Shipping Search - Archive

Reflections on Calais and Forthcoming Legislation

UK – WORLDWIDE – As the year closes Robert Keen, Director of the British International Freight Association (BIFA), the trade association for UK freight forwarders, has taken the opportunity to look forward to prospects for shippers in the forthcoming New Year. Mr Keen has commented on several matters of particular import to British and European shipping and forwarding stakeholders including changes to legislation, the dreadful events at and around Calais during 2015, the Heathrow third runway debate and the importance of training. He observes:

Post-Christmas Present for Polish Crew and Passengers

ATLANTIC OCEAN – Early on 27 December 2015, Fred. Olsen Cruise Lines' ‎ship Braemar came to the aid of a sailing yacht marooned in the middle of the Atlantic Ocean, with the dramatic rescue of the 14-metre Nicollet and her four Polish passengers and crew, who had been adrift for nearly three days. The Braemar was cruising from Santa Cruz, Tenerife to Bridgetown, Barbados when the Officer of the Watch ‎spotted the sailing yacht Nicollet on the radar, positioned in the Atlantic Ocean, 10 Nautical Miles from the cruise ship.

(and the Electricity Flowing...)

CHINA – AUSTRALIA – As usual nothing gets the blood racing through the veins of a true freight forwarding professional than witnessing the shipment of a large project consignment pass through its various transport modes until successfully delivered on site to a happy customer. Last month, global multipurpose shipping operator, AAL, loaded the mammoth ACC unit pictured in Changshu aboard its versatile S-Class vessel, AAL Nanjing. The 410 tonne unit was booked by Panalpina Worldwide Transport (Energy Solutions) and destined for Port Hedland via the operator’s popular Australia West Coast Liner Service.

Good Deeds Done In Support of UN Initiative

DUBAI – WORLDWIDE – In the lead up to the Christmas festivities one Middle Eastern headquartered company demonstrated to the rest of the world the true spirit of the forthcoming season by once again supporting Global Volunteer Week. International ports and container freight handling group DP World saw employees from across six continents move away from their daily duties to give up 3,000 hours of their collective time to help over 7,000 people in local communities around the globe.

Whilst Global Efforts on Reduction Continue Some Say UK Haulage Hit Unfairly

WORLDWIDE – UK – 2016 is likely to continue much in the vein of 2015 as regards efforts to improve emissions of CO₂ and other pollutants, and shipping, whether ocean, air or road borne freight, is likely to remain in the foreground of the fight to reduce the impact on the environment. The Sustainable Shipping Initiative (SSI), an independent charity which counts some of the biggest hitters in the logistics sector as its founder members, was formed to tackle just such large scale sustainability matters, and the group has now issued a statement calling upon upon the International Maritime Organization (IMO) to show real leadership following the recent COP21 assembly.

Ninth Reindeer and Safety Equipment Standing By Whilst NORAD Tracks Santa's Sleigh

US – WORLDWIDE – The US Department of Transportation has relaxed recently introduced regulations and given special dispensation with regard to traditional deliveries taking place on the night of December 24 and into the early hours of the following morning. The controversy arose after an application from Mr Kris Kringle in early November requested permission for his 8RP powered sleigh to operate an express parcel service covering all 50 United States and onward in a full sweep of the globe in just a few hours.

Christmas Special Train Runs to Prove a Point

UK – FRANCE – In order to demonstrate the advantages of the rail - road haulage multimodal system, GB Railfreight this week ran a special Christmas intermodal train from Maritime Transport’s Birmingham Intermodal Freight Terminal, Birch Coppice, to the Port of Liverpool. This is the first time a service has been run between the two sites and the development of Liverpool2, a new deep water container terminal, will doubtless increase the demand for overland transport solutions.

Some Good News for London Drivers However

UK – The news that the Forth Road Bridge is to remain closed well past the originally forecast date has prompted a rapid reaction from both the Freight Transport Association (FTA) and the Road Haulage Association (RHA). The bridge was shut earlier this month for urgent repairs with a proposed opening date of January 4. The Department for Transport (DfT) sensibly extended truck drivers hours as described in our story at the time.

