Industry Update


2nd June 2022

As the citrus is plucked from the trees, ready for the long journey ahead; the increase in costs are taking its toll across the production chain. Between increases on diesel prices to exorbitant sea freight costs, it is good to see an industry sticking together and fighting for a future (https://www.fruitnet.com/eurofruit/united-front-for-south-africa-on-freight-rates/246412.article)

SOUTH AFRICAN PORTS & CONTAINER FREIGHT STATIONS

On Tuesday 14th June, reports were received of a national transport strike by the ATDF. National roads between Durban and Johannesburg were blocked, delaying the movement of trucks. Further notification was received of possible protest action between 14th and 17th June 2022. On Wednesday 15th June, confirmation received that roads were clear and traffic moving as normal.

DURBAN PORT

Terminal operations have returned to normal.

High traffic volumes and high demand on transport booking system.

Vessel berthing delays:

  • Pier 1 – 2 to 3 days
  • Pier 2 – 0 to 2 days
  • Point – 0 days

CFS is experiencing high container volumes.

All IDMs are moving as normal and as published.

CAPE TOWN PORT

High traffic volumes and high demand on transport booking system.

Adverse weather conditions moving into week 22 (wind)

Vessel berthing delays:

  • CTCT – 2 to 4 days
  • MPT – 2 to 4 days

CFS is seeing high cargo volumes.

All IDMs are moving as normal.

PORT ELIZABETH PORT

All terminal operations are as normal.

Adverse weather conditions moving into week 22 (wind)

Vessel berthing delays:

  • PECT – 3 days
  • NCT – 0 days

LOCAL NEWS

Protest in Hankey (near Patensie in Eastern Cape) has resulted in packing being delayed and transporters having to find alternative routes to continue loading cargo.

GLOBAL NEWS

MSC has announced an increase on Freight Rates to Russia. Delays in feeder vessels from Rotterdam, followed by container collection and returns in Russia moving slowly, MSC has increased their freight rate whilst offering additional freetime in St Petersburg (now 5 calendar days Demurrage and 5 calendar days Quay Storage). Hapag Lloyd had officially taken over DAL’s agency and container business as of today. Tianjin Terminal has gone into another lockdown, resulting in many cancelled calls into port along with Xingang. Cross border trucking via Hong Kong has been suspended until further notice.

USA/CANADA

Shipments into Canada are difficult at the moment, with lack of transportation between New York and Montreal/Toronto. MSC is now routing Canadian cargo on all water service (via New York on feeder direct into Montreal) whilst Maersk has limited bookings to Canadian destinations. Carriers have advised that delays and congestion in the US ports, as well as the SA ports are negatively impacting the AMEX schedule.

UK, NWC & MED

  • Vessel schedule delays and extended voyage times impacting all European & Med services.
  • Amended port rotations and port omissions may result in amended cargo loadings.
  • Vessel changes and “blanked sailings” on the trade.
  • Extended transit times.
  • High cargo demand and limited vessel capacity
  • Operational challenges and increasing fuel prices are impacting freight rates and surcharges on the trade.

Interesting articles:

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