FTA / APSA KEEP THE SPOTLIGHT ON CAPACITY AND FREIGHT RATES - SPOT & NAC RATES INCREASING

As announced in last week's member update and preliminary coverage in National 9 News, Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) launched a mainstream media campaign to raise awareness of capacity restraints and significant increases in freight rates (and surcharges) imposed by foreign-owned containerised shipping lines. We thank Ross Greenwood (Sky News) for providing extensive airtime in last Thursday's episode of 'Business Now', examining causes of sustained inflationary pressures. EPISODE PODCAST available HERE [interview with Paul Zalai at 18min:40sec]

Sky News 'Business Now' - Thursday 27 June 2024

While shipping lines claim spot rate increases are the result of the current supply and demand imbalance (largely attributed to global events including ongoing Red Sea hostilities, congestion in Singapore, high demand to ship from China to the US before tariff increases), it is disturbing to hear that some are reneging on Named Account (NAC) agreed rates and holding subsequent import consignments on a lien basis until payments are made.   We encourage members to provide any examples of the above to Tom Jensen (Head of International Freight & Logistics – FTA/APSA) at tjensen@FTAlliance.com.au for referral to our legal counsel and to assist with our broader advocacy for reforms in line with the Productivity Commission's findings in their review of Australia's Maritime Logistics System - refer HERE.   WEBINAR (Free & Exclusive to FTA / APSA Members) Navigating Rate Agreements: Evaluating the Security and Enforceability of Contracts with Shipping Lines Wed, Jul 24, 2024 12 PM AEST FTA and APSA have partnered with Mills Oakley to delve into the pressing issues surrounding rate agreements with shipping lines. REGISTER HERE Paul Zalai - Director FTA | Secretariat APSA | Director GSF