tralac trade law centre Durban port leads way for African trade
Transporting goods by sea remains the most common way to trade globally, but in Africa cargo spends an abnormally long time in ports before it is moved inland, presenting a serious obstacle to the successful integration of sub-Saharan economies in worldwide trade networks. The port of Durban, however, has managed to buck the trend.
A World Bank study, titled Why does cargo spend weeks in sub-Saharan African ports? Lessons from six countries1, found the average cargo waiting time to be 20 days and that more than half of the time needed to transport cargo from ports to hinterland cities in landlocked countries in sub-Saharan Africa is wasted because of the time it spent in ports.
The average cargo dwell time in Durban is four days, which is on a par with ports in East Asia and Europe.
The African Development Bank s definition of dwell time is the time cargo remains in a terminal s in-transit storage areas while awaiting shipment for export or onward transportation by road or rail for import.
Dwell time is one indicator of a port s efficiency: the higher the dwell time, the lower the efficiency. And longer dwell times have an adverse effect on economic growth.
Long transport times reduce trade
A 2012 working paper produced by the National Bureau of Economic Research, titled Time as a trade barrier2, concluded that longer transport times dramatically reduce trade and estimates that each day in transit is worth 0.6% to 2% of the value of the goods.
Long transit delays also significantly lower the probability that a country will successfully export its goods.
Africa s estimated infrastructure deficit of $48-billion a year is often singled out as the culprit for hampering trade in and around the continent, but reasons for bottlenecks are far more complex and a lot more challenging to resolve.
Shantayanan Devarajan, the World Bank s chief economist for the Africa region, says that long dwell times are in the interest of certain players in the system and that dealing with the proximate cause of the problem, such as the apparent lack of berths in African ports, is unlikely to trigger a solution.
Specifically, importers use the ports to store their goods; in Douala Cameroon, for instance, storage in the port is the cheapest option for up to 22 days, Devarajan wrote in the foreword of the World Bank study.
Customs brokers, meanwhile, have little incentive to move the goods because they can pass on the costs of delay to the importers. Worse still, when the domestic market is a monopoly, the downstream producer has an incentive to keep the cargo dwell times long as a way of deterring entry of other producers.
Discretionary behaviours
The evidence in the study shows that discretionary behaviours increase system inefficiencies and raise total logistics costs.
In most ports in sub-Saharan Africa, the interests of controlling agencies, port authorities, private terminal operators, logistics operators (freight forwarders) and large shippers collude at the expense of consumers, the report said.
Surveys demonstrate that low logistics skills and cash constraints explain why most importers have no incentive to reduce cargo dwell time as, in most cases, doing so would increase their input costs.
Moreover, some terminal operators generate large revenues from storage, and customs brokers do not necessarily fight to reduce dwell time because time inefficiency is charged to the importer and eventually to the consumer.
Durban port is considered a good benchmark for sub-Saharan ports. Its average four-day waiting period for import and export cargo is much closer to best practice in East Asia and Europe, which is a three- or four-day waiting period.
South Africa s commercial ports have been placed firmly in the hands of the state through Transnet. With the exception of these ports and Mombasa in Kenya, all other ports surveyed in the study are run by private container terminal operators.
Lessons from the Durban port
The demand at South African ports surpasses all countries in East and Southern Africa and has a critical role to play in the international trade landscape for the region, according to a 2011 World Bank working paper.
It said Durban port could teach sub-Saharan African ports a few lessons namely that the onus was on public sector players such as customs and the ports authorities to put pressure on the private sector of port users to comply and reduce cargo dwell times.
Prohibitive charges for storage, coupled with strict enforcement and the possibility to preclear with customs with advantages attached to it and service level agreements binding both parties are critical tools for the reduction of cargo dwell time, the paper said.
In the late 1990s, Durban port was notoriously inefficient with high levels of congestion, characterised by long berthing delays for container vessels, long train turnaround times in the port and long queues for road trucks, which resulted in dwell times of six to seven days on average.
But in 1998, the paper said, shipping lines lost their patience and introduced a vessel delay surcharge.
This was a wake-up call for Transnet Port Terminals and the National Port Authority. A committee was created involving the port stakeholders with a defined strategy and several measures, which seem to have had the most important impacts.
Storage charges
Major stakeholders acknowledge that the introduction of the punitive storage charge after day three is probably the most important single factor affecting dwell time at Durban port, the working paper said.
