The trade association for freight forwarding and logistics companies, the British International Freight Association (BIFA), has said that its members are frustrated by the news that one of the world’s largest container shipping firms is to levy a new shipping line surcharge.
According to Sea News, the company will be levying an ‘Emergency Space Surcharge’ from South East India ports to the North Continent, the Mediterranean, North Africa, Red Sea & Latin America.
“Forwarders do not like shipping line surcharges of whatever nature and, along with other groups, we have been challenging their legitimacy on behalf of our members – and their customers – for many years,” says Robert Keen, BIFA Director-General.
Keen added that the shipping line in question has said that the Emergency Space Surcharge is part of continued efforts to provide its customers with a reliable and efficient service. However, BIFA said that the line is cashing in on the crisis on global container shipping, created in no small part by their actions.
He explained that the last few years have seen surcharges for fuel, equipment imbalance, the peak season, and currency fluctuations, and the number of surcharges continues to grow with no proper explanation or justification.
“For instance, what does an extra ‘administration fee’ or ‘container sealing fee’ cover that is not in the standard service offered?” Keen added.
Forwarders do all they can to minimise the effects of the surcharges but in the end, costs need to be passed on to the customers, which often leads to an unfair assumption that BIFA members are to blame, he concluded.
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