Politician Speaks Out Against Serco

UK – It would seem that international outsourcing giant Serco is currently about as popular in Scotland as Donald Trump. Whilst the weirdly coiffured American billionaire has upset locals and environmentalists with his variety of golf course schemes in Aberdeenshire, Serco’s bid to wrest the Clyde and Hebridean freight and passenger services from the long-time incumbent operator, Calmac, is attracting criticism at the highest levels.

UASC Signs an Agreement Covering Latest Vessels

RUSSIA – MIDDLE EAST – WORLDWIDE – Lukoil the Russian company located in the western Siberian cities Langepas, Urai and Kogalym has announced the signing of a lubricant agreement with the container shipping line United Arab Shipping Company (UASC) covering vessels from UASC’s advanced newbuilding programme.

Materials Handling in the Old Year and the New

UK – EUROPE – As we see the last days of 2015 comes news of past and forthcoming events in the material handling sector. First those awards, the International Centre in Telford on Saturday 27 February 2016 will see the Fork Lift Truck Association’s FLTA Awards for Excellence and the host this year will be renowned rugby veteran and TV presenter Martin Bayfield. An RFU Player of the Year, Bayfield has earned an impressive 37 caps as an international rugby player for England and British and Irish Lions, as well as winning two Grand Slams.

Union Hostilities Continue Over Safety Matters

UK – Hostilities between Serco, the group currently bidding to take control of the freight and passenger ferry service between the Scottish mainland and the Western Isles, and the RMT union, continue unabated this month with the RMT accusing the company of blatant disregard of safety issues on the Caledonian rail sleeper operation.

Who Now Works Where (and Who Doesn't Anymore ...)

WORLDWIDE – The last round up of staff changes in the freight and logistics world for 2015 starts with a series of changes at the top of the World Cargo Alliance (WCA) with the appointments of Dan March to the role of Chief Executive Officer, founder David Yokeum becoming Chairman, and Ram Menen joining a new global Supervisory Board. James Barnhart, previously VP Finance, will now act as Company Treasurer.

Road Haulage and Rail Combination Works for DFDS

UK – ITALY – DFDS, the Danish headquartered group, perhaps better known for its ferry services, has increased the frequency of its multimodal transport between the UK and Italy to a daily freight service. The company now offers a range of alternatives for both partial and full loads, the cargo stowed into containers, trailers or onto swap bodies.

Company Funds New Port Project, Reefer Containers and LNG Vessels

US – PUERTO RICO – CENTRAL AMERICA – CARIBBEAN – As usual Crowley, the shipping and logistics group, has been keeping busy in the run up to the Christmas holiday. Last month the supply chain specialist’s Puerto Rican operation broke ground on its new $48.5 million construction project for a new pier at its Isla Grande Terminal in San Juan. The development is part of around $500 million the company is investing in services in the country which include two new state-of-the-art ships, the new pier, three new container cranes, new truck access gates, reefer plugs, new containers and container handling equipment.

A Happy Christmas for Cargolux

LUXEMBOURG – Some weeks just everything goes your way, that must be how the management of Cargolux, Europe’s largest freight only airline must feel this week with the receipt of two pieces of very good news. Firstly the threat of industrial action by pilots has vanished after final negotiations meant the inception of a new collective work agreement (CWA) with all the unions involved, secondly that €790 million in fines that was annulled by the European Court yesterday included €79.9 million of the cargo carrier’s money!

Schenker Buys Another Freight Group

UK – In an effort to develop its road haulage network in the UK, German transport and logistics giant, Deutsche Bahn is to acquire 75% of UK logistics company, Redhead International, in early 2016, and merge it with DB Schenker Logistics to operate under the Redhead International brand, which will continue to be headed by the current management team.

All Fines Cancelled for Over a Dozen Cargo Carriers

EUROPE – In an astounding reverse the General Court of the European Union today reversed a judgement of the European Commission thereby annulling €790 million in fines levied on several airlines for antitrust operations after they imposed fuel and security surcharges, particularly in the wake of the terrorist attacks in September 2001. The Court found there was a contradiction between the grounds of the decision and the ‘operative part’. That is to say some carriers were found responsible for infringements with which they could have no association as they were not employed on the routes concerned.

