9/9/2020

To our Valued Customers,

 

Empty Container Management in Sydney Reaches Crisis Point Empty container management in Sydney has reached crisis point.

 

Many empty container parks are at capacity, and several closed their doors yesterday to import de-hires of certain equipment types due to operational safety concerns.

 

Weather disruptions, berth and container terminal congestion, and stevedore industrial disputation are all major contributing factors.

 

Professionals are saying that “the shipping lines want and need to reposition empty containers out of Port Botany. There is a reported shortage of empty containers in Asia to fill export needs.”

 

“However, the shipping lines haven’t been able to evacuate the number of empties necessary to alleviate the severe congestion.”

 

“One analysis shows an imbalance of over 30,000 TEU since April of imported containers (full and empty) compared to containers exported (full or empty) through Port Botany.”

 

“That’s over 30,000 TEU in the container logistics chain in NSW that otherwise should have been reshipped or re-used, but instead are piling up in empty container parks and transport yards.”

 

“The flow-on impact in the logistics chain is huge, with import empties unable to be de-hired, empties being staged through transport yards and held until they can be dealt with, and a massive increase in the redirection notices for empty containers that adds to transport costs and creates an administrative nightmare for transport operators.”

 

“Shipping lines need to schedule larger empty stack-runs out of empty container parks to alleviate the congestion as a matter of urgency. We understand that there will be some vessel calls dedicated to empty container evacuations out of Port Botany over the coming weeks … these can’t come soon enough.”

 

The delays and congestion bring into question the container detention policies of the major shipping lines.

 

“Most shipping lines calculate the detention free-time from when the container is discharged from the vessel, which may not correspond to when the container is actually available and accessible from the terminal.”

 

“Also, with the delays at the end of the import container’s journey from unpack to de-hire, it is likely that many more containers will fall foul of the shipping lines’ container detention policies.”

 

We are talking with shipping lines about container detention relief, they are coming to the party, but unfortunately empty parks are still re-directing containers elsewhere & sometimes they are making Transport carrier’s hold empties until they can make room. This obviously comes at a cost & additional charges are being passed on as this is out of their control.

 

BRi will continue to keep clients updated with any further development. Should you have any questions or queries relating to the above, please do not hesitate to contact your BRi Customer Solutions Representative.

 

Keeping you updated,

BRi Customer Solutions Team

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