Further to our report in January on Increase in Landside Charges, newly released data confirms that Landside port charges have continued to grow over 2022/2023 and have never been higher. ‘Landside charges’ refer to fees paid by transport operators (road and rail) moving containers in and out of ports and container terminals. These costs differ from Quayside Services, which cover the loading and unloading of a vessel.
The major stevedoring companies in Australia are DP World, Hutchison Ports, Patrick – which is partly owned by Qube Holdings – Victoria International Container Terminal Limited (VICT) and Flinders Adelaide Container Terminal (FACT).
Each of Hutchison Ports Australia in Sydney and Brisbane and VICT in Melbourne, and FACT in Adelaide have issued 30-Day Final Notices to Customers regarding landside terminal access and ancillary fee increases. Ancillary charges, including Truck Appointment Fees, will rise across the board and a new “Long Vehicle Fee” (>26m) will be introduced in Sydney.
Since the beginning of March 2023, there have also been increases in the truck arrival Notification Fees at 15 empty container parks (ECP) across Australia.
Leading economics, commercial advisory and strategy consulting firm, NineSquared, has published its 2023 Landside Port Charges Index, in which it states, “This year saw a broadening of charges, with multiple new charges introduced, including a non-discretionary ‘energy charge’ by one national stevedore company, as well as increased application of penalties for the misdeclaration of vehicles and container weights.”
Their report, which may be viewed in PDF format at this LINK, says that on average, Terminal Access Charges increased by 13% between 2022 and 2023; on average, Late Arrival Fees charged by stevedores increased by 23% between 2022 and 2023; they estimate that a total of $1.3 billion was spent on access charges in the 2021-2022 financial year.
Landside Fee Increases Earmarked at Hutchison Ports’ Terminals:
In a Media Release dated 23 March 2023, Hutchison Ports Australia (HPA) issued 60 day Notices of Intention to increase their landside fee tariff and storage & handling charges at their container terminals in Sydney and Brisbane from 22 May 2023.
Patrick Terminals issued lists of their intended increases, which are different at each of the ports, Brisbane, Fremantle, Sydney and Melbourne, and also different for both Imports and Exports. Patrick also increased its Vehicle Booking System (VBS) fees in Sydney, Brisbane and Melbourne and Fremantle, and adjusted its other Ancillary Charges. The Landside and Ancillary charges have been published on Patrick’s website.
DP World issues their charges online in PDF format HERE, although it does not seem to be kept up to date.
In its most recent Container Stevedore Monitoring Report (read our article HERE), the ACCC found that supply chain disruption had continued into 2022, and this had contributed to inflation in Australia through higher prices for imported goods. The ACCC also found that there was significant scope for productivity improvements at Australian ports, which was a sentiment echoed by the Productivity Commission (PC) in their 2023 inquiry report into Australian maritime logistics.
Talk to us about all charges that may be applicable to your particular cargo. As licensed Customs Brokers and International Freight Forwarders, Colless Young offers you professional advice on all your international trade and shipping requirements. We provide a complete range of import and export logistics services, both air and sea cargo, including warehousing and trucking, at all major Australian ports and airports.