Two Giants Squabble Over Cash and Stock Offer

US – CANADA – The public back and forth between rail freight carriers Norfolk Southern (NS) and Canadian Pacific (CP) continues this week with CP responding to the white paper NS published which reviewed the original merger proposal and was authored by two former Surface Transportation Board (STB) members Chip Nottingham and Frank Mulvey. In the white paper, the two explain why they think a CP+NS merger and related voting trust would have difficulty gaining regulatory approval. NS replied to CP's criticisms of its report stating that CP's response is ‘flatly wrong’. Judging by these early days press release retorts, a merger between the two companies is looking less likely to occur.

SeaFrance/MyFerryLink Decision by Supreme Court and Antitrust Authority Imposes Huge Fines

UK – FRANCE – Two big decisions affecting the shipping and logistics sectors this week with news that the UK Supreme Court has ruled that the Competition and Markets Authority (CMA) took the correct approach in assessing whether Eurotunnel’s acquisition of three ferries and related assets, formerly owned by SeaFrance and subsequently operating as MyFerryLink, should be treated as a merger under the UK merger control rules. Meantime in France the French Competition Authority (FCA) has fined Alloin, now a subsidiary of freight forwarding group Kuehne & Nagel (K&N), €32 million, plus penalties for 19 other companies ranging from €10,000 (after a 99.9% reduction), to in excess of €99 million.

IATA Points Out from New Year Changes in Rules Apply

WORLDWIDE – What are described by the International Air Transport Association (IATA) as ‘significant changes', to the carriage of dangerous goods by air come into force on 1 January 2016, and shippers and freight forwarders are being advised to ensure they are familiar with the new regulations. Certain amendments to the carriage of lithium batteries will have a one year transition period to allow shippers to adapt to the new rules.

Safer Way to Avoid a Nasty Incident

UK – EUROPE – In September we saw new legislation introduced to give road haulage drivers in London better visibility through a more comprehensive coverage of the blind spots on trucks using mandatory extra mirrors, details of which we explained in our August article. There are however even more technological solutions to give a driver a better chance to spot, and even record, dangers and problems in front of a vehicle or adjacent to the kerb such as the unwary cyclist who doesn’t comprehend his or her own invisibility.

Aptly Named Vessel Starts Work in the US on Boxing Day

FRANCE – US – CHINA – UK – The largest container ship ever to call at a North American port is scheduled to arrive at the Port of Los Angeles on December 26. French shipping giant, CMA CGM launched its new ultra-large container vessel, which it named in honour of one of the United States’ founding fathers, the CMA CGM Benjamin Franklin on December 10, to be deployed on the Pearl River Express service which connects main ports in China to the US West Coast. As part of the service, she will later call at the Port of Oakland on December 31.

Compromise Agreements Keep Raking in Cash for the Authorities

US – The Federal Maritime Commission (FMC) has recovered a total of $334,000 in civil penalties, after completing several separate compromise agreements with various ocean freight companies. The agreed penalties resulted from investigations conducted by the Commission’s Area Representatives from around the country and the parties involved: five ocean transportation intermediaries (both NOVCC's and freight forwarders) and two unlicensed entities operating as ocean transportation intermediaries (OTIs), settled and agreed to penalties, but did not admit to violations of the Shipping Act or Commission regulations. FMC Chairman Cordero said:

Calais Migrant Attacks on Trucks Need Solutions as Promised

UK – IRELAND – FRANCE – In a week when the Irish Road Haulage Association (IRHA) held a meeting with Minister for Transport Paschal Donohoe to emphasise the continuing threat from migrants boarding trucks travelling to the UK, the Freight Transport Association (FTA) has welcomed the news that the newly proposed lorry park in Kent will ease the disruption caused by Operation Stack and should provide much needed facilities for truck drivers and hopefully end road chaos for residents and businesses.

Meeting in London Sees Principles Designed to End Illegal Trade

WORLDWIDE – In October we told how Dubai based, freight container terminal operator DP World hosted a meeting on home ground for the seven international conservation organisations which make up the United for Wildlife organisation, a discussion which led to London this month when eleven principles were agreed upon by logistics representatives and conservation groups designed to help tackle the $19 billion illegal wildlife trade which sees ever more endangered species being transferred, dead or alive, around the globe.