This means that, after 72 hours, containers incur heavy storage charges. The result is that storage charges in Durban are almost six times as high as other ports in the country.
But investment in infrastructure has certainly also helped the process. At the time when Durban adopted its port liberalisation policy, South Africa s trade infrastructure was ageing and had been neglected for many years, and most of the country s ports were not performing well.
From 2002, Transnet invested more than $700-million in ports over a five-year period, focusing on creating capacity and equipment. An average dwell time for cargo of four days at Durban port has been achieved and maintained since 2006.
More investment is also on the way. Just last month, Minister of Public Enterprises Malusi Gigaba unveiled Transnet s seven new state-of-the-art ship-to-shore cranes at the Durban Container Terminal as the company surges ahead in its drive to boost productivity and efficiency in arguably the southern hemisphere s biggest and busiest port.
The cranes are part of Transnet s rolling R300-billion seven-year investment programme the market demand strategy , the state-owned enterprise said.
Over the next 20 years, Transnet Port Terminals, which currently operates 45 cranes in seven ports across the country, will buy 39 new ship-to-shore cranes.
Improvements
While Durban may remain top dog when it comes to the continent s ports, improvements elsewhere will undoubtedly have positive spin-offs for South Africa.
Ga l Raballand, World Bank senior economist and co-author of the cargo dwell-time study, told the Mail & Guardian that reducing dwell time could possibly increase competition in Sub-Saharan Africa.
But, he added, what matters in transport are economies of scale and, therefore, there is somehow a first- mover advantage the biggest economy is likely to attract more flows, which are going to lead to reduced transport costs, which will reinforce its position. South Africa is the gateway because it is also the largest economy.
Source: http://mg.co.za/article/2013-06-14-00-durban-port-leads-way-for-african-trade3
References
- ^ Why does cargo spend weeks in sub-Saharan African ports? Lessons from six countries (econ.worldbank.org)
- ^ Time as a trade barrier (www.nber.org)
- ^ http://mg.co.za/article/2013-06-14-00-durban-port-leads-way-for-african-trade (mg.co.za)
Details on American Trucking Association v. Los Angeles …
The petitioner in this case, American Trucking Associations, whose members include many short-haul drayage trucking companies that move cargo in and out of port, sued the Port and City of Los Angeles seeking an injunction against the agreements requiring the drayage trucking companies to affix placards on each truck with a phone number to report concerns, and to submit an off-street parking plan for each truck. Justice Kagan delivered the opinion for a unanimous Court, which held that the Federal Aviation Administration Authorization Act of 1994 (FAAAA) expressly preempts the concession agreement s placard and parking requirements. Section 14501(c)(1) of the FAAAA preempts a state law, regulation, or other provision having the force and effect of law related to a price, route, or service of any motor carrier . . . with respect to the transportation of property. Justice Thomas filed a concurring opinion.12
On a lighter note, page 2 of the Court s opinion contains a sly reference to a 1982 radio hit:
Under the contract, a company may transport cargo at the Port in exchange for complying with various requirements. The two directly at issue here compel the company to (1) affix a placard on each truck with a phone number for reporting environmental or safety concerns (You ve seen the type: How am I driving? 213 867 53093 ) and (2) submit a plan listing off-street parking locations for each truck when not in service.
Jenny (or whoever is unfortunate enough to have her number in L.A.) is about to start getting a bunch of calls again, and Wilson Pickett4 is still waiting for a shout-out.
Vote alignment by ideology
Posted in American Trucking Associations v. City of Los Angeles5, Merits Cases6
Recommended Citation: Tom Goldstein, Details on American Trucking Association v. Los Angeles, SCOTUSblog (Jun. 13, 2013, 11:47 AM), http://www.scotusblog.com/2013/06/details-on-american-trucking-association-v-los-angeles/
American Trucking Association v. Los Angeles” st_url=”http://www.scotusblog.com/2013/06/details-on-american-trucking-association-v-los-angeles/”> ^ this case (www.scotusblog.com)
JURIST – Paper Chase: Supreme Court rules Los Angeles trucking …
The court heard oral arguments7 JURIST report in the case in April. An attorney for the American Trucking Associations8 association website argued that “the Port is imposing binding standards of conduct on motor carriers as a condition of accessing a channel of interstate commerce,” impermissibly, through criminal penalties. An attorney for the city of Los Angeles argued that they were simply acting under the same standards as private entities. “They set forth conditions under which drayage trucks can enter the nonpublic portions of the Port, and they are indistinguishable, indistinguishable from contract provisions that private parties routinely impose on those who seek to enter their property. In our view, 49 USC 1450 (c)(1) does not deal with contracts, and it doesn’t deal with the right of landowners to condition those seeking entry into their Port.”
