Welcome to our September News Brief

Dear Valued Customers,

Industry concerns and calls for broad ranging reforms to Australia’s maritime logistics system have been reviewed by the Government’s Productivity Commission and a draft report was released on 9 September 2022.

It was pleasing that the commission made specific reference to the submissions from the Australian Peak Shippers Association (APSA) and Freight & Trade Alliance (FTA), highlighting the difficulties being faced by importers concerning ongoing delays in biosecurity inspections, unfair container detention practices, increased terminal access charges and empty container park congestion.
 
Australia’s underperforming container ports are costing importers A$605m per year, according to the commission.  “Use of market power is a problem”, noted Commissioner King. “Truck drivers have to pay whatever price the terminal operator demands to pick up or drop off a container. The shipping lines choose the terminals so they should pay these charges”.
 
“Transport operators and importers have to pay fees to shipping lines when they return containers late because empty container parks, which they are directed to, are full. This doesn’t seem like fair conduct”, said Commissioner Julie Abramson. “Australian consumer law exempts these contracts and this should be remedied”.
 
This is an important step forward and let’s hope for some form of regulatory intervention which removes increased costs for importers and the resultant inflationary pressures on the economy.   

Thank you for your continuous support.

Sam Curro
Executive Business Manager – Oceania 

Goods Compliance Update (39)
Importing Goods Requiring a Biosecurity Import Permit

A brief reminder to our customers concerning goods that require a biosecurity import permit but arrive in Australia whilst an application is still under consideration

Under the Biosecurity Act 2015, the Department of Agriculture, Fisheries and Forestry (DAFF) cannot issue an import permit for goods that have already landed. Additionally, under the legislation, goods that arrive without an import permit will be directed for export from Australia or destruction in an approved manner, including attracting harsh penalties
If your commodities require an import permit, it’s extremely important that an application is made well in advance of the expected arrival date as the permit must be granted before the goods arrive in Australia...

Goods Compliance Update (41)
Productivity Commission Draft Report on Australia’s Maritime Logistics System

The commission’s draft report on Australia’s maritime logistics system was released on 9 September 2022 examining system performance, competition, industrial relations, infrastructure constraints and technology uptake. Written submissions are invited by Friday 14 October 2022 and the final report is expected to be handed to the Government by the end of December 2022...

Goods Compliance Update (40)
Failing Food Report for June and July 2022

The Department of Agriculture, Fisheries and Forestry has published its failing food reports under the Imported Food Inspection Scheme for June and July 2022

Reports shows food imports that have failed analytical testing
Foods containing non permitted additives or ingredients
Food that is not permitted due to being a prohibited plant, or fungi...

Goods Compliance Update (36)
International Port Terminals Update

Provides a summary of terminal operating conditions in Japan, Korea, China, Hong Kong, Singapore, Malaysia, USA, Europe and UK – Courtesy of Freight & Trade Alliance...

Goods Compliance Update (37)
Australian & NZ Port Terminals Update

Provides a summary of vessel delays and congestion at Australian and NZ ports – Courtesy of Maersk, Patrick Terminals, VICT & WWL...

Goods Compliance Update (38)
World Container Index (WCI) 15 September 2022

Provides an interesting insight into World Container Index pricing – Courtesy of Drewry UK

• The World Container Index per 40 FT container as of 15 September 2022 decreased by 8% to $4,941.91 USD 40FT
• The composite index decreased by 8% this week, the 29th consecutive weekly decrease, and has dropped by 52% when compared with the same week last year
• The average composite index for the year-to-date is $7,779 per 40ft container, which is $4,087 higher than the five-year average of $3,692...

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