Freight Deliveries Have to Stock Shops for the Season

UK – Road haulage groups and other logistics providers have been getting ready for Christmas and DB Schenker Rail UK says it has been busy making sure that festive products reached shop shelves in good time for the celebrations with its intermodal services from the Ports of London Gateway, Southampton and Felixstowe. To help Santa deliver goodies across the UK, DB Schenker Rail UK transports containers full of seasonal products by rail to major cities in the Midlands, North of England and Scotland.

Reduced Strings but Promise of Improved Transit Times

ASIA – LATIN AMERICA – A revision of the vessel sharing agreement between the world’s second largest container company, Mediterranean Shipping (MSC) and Hapag-Lloyd, Hamburg Süd, CMA CGM, China Shipping and Hyundai, running between Asia and several South American countries, has been announced this week. Freight normally routed via four strings will now travel on the three new strings as detailed below carried on vessels ranging between 7,100 and 9,000 TEU.

Information Designed to Influence European Commission

EUROPE – In an effort to provide the European Commission with constructive input ahead of the upcoming review of the EU shipping policy in 2017, the European Community Shipowners’ Associations (ESCA) has released a policy paper containing sixteen policy proposals, grouped in four thematic areas, aimed to enhance the competitiveness of European shipping and underline some of the immediate obstacles to growth that should be eliminated to help the shipping sector prepare for the future. Points covered range from training of suitable staff to development of more reliable short sea feeder routes.

NHTSA Shows its Teeth

US – The US Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) has imposed a $1 million civil penalty on equipment importer, Harbor Freight Tools for failing to issue a product recall, notify owners, and file a quarterly recall completion rate report in a timely manner for more than 800,000 after-market trailer light kits that violate Federal safety standards.

Ninth Annual Awards Again Seeking Special Candidates

UK – The women driving the UK’s road, sea and air shipping sectors are once again being encouraged to enter the FTA everywoman in Transport and Logistics Awards. Now in its ninth year, the prestigious programme celebrates the women who really stand out as some of the strongest links in the country's supply chain, whether they are warehouse managers, train or lorry drivers, senior directors, or school-leavers just setting out on their path to career success.

Deal Must First be Agreed by Regulators

US – EUROPE – United Airlines and Lufthansa have announced plans to enhance their current collaboration on passenger flights between the US and Europe, to include a new transatlantic partnership on air freight operations by United Cargo and Lufthansa Cargo Europe. The parties are discussing a wide variety of possible elements of the planned cooperation to create a seamless network for the shipping industry, which includes ‘an alignment of information technology services and warehouse facilities’.

Industrial Action Threatened After Talks Breakdown

LUXEMBOURG – Just as a week is a long time in politics, so it seems it is also the case in labour negotiations as the much vaunted collective work agreement (CWA) between management and the LCGB union at Europe’s biggest freight only airline, Cargolux, fell burning from the skies this week after appearing to have been a done deal just a few days ago. The reasons for the collapse of talks are seen very differently by the cargo carrier and its staff.

Ocean Shipping Interests Pull Together to Disseminate SOLAS Information

WORLDWIDE – You can always tell when a subject is a big deal in the world of shipping when a slew of identical press releases arrive from a selection of logistics industry associations, and today one subject has generated such a huge response i.e. the matter of weighing freight containers. With new regulations coming into force 1 July 2016 shippers and freight forwarders have a plethora of questions which needed answering in good time so that suitable arrangements can be made.

Staff Moving On This Week

UK – Our weekly collection of staff changes and appointments in the freight and logistics world starts with John Good Shipping, which has made several changes to its senior management board as it continues to plan for the long-term to ensure the right team is in place to lead them ‘confidently into the future’, working to a pattern the forwarding and ships agency has followed since it was established in 1833. Effective January 1, 2016, Alan Platt takes the helm from John Rutherford to become the new Chairman of John Good Shipping, based at the company’s new purpose built head office at the sustainable Bridgehead Business Park in Hessle, East Yorkshire. As a result, Seamus Jennings will become the sole Managing Director.

Electricity Produced from Warm Water

SWEDEN – WORLDWIDE – Great claims are made by the manufacturers of waste heat specialist equipment, Climeon AB, for its Climeon Ocean system that converts hot water between 70-120^o C into 100% clean electricity. Now the multinational consulting and analytical firm Frost & Sullivan has added weight to the Swedish company’s argument by awarding it the Technology Innovation Award at the Excellence in Best Practice Award Banquet hosted by Frost & Sullivan in Frankfurt, Germany, for a product which can cut marine CO₂ emissions and reduce a vessel’s fuel consumption.