Supreme Court rules Los Angeles trucking rules preempted by federal law Jaclyn Belczyk at 11:40 AM ETJURIST The US Supreme Court official website ruled opinion, PDF unanimously Thursday in American Trucking Associations, Inc. v. Los Angeles SCOTUSblog backgrounder that federal law preempts certain provisions of an agreement that trucking companies must sign before they can transport cargo at the Port of Los Angeles. In an opinion by Justice Elena Kagan, the court held, “that the Federal Aviation Administration Authorization Act of 1994 (FAAAA) text expressly preempts two of the contract’s provisions, which require such a company to develop an off-street parking plan and display designated placards on its vehicles.” The court declined to decide whether, under Castle v. Hayes Freight Lines, Inc. (1954) opinion, federal law governing licenses for interstate motor carriers prevents the Port from using the agreement’s penalty clause to punish violations of other, non-preempted provisions. The court partially reversed the decision text of the US Court of Appeals for the Ninth Circuit and remanded the case. Justice Clarence Thomas filed a concurring opinion.
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References
- ^ Supreme Court (www.supremecourt.gov)
- ^ ruled (www.supremecourt.gov)
- ^ American Trucking Associations, Inc. v. Los Angeles (www.scotusblog.com)
- ^ Federal Aviation Administration Authorization Act of 1994 (www.law.cornell.edu)
- ^ Castle v. Hayes Freight Lines, Inc. (scholar.google.com)
- ^ decision (scholar.google.com)
- ^ heard oral arguments (jurist.org)
- ^ American Trucking Associations (www.trucking.org)
- ^ link to this story (jurist.org)
- ^ print (jurist.org)
- ^ subscribe to our daily e-mail digest (jurist.org)
- ^ JURIST on audio! (podcasts.odiogo.com)
- ^ Join JURIST on Facebook! (www.facebook.com)
- ^ Archive (jurist.org)
Hauliers look to broaden their business as road freight faces …
Despite the tough overall conditions that continue to plague north European economies, road freight volumes appear to be holding up.
The recent monthly Danske Bank freight forwarding index recorded a May level of 63, substantially up from April s level of 50 (a number that represents a stable level of volumes). However, road freight operators also remained relatively pessimistic about the forthcoming months, according to report author Erik Bergoo.
Expectations for road came in at 47 for July (57 in June) and indicate decreasing volume development over the next two months, he said.
The uncertainty over future business levels was reflected in the preliminary results of one of the UK s largest haulage companies, Wincanton, which were released today. Over the past year the company has refocused its business, withdrawing from its European operations and exiting the food distribution business and instead concentrating on the remaining UK and Ireland operations.
It recorded a 10% decline in revenues, which dropped from 1.2bn the year before to 1.08bn, partly as result of the withdrawal from Europe and food, but also partly as a result of two particular customers deciding to in-source supply chain operations.
Nonetheless, pre-tax profit was up, from 28.8m in 2012 to 32.1m this year, with underlying margins up from 3.6% to 4.3%, which were principally the result of cost savings, while it bolstered its revenues through a series of contract wins, and sought to offer existing clients a broader range of services.
We have made progress with offering broader supply chain solutions in the year, in particular with the extensive technological developments inherent in the convenience store distribution centre solutions. By increasing the value added in our solutions we have both increased the return from such projects and also the depth of our relationships with our customers, said chief executive Eric Born.
Its major difficulty is that in concentrating on the UK and Ireland it has hardly placed itself in a market that has significant growth potential. That said, after a challenging few years in which it has recorded losses and seen its markets hit by recession, it remains firmly in recovery mode.
Wincanton is making steady progress in its recovery programme and, whilst average debt levels (c 201m) remain too high in our view, the group is now generating a positive cash inflow and debt levels are falling. Underlying trading looks reasonably encouraging in a tough industry and group operating profit margins rose from 3.6% to 4.3% in the year, analysts at Investec wrote in a note following the publication of the results.
Mr Born added that he did not expect to see any general economic recovery in its markets over the next 12 months. We do not expect the economic environment in the UK and Ireland to offer any relief and as such we will focus on winning market share and capture customer opportunities through the development of supply chain solutions and the cross-selling of products and services.
