Freight News from Lloyds Loading List

Latest News headlines from BIFA

Posted on Friday October 12, 2018

This means that, while operational performance has improved, stack levels remain high.

DP World are continuously monitoring and managing the stack levels to ensure that they can maintain their service and productivity.

They are also working with their shipping line customers to ensure empty containers are shipped out in good time.

Landside weekend opening hours remain extended until further notice, with the Saturday charge being waived and opening all day on Sunday at no extra charge.

All customers can see how the terminal is performing by visiting the DP world website. The daily report status will tell you:

  • What vessels are alongside and working.
  • How many containers are in their yard including the number of empties and imports.
  • The average truck turnaround time including how many appointments have been issued by DPWS versus how many booking appointments have been made by haulage companies.
  • How many vehicles are currently waiting in each transfer area to get their slot, using a traffic light system to indicate how busy landside operations are.

The aim of this service is to be open and transparent about performance and provide customers with a live view on how the terminal is performing.

Posted on Friday October 12, 2018

Click here: GB letter to importers of Stone ex China and Belarus

Click here: Notice of Landing Form Revised September 2018

The Forestry Commission intend sending notifications of the new legislation via commercial Port Inventory systems/Community Service Providers.

Posted on Friday October 05, 2018

Drewry’s long-term supply and demand prognosis for carriers has deteriorated since the last report. Previously, the company’s global supply-demand index was expected to take incremental steps upwards through 2022, by which time the industry would at long last be close to equilibrium. However, the new forecasts suggest that the industry now faces being stuck with the current over-supplied situation for several more years.
 
“The anticipated re-balancing of the container market looks to have been postponed. That’s more bad news for carriers that are facing substantial cost increases as a result of stricter ship fuel standards from 2020,” said Simon Heaney, senior manager, container research at Drewry.
 
It has been a topsy-turvy year in the container market with demand growth oscillating on a quarterly basis, from the highs of the first quarter to the lows of the second. Growth returned with a vengeance in the third quarter, but no-one can tell at this stage how much it was artificially stimulated by fears surrounding the latest round of tariffs issued by the US and China, or how hard the come down will be in the fourth quarter without the expedited cargoes.
 
Drewry rough impact assessment of the latest round of US tariffs imposed last month indicate that eastbound Transpacific flows could be hit with an opportunity cost of approximately 1 million teu next year.
 
“That is a similar sum to what we pinned to the trade under our “medium intensity” trade war scenario in the previous edition,” said Heaney. “It is an unfortunate fact that trade barriers could yet be raised higher with the prospect of further tit-for-tat measures. In such a fluid situation it is impossible to second-guess where this will end. With so many moving parts all trade forecasts need to be treated with more caution than usual as they now have a shorter shelf life and need to be revisited after each breaking news or tweet.”
 
On the supply side, greater than expected new ship deliveries, combined with fewer demolitions in the second quarter prompted Drewry to marginally raise the fleet growth rate forecast for this year. While the difference between the current and previous forecasts for year-end fleet teu is relatively small at +67,000 teu, the significance of the upgrade is larger as combined with a more pronounced downgrade for container volumes supply growth is now expected to exceed that of demand.
 
Such a scenario has clear negative implications for container shipping lines as without any meaningful narrowing of the gap between supply and demand they will have to continue to firefight capacity management on a week to week basis in order to prop up ship utilisation and freight rates.
 
Drewry’s outlook for freight rates and carrier profitability in 2018 and 2019 is little changed from earlier estimates, despite the downward revision of trade forecasts and more bearish outlook for vessel supply. While the market remains fiercely competitive, there are signs that some aspects of predatory pricing practices are receding and carrier vessel deployment more disciplined.

Source: Drewry

Posted on Wednesday October 03, 2018

Robert Keen, Director General of the British International Freight Association (BIFA) says that in light of the significance of such news on the work undertaken by BIFA member companies, he was surprised that they have learned about it from a national newspaper, rather than through an official announcement.

“BIFA has had many meetings with both HM Treasury and HMRC in which we highlighted our concerns regarding the capability of the Customs brokerage sector to increase capacity.

“We have explained that the sector already faces a massive shortage of staff of suitable quality.

“We have emphasised that it could take up to a year to train staff to be fully conversant to prepare a range of basic Customs declarations, even if there was a sufficient number of trainers to train those staff, as well as relevant courses for them to attend.

“The impending introduction of the Customs Declaration Service will only compound the problem as the sector would be retraining staff to move from the current system (CHIEF) to CDS, as well as potential new entrants that would be needed to process entries in the event of no trade deal being agreed by March 2019.

“Assuming that the article in the Times is accurate, we now need the Government to provide us with much greater detail on the nature of this investment. How to access the funding. How long the funding will be available. What it will cover. Who qualifies.”

In late August, when the UK government supplied information to businesses on trading with the EU if there is no deal, BIFA said that as most of the visible trade that takes place between the EU and the UK is managed by freight forwarders and logistics professionals on behalf of traders, some of the content of the information could be considered rather patronising as those freight forwarders are already aware of many of the issues of concern to businesses trading with the EU in the event of no deal.