Political Expediency is Influencing Decision Says BIFA

UK – Political expediency loomed large over the decision to postpone any decision on the expansion of Heathrow Airport which has upset many in the freight and air cargo community. With organisations such as the Confederation of British Industry (CBI) lobbying hard for a new runway a firm proposal had been anticipated. The decision to delay any announcement has bitterly disappointed such as the British International Freight Association (BIFA), the trade association for UK freight forwarders and logistics service providers.

Second Attempt at Merger Meets with Frosty Reception

US – CANADA – Canadian Pacific (CP) just can’t take no for an answer, after it received a rejection of its initial offer to merge with Norfolk Southern (NS) to ‘rationalise’ rail freight and multimodal cargo operations, CP has sent a revised offer that the company says is ‘financially more attractive and dramatically reduces the regulatory uncertainty’, in the hopes of addressing any concerns NS shareholders had and persuading them to change their decision.

CMA CGM and NOL Combined Will Have Nearly Two and a Half Million TEU Capacity

FRANCE – SINGAPORE – WORLDWIDE – French container giant, CMA CGM has made US$2.4 billion offer for Southeast Asian box freight line, Neptune Orient Lines (NOL) which, if granted approval from the usual authorities, will see what is currently the world’s third largest container shipping company gain a stronger presence in the transpacific trade routes. The combined freight operation would see a shipping line with a capacity nearing 2.5 million TEU. Both CMA CGM and the world’s largest box line, Maersk, originally expressed interest in a deal with NOL but, as we reported last month, the Danish giant’s ardour cooled and it withdrew from talks.

Temporary Adjustment to Allow for Repairs to be Made

UK – The unprecedented closure of the Forth Road Bridge due to a crack in the steelwork has led to an instant response from the Department for Transport (DfT) announcing a relaxation in drivers’ hours until 6 January whilst repairs are underway. The move was welcomed by road haulage operators and freight groups as a common sense move coming as it does at the busiest time of the year.

May 2016 Sees the Introduction of the Union Customs Code

UK – EUROPE – It is now less than six months until the new Union Customs Code (UCC) comes into force, legislation which will have the potential to have a major impact on some freight forwarding agents and any businesses which trade between member states. There will be alterations regarding moving some goods across borders and initially there will have to be some transitional arrangements which will operate until 2020 when other alterations to current practices are finalised.

Across the World Ports and River Authorities Invest to Stay Ahead

UK – SOUTH AFRICA – As container ships get ever larger the ports and river authorities worldwide need to constantly upgrade equipment to ensure the liquid arteries which deliver freight to the cities and beyond remain unclogged. Last month we told how the Port of London Authority (PLA) had launched its new, versatile workhorse and now comes details of a vessel destined to undertake similar essential tasks in warmer climes.

Threat of Regulators and 'Grossly Inadequate' Valuation Cited

US – CANADA – The big news in the freight by rail sector is that having last month received an offer from Canadian Pacific (CP) of a possible collaboration, Norfolk Southern (NS) has unanimously rejected the terms proposed. The deal on the table was an unsolicited and highly conditional indication of interest to acquire the NS for $46.72 in cash per share and a fixed exchange ratio of 0.348 shares in a new company that would own the two North American rail giants, just as interest in intermodal cargo services seem to be increasing.

Bill Must be the Slowest FAST Fix in History

US – At long last, significant progress has been made by lawmakers in the US to come up with a long term resolution to the ever growing funding gap for the country's deteriorating infrastructure, with Congress clearing a five-year, $305 billion highway bill that will fund improvements to crumbling highways and reopen the Export-Import Bank. The funding for this bill, ironically named the FAST (Fixing America’s Surface Transportation) Act (having taken seven years to get to this point) remains an issue, just as it was with the numerous proposals put forth previously, with this Act allocating funds from the Federal Reserve.