In addition to growing the business and broadening our offering, we will continue to drive out further costs by improving the efficiency of our operating model across our three main asset pools of people, property and fleet.
A Dow Jones analyst told The Loadstar: Unemployment is slow because most people have kept their jobs, which is unusual for an economic downturn in this country, but on average they re actually earning what they were earning perhaps 10 years ago. Stobart offers a template for an alternative strategy, diversification into other business areas, but with the exception of its biomass operations, that doesn t seem to have paid off yet.
In terms of logistics, however, both companies are broadly transforming themselves from hauliers into integrated logistics service providers.
Wincanton splits its business into two sectors: contract logistics services, which covers its logistics customers in the construction, FMCG, retail grocery, retail general merchandise, tankers and fuel sectors, amongst others. Overall revenue for the division was down 10% to 923m, and every sector showed declining revenues bar construction, which was buoyed by new bulk cement powder transport operations for Lafarge from its network of six national plants nationwide.
It also won a new contract with Rolls Royce for the storage of defence-related power units, while other start-ups included two new distribution centres for Morrisons and Sainsbury s convenience store expansion.
Its other sector is the smaller, specialist services division, which comprises container haulage, document storage and vehicle maintenance and repair services, and which reported an 8.5% decline in revenue, mainly dragged down by the weakness in the container transport market.
The container transport market continues to be weak in the UK with limited overall volume growth. Factors such as increasing shipping line charges for UK delivery diverted volumes to European ports and transport operators, the company said.
Significance of Logistics in Import/Export Small business …
For anyone who is a world provider of items then you definitely have to know the importance of logistic providers. Logistic services vendors or freight forwarders present variety of transportation providers for their customers. They help to maneuver the items and extras together with food items, attire, engineering machines, and lots of other items. They offer an opportunity for your makers to grow their business far across the nations. They will simply satisfy the intricate distribution wants on the makers. These logistic services vendors operate in the determined manner and use really regular procedures to ensure your business plans are achieved by the due date. busana muslim1
Logistic services vendors operate seamlessly with transportation services vendors, provide chain & logistics professionals, customizing the solution to the wants of their worldwide customers. They operate in association with their air, ocean, brokerage, warehousing as well as consolidation providers. Their wide ranging consolidation and distribution providers present worldwide logistics vendors and makers a complete control on their provide chain management. They provide logistics and distribution providers to the customers at the worldwide location where business wants on the customers are best achieved, by the due date and within their budgetary constraints.
Logistic services vendors can handle and manage all factors of sea freight, air freight, land transport and shipments with flawless integration of inbound receipts, warehousing, distribution, storage of cargo & end-to-end as well as port to port services with excellent transit times. They provide port-to-port and door to door freight providers transit times consistent throughout the year and to any location on the manufacturer s choice. Their local experts operate with the makers to book capacity and track their shipment anywhere anytime to ensure goods arrive when needed.
The flexible providers and their international network locations render an inspiring prospect for your makers, suppliers, transportation agencies, and warehousing companies to minimize cost of operation and distribution. Their efficient door to door transport providers refers to the quick movement of goods from the door on the seller / shipper to the door on the buyer. This type of transportation services may include various modes of transportation together with air, sea or road. Each mode of transport is specialized and wants a professional excellence and thorough understating on the warehousing and distribution providers.The logistic services busana muslim trendy 2vendors present absolute professionalism, loyalty, and consistency with the essential providers like:
1. Air Express Support, high priority (24 hours)2. Value added services to any destination3. Economical & timely distribution4. Door to Door & Airport to Airport services with excellent transit times5. Full Container Load (FCL) & Partial Container Load (LCL) cargo services6. Worldwide delivery
Logistics and freight forwarder companies provide the ideal balance of time, space, frequency and cost. They offer the most efficient and cost effective solutions for your worldwide customer s freight wants while meeting time critical schedules to meet their requirements. busana muslim terbaru3
References
- ^ busana muslim (www.muslimgaleri.com)
- ^ busana muslim (www.muslimgaleri.com)
- ^ busana muslim (www.muslimgaleri.com)
Trucking environment gets stronger in April: FTR
BLOOMINGTON, Ont. — A strong environment for trucking got even stronger in April, as FTR s Trucking Conditions Index (TCI) rose another 0.7 points to a reading of 13.8. The TCI is designed to summarize a full collection of industry metrics, with a reading above zero indicating a generally positive environment for truckers. Readings above 10, as they are now, signal that volumes, prices, and margins are likely to be in a solidly favourable range for trucking companies.
