Freight & Trade Alliance (FTA) and Australian Peak Shippers Association (APSA) have been engaging with fellow Global Shippers Forum (GSF) representatives on international shipping matters, particular watching with interest the advocacy activity being led by the USA's National Industrial Transportation League (NITL).
The following is a commentary from James Hookham (Secretary-General, GSF)
"The Federal Maritime (FMC) new Chairman Dan Maffei appointed by President Biden's administration in March, has lost little time in responding to calls from US shippers, led by the National Industrial Transportation League (NITL), for an urgent investigation into record spot rates and the currently poor levels of service experienced by shippers over the past 12 months. The inquiry is expected to cover the continuing practices of high demurrage and detention rates for containers delayed in congested US ports and the availability of empty containers to US exporters, especially in the agricultural industries. Although addressing the services and shipping lines serving US ports this inquiry should cover many of the factors that are driving spot rates to record levels and creating the chronic shortage of vessel capacity and equipment shortage."
Following the FTA/APSA podcast with Commissioner Rebecca Dye (USA Federal Maritime Commission) on 8 April 2021, we have been advised by NITL's GSF representative that a wide-ranging inquiry into shipping services operating into and out of the USA has been officially announced – while the precise scope and timescale of the inquiry has yet to be provided, the NITL notice outlines expectations from a USA shipper's perspective.
It is important to note that the calls from NITL closely align to the recommendations outlined in the FTA/APSA submission to the Productivity Commission Inquiry into Vulnerable Supply Chains.
The FTA /APSA submission, associated media release "PEAK TRADE BODIES CALL FOR A NEW FEDERAL REGULATOR" and USA developments are scheduled to be discussed between FTA/ APSA representatives and The Hon Dan Tehan MP (Minister for Trade Tourism & Investment) in Canberra on 2 June 2021.
An advocacy update will be discussed at length at the APSA Annual General Meeting (AGM) and Conference to be held in Wagga Wagga (New South Wales) on 16 and 17 August 2021 – please mark your diaries with further details to be released soon.
In the interim, FTA / APSA will continue to keep members up to date on pertinent shipping regulatory reform developments both domestically and internationally.
Paul Zalai - Director FTA / Secretariat APSA / Director GSF