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Following the sudden 450% increase in handling fees for finished vehicles at the newly privatised Turkish port of Derince, a significant volume of that business has now been shifted to the adjacent Autoport facility in Yeniköy, which has reopened for business after an 18-month suspension of services.
Shipping lines have also been motivated to move after a recent attempt by Derince’s owner, Safi Derince International Port Management, to force them to sign a backdated waiver on any claims to vehicle damage sustained at the port during loading and unloading.
Our strategy is to eliminate Derince from our trading network as soon as possible.”It is also the case for Grimaldi, according to Costantino Baldissara, commercial, logistics and operations director, who confirmed the shipping line was looking for alternative solutions so it could definitely close operations at Derince.
“The 450% cost increase is impossible to absorb, regardless of who is paying for it,” he said.
At issue is whether the allegation Arriola backdated a memo can be used against her, or whether the allegation is barred by the government’s 60-day rule.
The 60-day rule states an agency must take adverse action within 60 days of when it knew or should have known about the employee’s improper actions.
Those OEMs are likely to be looking for alternatives as eagerly as their logistics providers, however, as the annual increase in handling fees for the four operators using Derince is something that will translate into higher service charges.“The OEMs will end up paying the bills because it is their product,” said Sturgeon.
The port provides the only commercially viable means of exporting coal from the Hunter Valley region in New South Wales.