FTR officials say modest rate increases are expected to resume as freight enjoys reasonable volume growth alongside the reduced trucking productivity due to increased regulations (It is forecast that new regulations will take at least 3% out of trucking capacity, according to FTR). A soft fuel market will keep overall freight rate increases (rates including fuel) below normal recovery levels, the report says. However, FTR expects a significant increase in base prices due to the effects of Hours-of-Service and other rulings negatively impacting trucking capacity.
Recent data point to a fragile manufacturing sector. This is a concern as industrial movements account for a significant portion of truck freight. Despite the concern I believe that manufacturing is pausing rather than starting a downturn. As long as the modest economic growth continues, trucking should be able to show further growth in 2013, said Jonathan Starks, director of transportation analysis for FTR.
The bigger concern is how the industry reacts to the fast approaching Hours-of-Service starting on July 1. The markets have been in supply and demand equilibrium since late in 2011. As such, rates have been very stagnant amid a strong TCI reading because the market tends to react to changes in market conditions. We believe that our expected 3% hit to productivity is enough to break that equilibrium and generate substantial rate improvement by the end of the year.
Road Freight Forwarding in Australia Industry Market Research …
The Road Freight Forwarding industry is expected to face more-favourable trading conditions over the next five years. For this reason, industry research firm IBISWorld has updated its report on the Road Freight Forwarding industry in Australia.
Melbourne, Australia (PRWEB) June 12, 2013
Freight forwarders purchase transport services in bulk, which they then onsell in smaller quantities to major markets. The distinguishing feature of their activities is consolidation, a process where they combine loads from multiple clients to use transport space as efficiently as possible. The industry’s competitive advantage of consolidation services has diminished in the five years through 2012-13 due to changes in the logistics market. As Australia’s freight task has grown, the logistics sector has increased in sophistication. According to IBISWorld industry analyst Caroline Finch, third-party logistics services have increased rapidly and the rise of vertically integrated logistics companies has eclipsed growth in the industry. Revenue for the Road Freight Forwarding1 industry is expected to decline at a compound annual rate of 2.1% over the five years through 2012-13 to be worth $2.2 billion. A 0.5% increase in industry revenue is forecast for 2012-13.
The decline in revenue in the five years through 2012-13 partly reflects the lower levels of the global oil price. Transport costs are the bulk of the industry’s purchases expense. Oil prices increased rapidly in the years to 2007-08 and industry revenue was inflated as operators passed on the increasing cost of transport to their clients. This stabilised profit. Revenue declines in 2009-10 and 2010-11 reflect the drop and subsequent rises in the price of transport, due to the less volatile behaviour of global oil prices.
The Road Freight Forwarding2 industry has a medium level of concentration, with larger players earning a disproportionate share of revenue relative to their share of industry employment. The industry s four largest players are DHL Global Forwarding (Australia) Pty Limited, TNT Australia Pty Ltd, Schenker Australia Pty Limited and Toll Holdings Limited.
Australia’s total freight task is expected to double by 2020, which will support future revenue growth, says Finch. Across major markets, demand is expected to vary . A trend for moving manufacturing offshore to low-cost producer countries has boosted Australia’s imports. Export and manufacturing markets are expected to decline commensurately. Australia’s imports are dominated by semi-finished inputs in production. Consumer goods are generally transported by road freight, increasing the market for road freight forwarders. Oil price increases in the coming years are expected to put pressure on industry profit and increase road freight rates, which are likely to spur revenue growth.
For more information, visit IBISWorld s Road Freight Forwarding3 report in Australia industry page.
Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau4
IBISWorld industry Report Key Topics
Forwarders do not actually move the goods themselves. Instead, they are mainly engaged in organising transport services and consolidating goods for transport. Consolidating loads allows road freight forwarders to achieve and pass on rates that their customers would be unable to achieve alone.
Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios
References
- ^ Road Freight Forwarding (www.ibisworld.com.au)
- ^ Road Freight Forwarding (www.ibisworld.com.au)
- ^ Road Freight Forwarding (www.ibisworld.com.au)
- ^ http://twitter.com/#!/ibisworldau (twitter.com)
Freight Forwarding Import Campervan from Australia & New Zealand
If you re an avid renovator of the beautiful VW Campers, or fancy a project for the weekends, you ll be looking for a subject to work on. You might currently be looking at availability in the UK. Why not stretch further afield and consider importing a Camper from Australia or New Zealand?
