the country and Ireland's smaller regional airports.
Ryanair said it had cancelled all flights into and out of Ireland between 0500 GMT and 1300 GMT Tuesday.
"The first wave is clearly one of the busiest parts of the day so it will have a fairly significant effect on the operation tomorrow," airline spokesman Stephen McNamara told the BBC.
Irish flag carrier Aer Lingus said it had cancelled all British and European flights scheduled to depart and arrive into Dublin, Cork, Shannon and Belfast airports before 1200 GMT Tuesday.
IAA chief executive Eamon Brennan struck an upbeat note, however, saying it was hoped restrictions could be removed later Tuesday.
"We are quite optimistic that it will dissipate and we are quite optimistic for Dublin and for Shannon (airports) tomorrow afternoon but we will make a reassessment for that in the morning," he told the BBC.
The international airline industry body, IATA, said last month's shutdown cost carriers some 1.7 billion dollars (1.3 billion euros) and called on governments to pick up at least part of the cost, angered by their handling of the crisis.
Eurocontrol, the continent's air traffic control coordinator, said more than 100,000 flights to, from and within Europe had been cancelled between April 15 and 21, preventing an estimated 10 million passengers from travelling.
AFP
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| Businesses Protest High CHC at Tanjung Priok | |
April 7, 2010 - The Indonesian National Importers Association (GINSI) is pressuring the Ministry of Transport to reduce the container handling charges at Indonesia's largest port, Tanjung Priok, Jakarta. Their target is to reduce the to USD 50. Both Indonesia's importers and exporters complain that more efficient and better-equipped ports like Singapore are charging substantially less than Tanjung Priok's USD 80. Currently, around 3 million TEUS arrive at Tanjung Priok port per annum. Ocean Week No. 198/IX and BDP International Back to the top |
| Implementation of ACTFA in Indonesia | |
April 7, 2010 - The implementation of the new ACFTA (ASEAN China Free Trade Agreement) in 2010 has Indonesian Customs tightening its grip on all cargo being imported into Indonesia at every entry point especially the eastern shoreline of Sumatra.
Indonesian Customs fear that there will be increased smuggling under the guise of cargo from China to take advantage of the ZERO import duty, which applies to certain products and material originating from China. Customs officials at all ports are intensifying their cargo inspections and document verification as a result.
In 2009, the value of Chinese non-oil & gas imports into Indonesia was estimated to be USD 13.5 billion. By comparison, the same figure from the US was estimated to be only USD 7.3 billion.
While Indonesian Customs officials may not appreciate the comment, whenever new initiatives are implemented, they often result in longer periods required for clearing inbound cargo as well as higher costs. Ocean Week No. 198/IX and BDP International
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Trans-Pacific Spot Rate Jumps 10.8 Percent | |
May 5, 2010 - The spot rate for shipping a 40-foot container from Hong Kong to Los Angeles jumped to $2,189 per FEU in the week ended May 3, according to data collected by Drewry Shipping Consultants.
The Drewry container rate benchmark for the trans-Pacific route was 10.8 percent, or $213 per FEU, higher than the average rate of $1,976 per FEU recorded in the week ended April 26 and over $2,000 per FEU for the first time since February, as tracked in the Journal of Commerce container rate benchmark over the past year.
The increase in the spot rate in the most recent week reflects the higher rates that carriers are seeking in their annual service contract negotiations with U.S. importers.
"Contract rates are not driving spot rates. But carriers must have taken the view that they needed to give the spot rate a final push on May 1 to drive volume towards higher rates in both the spot and the contract market segments," said Philip Damas, division director of Drewry Supply Chain Advisors.
The spot rate covers only about 10 percent of trans-Pacific container volume. The vast majority is covered by annual contracts that normally go into effect on May 1. But this year, as in the past few years, many shippers are still negotiating their 2010-2011 contract rates, which have not yet gone into effect.
The latest spot rate was 112.8 percent higher than in the same week of 2009, when trans-Pacific rates were still heading down in the rate war that dragged carriers' bottom lines down as well.
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| No oil spill impact in Gulf of Mexico ports yet |
May 5, 2010 - The Gulf of Mexico oil spill has not slowed ship traffic to central U.S. Gulf ports, and shipping lanes into the key port of New Orleans are expected to stay clear at least into Friday, officials said.
No ships entering the Southwest Pass at the mouth of the Mississippi River, the main deepwater entrance, have had to be cleaned due to having passed through or near the spill, Port of New Orleans spokesman Chris Bonura said.
In Gulfport and Pascagoula, Mississippi, and Mobile, Alabama, other ports potentially in the path of the spill, port officials said there had been no significant effects on shipping.
"We're open, and everything's running smoothly," a spokeswoman for the Alabama State Port Authority in Mobile said.
"We had a 666-foot ship come in last night. It's docked and working right now," said Don Allee, Mississippi State Port Authority director at the Port of Gulfport. The Eurus London was unloading general cargo and fruit, he said.
Operators of lightering tankers, which unload oil from supertankers too big to enter U.S. ports for trans-shipment to onshore terminals, also reported no significant impacts on operations.
"At this time, we are not seeing any impact on our operations," Bente Flo, a vice president of I.M. Skaugen SE, which operates a lightering service in the Gulf, said in an email.
