UPDATE 7 - Victorian State of Disaster - warehousing operations

Friday, August 7, 2020

Freight & Trade Alliance (FTA) and Australian Peak Shippers Association (APSA) yesterday afternoon joined industry representatives in another briefing from Victorian government representatives.
 
INTERIM APPROVAL – IMPORT / EXPORT OPERATIONS
 
FTA / APSA acknowledged the responsiveness of the office of the Hon Melissa Horne MP, Minister for Ports and Freight and the Executive Director of Freight Victoria in providing an interim approval ensuring business continuity for all import / export business.

Our position was again noted that this status needs to move beyond an interim approval and to be clearly prescribed as an ongoing 'essential service'.
 
WAREHOUSING OPERATIONS
 
While business continuity has been secured for all importers, exporters and international trade logistics providers under the current Stage 4 restrictions, complexity remains in terms of allowable operating conditions for warehouses (including import, export, 3PL and licensed depot operations).
 
All industry representatives at yesterday's briefing were united in requesting relief from the measure stipulating 'specified worksites must not operate with more than 67 per cent of their daily peak and daily total workforce'.
 
In response, the government representatives stood firm stating that industry must comply with this requirement and noted that stringent audit, enforcement and penalty provisions apply.
 
This aligns with the Premier's statement from yesterday stating:
 
'The Victorian Government has worked closely with businesses, industry groups and unions in developing the list of permitted work premises and the business operating reduction guidelines and we are grateful for the input of all stakeholders. The decision about where to draw the line on different categories of jobs can never be simple or easy but there is no alternative but to take these steps. We must take unprecedented action in limiting the movement of people, and therefore limiting the movement of this virus – to do otherwise would be deadly. Unless we drive case numbers down to significantly lower levels, the Victorian economy will not be able to re-open and restrictions would continue indefinitely, forcing the contemplation of a much longer list of shutdowns.'
 
COMPLIANCE
 
While FTA / APSA will continue to advocate for alternate safeguard measures and easing of this restriction, it is imperative that members with Victorian warehouse facilities (metropolitan and regional) must comply with the official guidance material in terms of staffing level requirements and a reminder that warehousing and cold storage risk mitigations must be initiated in accordance with a COVIDSafe Plan (effective 11.59 AEST tonight Friday 7 August 2020). 
 
OPERATIONAL IMPACTS
 
There is little doubt that these measures will adversely affect operations and may cause delays in the ability of importers and logistics providers to receive and unload containers. This in turn has the potential to impact the availability of containers for our exporters who are anticipating a significant Spring crop.
 
We have received feedback from shipping lines that they would give leniency for container detention (dehire) in the event of a complete lockdown (similar that experienced earlier in the year in New Zealand) however, while trade is moving, they will continue to make commercial assessments on a 'case by case' basis. Should you anticipate a delay, we would recommend that you make early contact with the respective shipping line and please also keep FTA/APSA in the loop by copying support@FTAlliance.com.au
 
FTA/ APSA will continue weekly engagement with Victorian government and industry colleagues and will use member feedback to help navigate our way through this incredibly difficult time.  
FURTHER DETAIL

Please do not hesitate to contact me direct at pzalai@FTAlliance.com.au or 0408 280 123 - we will continue to update our dedicated 'State of Disaster' Frequently Asked Questions (FAQ) site available HERE
Paul Zalai -  Director and Co-Founder, FTA / Secretariat, APSA