The Maritime Union (the MUA Division of the CFMMEU) has announced suspension of Protected Industrial Action for 24 hours from today, Tuesday 05 December to Wednesday 06 December 2023, at each of the DP World terminals. At the same time, DP World have offered a brief reprieve in charges by deferring the increase of the Landside Fees from 01 January to 01 February 2024.
Industry representatives Freight & Trade Alliance (FTA) and Container Transport Alliance Australia (CTAA) requested a waiver of Terminal Access Charges (TACs) from DP World, as a form of compensation for ongoing Protected Industrial Action and the lingering impacts of the recent cyber incident.
Terminal Landside Fee Increases in 2024 – DP World and VICT.
DP World Australia (DPWA) has stated its intention to impose Landside Fee increases at its terminals in Melbourne, Sydney, Brisbane and Fremantle, from the beginning of 2024.
The reason given for increasing the TAC is to make the balance fairer for exporters.
It was in fact Patrick Terminals who first introduced the TAC ‘deferential’ between full exports and full imports in its east coast terminals in March 2019 – to give landside fee relief to exporters.
In a statement issued online on 01 December 2023, DP World says:
“In accordance with the National Voluntary Guidelines, we are only able to review our landside charges once a year.
DPWA Export Access charges have been trailing at a significant discount to Import Access charges considering the level of capital investment is for the users of the terminal and benefits the Importers and Exporters alike.
We offered a level of discounting to assist the Export market for a period and working towards fully closing the gap in the coming years.
Based on the concerns around the quantum of increase and conditioning required for the market on this change, DPWA is delaying the Effective Date on Access charges – Imports & Exports to 1 February 2024.
This should provide some assistance in planning and management. All other Landside / Ancillary charges will be effective 1 January 2024.
In addition to the above, DPWA can confirm the earliest period it may look to fully close the gap between Export and Import is no earlier than start of 2026. Export Access Charge can expect to trial Import Access Charge for at least another 12 months beyond 2024.”
In response to negative feedback, DPWA has indicated that the increases in Terminal Access Fees (TACs) for full import and full export containers will be postponed to 01 February 2024.
Vehicle Booking System (VBS)-related fee increases will be implemented from 01 January 2024 as originally intended.
The fee increase comes on top of the significant costs of the debilitating industrial actions being undertaken by DPWA’s workforce and the maritime union in pursuit of their Enterprise Agreement bargaining claims. Then there was the cyber-attack on their terminals during November. The strike actions alone have cost transport operators and their importer & exporter clients millions of dollars in lost productivity and supply chain disruption to date.
Victoria International Container Terminal (VICT).
VBS-related Fee Increases: VICT has also issued its final 30-day Notice to Customers about its increase VBS-related fee tariff and import storage charges applicable from 01 January 2024.
Patrick Terminals:
Patrick’s normal cycle of fee adjustments is notification early in the New Year for an early March implementation.
Therefore, clients should expect some 60-day Notices of Intention to be issued by Patrick on or around 01 January 2024.
Read our related article: DP World: Fees Up, Tools Down.
For correct information about all your imports, including associated fees and charges, contact us here at Colless Young. As licensed Customs Brokers and International Freight Forwarders, we handle your cargo economically and professionally. Based in Brisbane, Colless Young provides a complete range of logistics services, including landed costings. We also look after your exports, both by sea and airfreight, at all major Australian ports and airports.