Some of the fairways, or designated routes, into ports have been affected by the spill, but there are multiple ways in and the spill was at least 36 miles off the Mississippi-Alabama coasts as of midday Wednesday, port officials said.
Vessels entering Mobile Bay have been told by the Alabama state harbor master to certify themselves free of oil contamination, and the Coast Guard is making tentative plans for cleaning stations at Mobile, a spokeswoman said.
The Coast Guard has set up two cleaning stations on the lower Mississippi River to try to keep traffic moving if ships become contaminated entering the key ship and barge corridor.
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| Argentina turns heat on Falklands shipping | |
May 3, 2010 -- Amid increased arms shopping, Argentina is turning the heat on shipping to the British-ruled Falkland Islands ahead of further results from recent drilling for underwater crude oil and gas reserves.
The latest Argentine coast guard restrictions on shipping came after President Cristina Fernandez de Kirchner announced plans in February to monitor vessels traveling to and from the South Atlantic archipelago.
The Argentine curbs include punitive action against vessels that are found to be involved with the Falklands' oil exploration effort -- hotly contested by Buenos Aires, which claims sovereignty over the islands.
Britain and Argentina went to war in 1982 after an Argentine bid to seize control of the islands. The 74-day conflict cost 907 lives but, even after defeat, Argentina never abandoned the sovereignty claim, which it revived with public rallies when British oil firms started drilling for oil in the north Falklands Basin last year.
Fernandez escalated the sovereignty claim on the 28th anniversary of the Falklands War April 2, accusing Britain of ignoring U.N. resolutions. Britain says the Falklands' sovereignty isn't in dispute.
Argentine Naval Prefecture says requests for permission to travel by sea to the islands from Argentina must be submitted seven days before departure. It has warned shippers the same rule applies to vessels bound for Argentina from the Falklands, South Georgia or South Sandwich Islands in the Falklands archipelago.
At the heart of the new restrictions are Argentine demands for shippers' adherence to its Decree 256/2010, which means shippers who comply tacitly recognize Argentine jurisdiction over the islands, a British Overseas territory.
In one major incident in February, Argentine coastal officials halted a shipment of oil pipes apparently destined for the Falklands. The seizure coincided with the start of exploratory drilling.
Despite early reports that disappointed prospectors, neither the oil companies nor Argentine authorities watching over them have given up on the idea that the Falklands basin may hold huge oil and gas reserves, hence the Argentine moves to refurbish its long neglected military machine as part of the sovereignty drive.
Last month Argentina signed deals worth $30 million with Russia to buy Mi-171E transport helicopters and other equipment that in the past would have been supplied by U.S. companies.
A wide-ranging military refurbishment program, delayed for lack of government funds, now involves both public and private sector initiatives. Prospects for growth in the industry prompted Business Monitor International to issue a comprehensive "Argentina Defense & Security Report" in December 2009 aimed at potential investors in the sector.
Tension between Argentina and Britain over the Falklands has led to Argentine defense and security industries seeking international partnerships in anticipation of increased orders.
The Argentina Defense and Security Report cites 5-year industry forecasts for Argentina through 2014, company rankings and competitive landscapes covering national and multinational arms and components manufacturers, electronic and software producers and companies providing defense solutions.
The report's analysis of latest industry developments, trends and regulatory changes in Argentina are aimed at investors who see the Falklands factor impacting on Argentine defense industry's direction.
Industry trends, regulatory changes and major deals, projects and investments in Argentina were surveyed as part of the BMI report.
The Argentine military has been campaigning for more government funds to refurbish and find replacements for equipment previously bought from U.S. companies. Both China and Russia have expressed interest in expanding military cooperation with Buenos Aires.The deal signed with Russia last month was the first of several under negotiation to be finalized. Other areas explored by Argentina include Russian help with nuclear power development.
United Press International (UPI) Online
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| Hong Kong shippers decry intra-Asia bunker charge | |
May 6, 2010 -- The Hong Kong Shippers' Council is furious with shipping lines that have begun instituting a nearly $45-per-TEU "emergency bunker surcharge" on export shippers in the intra-Asia trade.
The charge represents roughly 16 percent of the current average freight rate in the trade, the council argued, while oil prices are nearly half of what they were in 2008.
"I particularly resent the requirement that this EBS is to be collected for all export shipments from China at ports of origin, regardless of whether the cargo has been 'pre-paid at origin' or 'collected at destination,' " HKSC Chairman Willy Lin wrote in a note posted to the Hong Kong Trade Development Council Web site.
"Everybody realizes that fuel is consumed during the actual sea journey and therefore any surcharges associated with fuel can only be part of sea freight and naturally, to be paid by the party that pays the freight. Shipping lines' absurd requirement that EBS must be paid by shippers at origin has disrupted not only normal shipping practices, but international trading practices as well. Shipping lines should realize that under FOB terms, all freight charges (including all fuel-related surcharges) are to be paid by importers at destination."
Lin said shippers in South China are refusing to pay the surcharge and said it is evidence that lines are trying to collect revenue this year to make up for steep operating losses in 2009.
The note did not specify which lines were attempting to impose the fee. Lin did say that the Beijing-based China Shipper's Association plans to file a complaint with China's Ministry of Communications, which oversees liner affairs.
American Shipper International Trade & Logistics
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