For a start, Australia and New Zealand both drive on the left hand side of the road, so the majority of the Campervans available there will be right-hand drive. The climate in Australasia (i.e. much less rain than here in sunny England!) also is an advantage, creating less damage to the Campervans (we all know rust is a big problem to solve, and expensive too).
A VW Campervan could be transported over to the UK in a number of ways, there is the option of putting it in its own 40 foot container, or it could be rolled on, rolled off (or RORO for short). How you ship the Campervan will depend on its condition and whether it is currently driveable.
Mercator Cargo has excellent freight forwarding partners in Australia and New Zealand, and can arrange for transportation to the dock there, and for the Campervan to be loaded into the container safely, or rolled onto the ship.
If the Camper will transit in a container, there must be less than a quarter tank of fuel, and the battery must be disconnected we can have this arranged for you. If the Campervan will be loaded RORO, then all that needs to be made sure is that there is no other cargo in the van itself.
Upon arrival in the UK, customs clearance and import VAT and duty will need to be arranged. One of our experienced freight forwarders can advise you on levels of duty to be paid, and any other necessaries to clear the Campervan through customs. And finally, we can arrange for the Campervan to be delivered to you so that you can begin your work on it.
So if you re seriously looking at shipping a VW Camper (or any kind of motorhome/caravan) from Australasia, then give us a call to obtain a quote Tel. 02392 756 575. Email: sales@mercatorcargo.co.uk.1
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References
- ^ sales@mercatorcargo.co.uk. (www.mercatorcargo.co.uk)
- ^ import camper from australia (www.mercatorcargo.co.uk)
- ^ import camper from new zealand (www.mercatorcargo.co.uk)
- ^ import campervan (www.mercatorcargo.co.uk)
- ^ import campervan from australia (www.mercatorcargo.co.uk)
- ^ import campervan from new zealand (www.mercatorcargo.co.uk)
- ^ import vw camper (www.mercatorcargo.co.uk)
- ^ import vw campervan (www.mercatorcargo.co.uk)
- ^ ship vw camper (www.mercatorcargo.co.uk)
- ^ ship vw campervan (www.mercatorcargo.co.uk)
- ^ shipping camper (www.mercatorcargo.co.uk)
- ^ shipping campervan (www.mercatorcargo.co.uk)
- ^ shipping vehicles from australia (www.mercatorcargo.co.uk)
- ^ shipping vehicles from new zealand (www.mercatorcargo.co.uk)
- ^ shipping vw camper (www.mercatorcargo.co.uk)
Ocean Freight Shipping Rates Increase for Asia to US/Canada Imports
Ocean Freight Shipping Rates Increase for Asia to U.S./Canada Imports
Posted by Annette Leahy on Fri, Jun 07, 2013 @ 02:00 PM
As of Monday, July 31, 2013, United States & Canada manufacturers, retailers and wholesalers importing cargo from the Far East will incur an across-the-board general rate increase (GRI), as announced by freight shipping carriers.
The confirmed freight shipping rate levels for ocean containers consisting of standard and refrigerated cargo, embarking from the Far East and imported into the United States and Canada are as follows:
United States and Canadian West Coast:
- US$320 per 20-foot shipping container
- US$400 per 40-foot shipping container
- US$450 per 40-foot HC shipping container
- US$505 per 45-foot shipping container
IPI via the West Coast:
- US$480 per 20-foot shipping container
- US$600 per 40-foot shipping container
- US$675 per 40-foot HC shipping container
- US$760 per 45-foot shipping container
United States and Canadian East Coast via All Water or Intermodal:
- US$480 per 20-foot shipping container
- US$600 per 40-foot HC shipping container
- US$760 per 45-foot shipping container
To some freight shipping customers this may seem like just another in a long series of continuously rising ocean shipping rates. And while there have been steady increases over the years, the fluctuating nature of freight shipping rates is ongoing, with prices rising and falling depending upon factors such as supply and demand, freight shipper competition, and cargo capacity management.
Bill Mongelluzzo, Associate Editor of the Journal of Commerce1 (JOC) wrote an article last year titled Ocean Carriers Flex Their Pricing Power2, which was prefaced with “Trade growth is dragging and capacity is increasing. So why are shippers paying so much more?” This is in apparent reference to the fact that only the shipping industry seems to defy the basic business principles of supply and demand.
