DCN - FTA and CTAA express concern over ACCC approval of DP World’s Silk Logistics acquisition

Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) have expressed concern over the Australian Competition and Consumer Commission's (ACCC) decision to approve DP World Australia's acquisition of Silk Logistics with no opposition, calling it a "dangerous precedent".

"Despite our strong opposition to the merger, some industry bodies chose to soften the stance, suggesting an undertaking would be sufficient," FTA/APSA's Paul Zalai told DCN.

"This lack of a united industry front may have given the regulator an excuse to sidestep the issue. Even though it acknowledged the deal would reduce competition, it failed to act," Mr Zalai said.

"The result? A green light for stevedores and global shipping lines to push ahead with their vertical integration ambitions. This decision sends a dangerous signal — that market dominance is negotiable, and regulatory intervention is optional," he said.

Mr Zalai also warned that while DP World may argue the integration will deliver efficiencies, in reality it risks "driving out smaller and mid-sized operators, reducing choice and innovation, and ultimately inflating costs for shippers and Australian consumers."

FTA and APSA reiterated their call for urgent regulatory reform, including a mandatory code of conduct to regulate stevedore charges, protect fair slot allocation, safeguard data, and strengthen oversight — as recommended by the Productivity Commission and ACCC.

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