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Mar 22, 2008

LOGISTIC TROUBLES * USA - U.S. exports on the rise…but where’s the space?

In an otherwise bleak year for domestic shipping, there has been one bright spot worth noting: exports are surging

San Francisco,CAL,USA -Logistics Management, by Patrick Burnson -21 March 2008: -- ... Shipper frustration, meanwhile, remains high. Empty containers were once plentiful in Chicago and Memphis, but no more. Lack of chassis and other vital equipment is also a real concern for shippers in the Pacific Northwest... But the real sticking point still appears to be with ocean carriage... Peter Freidmann, executive director of the Agriculture Transportation Coalition (AgTC), a lobbying group representing shippers of agricultural commodities, said, “All our shippers are asking for is some form of guaranteed space allocation—maybe ten boxes a week—to mitigate their risk. If the shipper can’t find the cargo to fill the boxes, he pays a penalty. We want something along the lines of what the airline industry does with rationalization.”... And while the non-vessel operators (NVOs) are more willing to adopt this strategy, they haven’t the assets to deliver on such promises every time, said Freidmann... The cartel-like pricing behavior of transpacific ocean carriers is another irritation his shippers are still dealing with, said Freidmann... “They call it a ‘talking agreement,’ but it’s clearly anti-competitive and has become obsolete in the European Union. The EU, by the way, represents another alternative for Asian consumers if we don’t get our act together.”...


* Port of N.Y. and N.J. Sees Record Growth

New York,NY,USA -The New York Sun, by PETER KIEFER -March 21, 2008: -- The Port Authority of New York and New Jersey said that 2007 represented a record year of growth at the Port of New York and New Jersey, which remains the third most active port in America after Los Angeles and Long Beach, Calif... Statistics provided by the Port Authority yesterday show that the value of cargo handled through the port in 2007 exceeded $166 billion, representing an increase of 11% from the year before. There was, however, a slight decline in the amount of ship traffic in 2007. There were 5,445 ship calls in the port in 2007, compared to 5,577 in 2006...

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