“To see the latest news about Government plans for Customs revealed through the columns of a national newspaper, just adds insult to injury," Keen concluded.

Posted on Wednesday October 03, 2018

Two recent cases highlighted forwarders being contacted by individuals purporting to work for HMRC. In both cases the caller claimed that they were seeking unpaid tax.

During one episode the caller became quite aggressive with threats of withholding passports, police attendance to effect arrest and freezing of the company bank account. In this case the recipient of the call noted the telephone number as being 020 3290 4322, whilst the other recipient of the call has been asked to check the number.

The Solicitor called the 020 3290 4322 number and it was answered by someone purporting to be from HMRC.

These types of boiler room scams are usually set up using telephone numbers beginning 0203, with fraudsters continuing for a short period, collecting as much money as they can, and then closing the lines.

Wisely, in both cases the recipients refused to discuss matters with the fraudsters and ended the calls.

Posted on Wednesday October 03, 2018

Particular uncertainty and concern was expressed by respondents in both the survey and follow-up interviews about carriers’ methods of fuel cost recovery with more than half of all respondents (56%) stating that they did not consider their service providers’ existing approaches as either fair or transparent. Further to this, 4 in every 5 of the shippers/BCOs participating in the survey stated that they had yet to receive clarity from their providers as to how the widely anticipated future fuel cost increases, set to accompany the 2020 regulatory change, would be met.

Read more >

Posted on Tuesday October 02, 2018

YIFFY Award Winner

(L to R)  Thomas Sim, Chairman of FIATA's ABVT Group; Award Winner Louis Perrin, Hemishpere Freight (UK); Micheal Yarwood of Sponsor, TT Club; Huxiang Zhao, immediate past President, FIATA

Having won the BIFA award for 2017, Louis Perrin of Hemisphere Freight Services, was subsequently selected as Regional Winner Europe and nominated to represent Europe for FIATA’s international award, which is sponsored by the TT Club, at the FIATA World Congress which was held in Delhi, last week.

In Delhi, Louis beat off stiff competition from three other regional finalists representing trade associations from FIATA’s Africa and the Middle East, Americas and Asia Pacific regions.

Having submitted a 6,000 word dissertation as part of their entries, each regional finalist was invited to attend the World Congress to present their dissertations in person to a panel of judges, with Louis triumphing.

In congratulating Louis on his victory, BIFA Director General, Robert Keen says that whilst the win was all the result of hard work by Louis, it reflects well on the trade association for UK freight forwarders.

“It reflects well on the work that BIFA is doing via its freight service awards, as well as other initiatives to foster professional standards of skill and knowledge in the global freight forwarding community.

“That depends on training and motivation of the young recruits to the industry especially, which is why we have been so active in supporting the development of an employer’s ‘Trailblazer’ group, which has seen the launch of a new Level 3 Freight Forwarding Apprenticeship in the UK earlier this year.

“For some time we have anticipated a significant increase in the training requirements of our members and have also strengthened the team of trainers that we employ.

“With entries to our 2018 Freight Service Awards now in the final stages, I would urge any young freight forwarder who wants to emulate Louis and become BIFA’s nomination for next year’s FIATA award to visit our website: bifa.org/enter-now/young-forwarder-award - and find out more about how to enter.”

Posted on Monday October 01, 2018

Award winner, Louis Perrin, a Director of Hemisphere Freight Services, was joined by fellow finalists Katie Brown, Air Freight Manager of TPS Global Logistics, and Irene Borghi, Customer Services Supervisor at Cargonet, for a day at London Gatwick Airport which began by meeting Virgin Atlantic Cargo’s Managing Director, Dominic Kennedy, who provided an overview of the airline’s cargo business and its exciting plans for the future.

Afterwards, Louis, Katie and Irene were taken on a tour of the airline’s different departments, including Engineering, Network Planning, Operations, HR, Finance and Training. They also visited the cabin crew training facility, the cargo warehouse operation and were taken air-side to see a flight being loaded and to enjoy a cockpit visit and the chance to speak to Virgin Atlantic flight crew. The day concluded with a tour of the airline’s VHQ headquarters.

Ray Wood, Virgin Atlantic Cargo’s Regional Sales Manager, UK, who organised the visit and joined the trio on their tour, said: “We are really proud to be a long-term sponsor of this great BIFA award, which aims to recognise and inspire future leaders of the freight forwarding industry. This year we wanted to take a step further and invite the finalists to the home of Virgin Atlantic so they gain even more experience from their success. It was a pleasure to welcome Louis, Katie and Irene into our business for the day and we plan to make this a part of our annual award sponsorship.”

It was also the perfect opportunity to wish Louis further success as he prepared to fly to this month’s FIATA World Congress in New Delhi to compete for the International Young Freight Forwarder of the Year award against other regional finalists.