Through our freight shipping3 network, we will continue to negotiate with our cargo carrier partners to mitigate these freight rate levels, and keep you up to date on all the latest developments and progress as it happens. If you have any questions, please contact us toll-free at (800) 383-3157.
At ETC International, our overseas freight shipping network has been serving companies in need of commercial and industrial cargo imports since 1984, and we are committed to keeping our customers abreast of the latest shipping industry changes so that they may make the most informed decisions when it comes to import and export freight shipping considerations.
With nearly 30 years experience in overseas import and export freight shipping, we have an expert understanding of all the ins-and-outs of commercial ocean vessel transport. As a result, we are able to provide invaluable information to our commercial clients to help them make the most of their shipping dollars. We provide all the details a company needs to effectively import and export consumer goods and industrial distributions.
We are happy to provide a no-cost, hassle-free rate quote on overseas freight import and export shipping for manufacturers, retailers and wholesalers, and to discuss additional considerations of the overseas shipping process, so your business can reliably ship goods to paying customers or receive goods from overseas freight importers.
You can get your convenient online rate quote right here with just a few clicks:
References
- ^ Journal of Commerce (www.joc.com)
- ^ Ocean Carriers Flex Their Pricing Power (www.joc.com)
- ^ freight shipping (www.etcinternational.com)
The Time for Natural-Gas Trucking Is Now
- By Andrew J. Littlefair
- June 7, 2013, 1:05 p.m.
United Parcel Service s announcement that it plans to expand its fleet of trucks running on liquefied natural gas, or LNG, to 800 by the end of next year is just the latest in a line of companies casting their vote for natural gas as the preferred commercial vehicle fuel. UPS joins AT&T, Frito-Lay, Republic Services, Ryder, Swift, Waste Management and many others making the switch to American natural gas.
In recognizing the potential of natural gas , the Senate Energy and Natural Resources Committee recently held hearings on what role the federal government can play to ensure that more American companies move more American goods on trucks running on American fuel.
Just last month, bipartisan legislation was introduced to ensure that American LNG currently taxed at a rate about 70 percent higher than diesel on an energy equivalent basis is taxed the same as diesel, following six state legislatures that have addressed the disparity on a state level.
What does all this activity say to me? The time for natural-gas trucking is now.
And why not? Cleaner, cheaper and more abundant than any other alternative vehicle fuel, natural gas is a clear winner.
It s also uniquely American. About 98 percent of natural gas consumed in North America is domestically produced, so increasing use of natural-gas vehicles reduces our dependence on foreign oil and enhances our nation s energy security.
But we must seize the moment. We have reached a critical juncture and have the opportunity to accelerate the positive momentum already in place.
The logical next step for natural gas, from both a strategic and an economic viewpoint, is to maximize its use in our heavy-duty, regional and long-haul trucking fleets. Today, shipping goods from the East Coast to the West Coast poses a dilemma because of the high cost of diesel and the added regulations on that dirtier fuel. Natural gas offers an immediate solution.
The United States needs to adapt its heavy-duty, long-distance fleet to use natural gas, which would reduce the energy, time and environmental cost significantly. In the past, the challenge has been that the infrastructure in the form of natural-gas fueling stations was in its infancy and arguably unable to handle such a swift increase in activity.
Not anymore, thanks in part to the development of America s Natural Gas Highway, Clean Energy Fuels network of natural-gas stations that enable truckers to travel coast-to-coast and border-to-border on this clean, affordable and domestic source of energy.
We have already completed more than 70 new natural-gas truck fueling stations along highways that link major U.S. metropolitan areas. This year, we have plans to complete additional stations adjacent to long-haul trucking routes and around major warehouse distribution centers in North America. Major highway segments now completed include, among others, those linking the Southwest Corridor, Los Angeles to Atlanta, the Texas Triangle, Atlanta to Chicago to Texas, and major corridors in the Midwest and Northeast. Other energy companies have announced similar plans as well.
Moving our nation s trucks to natural gas makes economic and environmental sense. This market currently consumes 30 billion gallons of diesel annually, much of which is imported. A conversion to natural gas could represent huge savings for shippers, carriers and eventually consumers, given the high cost of diesel. For those concerned about the environment, NGVs emit up to 30 percent less greenhouse gas than gasoline or diesel vehicles.
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