FTA / APSA SPEAK OUT AGAINST INCREASED TERMINAL FEES - MEMBERS ENCOURAGED TO SPREAD THE WORD TO ADD MOMENTUM FOR REFORM

As outlined in yesterday's member notice?Patrick Terminals – Notice of Intention to change Landside & Ancillary Charges, Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) acknowledge the significant costs and investment made by stevedoring companies in Australia.

We encourage further investment to drive much needed operational and cost efficiencies for Australian businesses across the supply chain.

In parallel, FTA / APSA are ramping up advocacy activity?for associated stevedoring costs to be recovered?through commercial channels and not imposed on the transport sector.

This outcome is increasingly important noting inflationary costs being passed down the supply chain to end customers.

The?Victorian and National Voluntary Guidelines offer no real ability to influence price on landside charges. In effect, these protocols are little more than a?bureaucratic processes giving stevedores tacit approval to deploy ongoing increases in Terminal Access Charges and other ancillary fees.

FTA?/ APSA ENCOURAGE MEMBERS TO SPREAD?THE WORD?

To be clear, the FTA?/ APSA preferred?position?aligns with?the Productivity Commission recommendation in their draft report to the inquiry on?Australia's Maritime Logistics Sector?that all charges be negotiated on a?commercial in-confidence basis?between the?stevedore and their contracted client (shipping lines)?negating the need to impose charges on third parties who have no ability to influence service or price.?

The FTA / APSA position and that of the Productivity Commission?is clearly articulated in yesterday's interview with?David Claughton?from?ABC Country Hour?- listen?HERE?(45 min: 27 Sec to 52 min?: 50 sec).

At a time when the Federal Government will be reviewing the final Productivity Commission report, we encourage members to share this message with customers and key contacts (political or otherwise) to explain these spiralling supply chain costs and to add momentum for necessary reform to assist with Australia's economic recovery.