Nominations are now being invited for the 2018 BIFA Young Freight Forwarder of the Year Award, which will be presented on 17 January 2019 at a ceremony in London attended by over 500 BIFA members. The award is open to anyone up to the age of 32 and entries must be completed by October 8, 2018. Full information can be found on the Association’s website at /enter-now/young-forwarder-award

Posted on Monday October 01, 2018

Freight capacity, measured in available freight tonne kilometers (AFTKs), grew by 4.5% year-on-year in August 2018. This was the sixth month in a row that capacity growth outstripped demand growth. Yields, however, appear to be holding up.

Growth is being supported by a number of factors, including buoyant consumer confidence, an upturn in the global investment cycle and growing international e-commerce. However, demand is being negatively impacted by three factors:

  • A broad-based weakening in manufacturing firms’ export order books. Specifically, export order books in Europe, China, Japan and Korea have fallen in recent months.
  • Longer supplier delivery times are being reported by manufacturers in Asia and Europe, the top two global trading areas by volume. This typically means that they have less need for the speed afforded by air freight.
  • Risks to global trade from the recent escalation in trade tensions.

"August demand for air cargo grew at 2.3%, unchanged from the previous month. Buoyant consumer confidence, the growth of international e-commerce and the broad-based global economic upturn are behind the growth. But there are downside risks. Order books are weakening and supply delivery times are lengthening. And the growing trade tensions are a specter over the industry. The early focus of tariffs was not on products typically carried by air. But as the list of tariffs grows so does the air cargo industry’s vulnerability. And, we can expect souring trading relations to eventually impact business travel. There are no winners in trade wars," said Alexandre de Juniac, IATA's Director General and CEO.

August 2018
(% year-on-year)

World share¹

FTK

AFTK

FLF
(%-pt)²     

FLF
(level)³  

Total Market

100.0%

2.3%

4.5%

-0.9%

42.2%

Africa

1.9%

-7.1%

6.0%

-2.8%

19.7%

Asia Pacific

36.9%

1.6%

3.4%

-0.9%

53.4%

Europe

24.2%

3.7%

5.2%

-0.6%

42.4%

Latin America

2.7%

1.6%

5.3%

-1.2%

32.9%

Middle East

13.7%

2.2%

7.9%

-2.3%

41.4%

North America

20.6%

2.8%

3.2%

-0.1%

34.5%

¹% of industry FTKs in 2017   ²Year-on-year change in load factor   ³Load factor level 

Regional Performance    

All regions reported year-on-year demand growth in August 2018, except Africa which contracted. All regions reported that capacity growth exceeded growth in demand.

  • Asia-Pacific airlines saw demand for air freight grow by 1.6% in August 2018 compared to the same period last year. This was an increase over the previous month but a marked slowdown in growth from the past year. Weaker manufacturing conditions for exporters, particularly in Japan and China, have impacted the demand. As the largest freight-flying region, carrying more than one-third of the total, the risks from protectionist measures are disproportionately high. Capacity increased by 3.4%.

  • North American airlines’ freight volumes expanded 2.8% in August 2018 compared to the same period a year earlier. Capacity increased by 3.2% over the same period. The recent momentum of the US economy and solid trade flows across the Atlantic have helped strengthen demand for air cargo, benefiting US carriers. A pick-up in supply chain bottlenecks, which is typically alleviated by the speed of air freight, may also be benefiting the demand.

  • European airlines posted the fastest growth of any region in August 2018, with an increase in demand of 3.7% compared to the same period a year earlier. Despite a weakening in manufacturing firms’ export order books in Europe, particularly Germany, international air cargo demand has trended upwards at an annualized rate of 8% over the last six months. Strong conditions on the transatlantic market and a pickup in demand between Europe and Asia have driven this growth. Capacity increased by 5.2% year-on-year.

  • Middle Eastern carriers’ carriers posted a 2.2% increase in freight volumes in August 2018 compared to the same period last year. This was a significant deceleration in demand over the 5.4% recorded the previous month. The decrease mainly reflects developments from a year ago rather than a substantive change in the near-term trend. International cargo demand is trending upwards at an annualized rate of 6% in the region supported by a pick-up in trade to/from Europe and Asia. Capacity increased 7.9% year-on-year.

  • Latin American airlines experienced an increase in freight demand growth in August 2018 of 1.6% compared to the same period last year and capacity increased by 5.3%. Some of the smaller markets within the region have seen strong growth in international freight volumes so far this year. Nevertheless, the broader pick-up in demand seen over the last 18 months has now paused.

  • African carriers saw freight demand contract by 7.1% in August 2018, compared to the same month last year. This was the fifth time in six months that demand contracted. Capacity increased by 6.0% year-on-year. After a peak in demand at the end of 2017, seasonally-adjusted international freight volumes have stopped declining in recent months. However, they remain 8% lower than the November 2017 peak. Demand conditions on all key markets to/ from Africa remain weak. 

View full August freight results

Posted on Tuesday September 25, 2018

People have been reported standing on highway bridges crossing the A1 and throwing items at HGV’s that are travelling along the main road.

Concrete blocks and other heavy items have been thrown and most recently a car battery was thrown onto a passing HGV that caused damage to the vehicle and injury to the driver.

The message from NaVCIS is, whilst it will be difficult to see any potential persons at night, always be aware when passing under highway bridges and inform Police about any incidents immediately.