Nominations Now Open for Australia's Prestigious Prizes

AUSTRALIA – The geography of the country means road haulage plays a huge part in the transfer of goods across Australia with massive road trains, of a size unthinkable in more crowded parts of the world, shifting vital freight sometimes thousands of miles. The accolades awarded by fellow industry peers therefore tend to mean more than elsewhere and nominations for the country’s 2016 National Trucking Industry Awards are now open.

Canadian Court Clouts Carrier Company Cathay - Again

CANADA – US – Cathay Pacific has entered into a settlement agreement after being charged in the Canadian civil cargo antitrust class actions which has seen several air freight carriers facing cartel accusations. Under the Settlement Agreement, which is subject to approval by the Canadian courts, Cathay Pacific has agreed to make a payment of CA$6 million to settle the litigation without admitting to any unlawful conduct, wrongdoing or liability. This reflects the behaviour of numerous carriers and freight forwarders seen in similar cases around the world in the past few years.

Fight is On to Gather Up UK Trade

UK – The battle for primacy amongst Britain’s deep water container ports saw another significant development this week when the first phase of a 1.4 million square foot logistics park at the Port of Felixstowe received planning permission. A port which got the jump on others when containerisation swept the industry in the 1960’s and ‘70’s to develop into the country’s largest cargo facility with a combination of a low local wage scale in an area then crying out for employment, is now in a fight to maintain its status in the face of growing opposition from the likes of Southampton, and in particular DP World’s London Gateway.

What the Great and the Good of the Shipping Sector Are Up To

WORLDWIDE – The week’s freight and logistics associated staff appointments and departures kick off with the news that the global airline alliance, SkyTeam, has appointed Perry Cantarutti as its new Chief Executive Officer, with Michael Wisbrun, current CEO, taking over as the Chairman of the Governing Board. Wisbrun replaces Leo van Wijk who retires after eight years in the role.

Design and Build Ship Will Include a Plethora of Technologies

CHINA - CSSC Offshore & Marine Engineering (Group) (COMEC), the shipbuilding group formerly known as Guangzhou Shipyard International, has sponsored an event this week which revealed what the company is claiming will be the world’s first ever truly ‘smart ship’. The somewhat clumsily named ‘Smart Ship Development Forum & Smart Ship Demo’ saw the state owned, yet Hong Kong stock exchange listed company, present details of the forthcoming 38,800 dwt bulk freight carrier.

Federal Punishment Awaits Any Firms in the Supply Chain Which Transgress

US – The road haulage industry in America took another step toward safer practice this week as the Department of Transportation’s Federal Motor Carrier Safety Administration (FMCSA) has announced the publication in the Federal Register of a Final Rule to help further safeguard commercial truck and bus drivers from being compelled to violate federal safety regulations. The Rule provides the FMCSA with the authority to take enforcement action not only against motor carriers, but also against others in the freight supply chain including shippers, receivers, and transportation intermediaries. US Transportation Secretary Anthony Foxx, said:

Forum Debates Retrofit Technology and More

UK – WORLDWIDE – With pollution and climate change firmly on the agenda at the moment as we see Paris hosting COP21, the 2015 United Nations Climate Change Conference, one freight transport associated group has been looking closely at shipping emissions, from cause and effect to solutions. The Women in Shipping and Trade Association (WISTA) forum last week called upon three different, highly informative speakers to set the scene for a debate on what is a tricky topic, but one which needs continual observation and reaction from the maritime cargo community.

What Will it Take to Police This Properly?

FRANCE – UK – Sometimes a picture paints a thousand words. Here we see the result of the continuing aggression toward road haulage drivers entering the Port of Calais just as we hear the views of a prominent MP who visited the port recently to witness the mayhem for himself. At the end of a week which saw six more people injured as French riot police were forced to use tear gas to stop migrants from climbing aboard UK-bound trucks Chairman of the All-Party Parliamentary Group on Freight Transport, Rob Flello MP commented:

Raising Height of Gantry Cranes Will Mean More TEU Throughput

US – The race for size continues with the world’s deep water ports continuing to extend their ability to cope with ever larger container ships. Along with the dredging of deep water channels comes the need to handle more TEU per hour with investment in bigger quayside cranes capable of longer and higher lifts, and now the Port of Oakland has come up with a solution as to how to stay abreast of developments with a $13.95 million project to enlarge its existing equipment to cope with the situation.