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Industry slams Panama fee hikes

Industry slams Panama fee hikes
THE International Chamber of Shipping (ICS), and its partners in the Round Table of international shipping associations, Intercargo, Intertanko and BIMCO, have renewed their criticisms of proposals increase Panama Canal tolls to fund major expansion plans

SHIPPING INDUSTRY SLAMS PANAMA FEE HIKES

THE International Chamber of Shipping (ICS), and its partners in the Round Table of international shipping associations, Intercargo, Intertanko and BIMCO, have renewed their criticisms of proposals increase Panama Canal tolls to fund major expansion plans..

ICS says it welcomes the Panama Canal Authority’s (ACP) decision to postpone the initial implementation date for some sectors from 1 May to 1 July, which “takes some account of industry concerns about the extremely short notice period for the first set of toll increases”.

“However,£ the ICS complains, “while this amelioration is of course most welcome, those shipping companies who currently have fixed contracts (often of at least twelve months) will still have to absorb a significant cost burden, and we would have hoped that the ACP would also have deferred the implementation date for subsequent years.”

“Moreover,” says ICS, “the key elements of the initial proposals have remained unchanged and we are disappointed that the main industry concerns regarding the quantum and timing of the proposed increases, as well as the direction of toll increases in the longer term, appear to have been ignored.”

The ICS statement continues: “As previously stated, we firmly oppose the quantum of the proposed tolls, which represent average increases of around 10% per annum for sectors charged according to tonnage, with increases for container carrying vessels and larger passenger ships considerably in excess of this. Not only are these changes substantially larger than the 3.5% p.a. discussed in the formal Expansion Proposals, but also the sheer size of these adjustments would, in any industry, be regarded as excessive.”

www.TurkishMaritime.Com.tr

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