PORT BOTANY DELIVERING A “THIRD WORLD” SERVICE IN THE 21ST CENTURY

Please be advised that due to a combination of factors including industrial action, we are experiencing ongoing heavy congestion at Sydney terminals.

This congestion has led to significant delays and an increase in overall operational costs claimed by shipping lines.

3 major ocean carriers, namely CMA CGM / ANL / MSC have elected to introduce a temporary port congestion surcharge.

The ongoing industrial action at Australian ports DP World & Patricks is expected to affect shipments both import and export well into the peak season.

MSC was the first to introduce a congestion surcharge, quickly followed by ANL/CMA and PIL with more carriers to follow eventually in the coming days / weeks.

The fees announced are significant USD 285-300 per TEU

  • MSC vessel arriving 14th September
  • ANL/CMA vessels arriving 17th September
  • PIL vessels arriving 01st October

With freight rates now at the highest level in years CTS is disappointed about the shipping lines decision to impose additional surcharges and we support

our peak industry body (FTA) action in escalating the situation to the ACCC to investigate any breach of competition law.

Add into the mix the disastrous situation of full empty container parks, re-directions, staging and transport costs. Incredibly, shipping lines continue to

refuse to implement extensions on container detention periods despite being at a loss themselves on what to do with the surplus containers that they

have failed to evacuate from Australia

*******

Unfortunately CTS is not in a position to absorb this congestion surcharge and has to forward the cost when and if applicable.

Rest assured we are monitoring the situation very cautiously and will keep you updated.

Thank you for your time and please stay safe.

Your Team at CTS Pty Ltd