Port Botany Update - 23/4/15

All Terminals and Empty parks are operational now and working to restore productivity.

We appreciate your understanding of the delays the recent weather has caused and we are working to get back to routine as soon as possible.

Kind Regards

SILA Customer Service

Port Botany Weather Conditions - Afternoon Update 22/4/15

To provide further update on Port Botany Conditions. Terminals remain closed with all slots up to 1800hrs cancelled which we expect they will continue to cancel slots through the night as new storms are predicted and winds are increasing again.

Empty parks are open at this stage, however experiencing major delays..

We will update further once news is received.

Kind Regards

SILA Customer Service Team

Port Botany Weather Conditions - Update 22/4/15

Unfortunately the adverse weather conditions continue to affect Port Botany. At this stage all Terminals will remain closed and re-assess the situation at 1400hrs today.

The situation will cause vessel delays, availability delays and we anticipate some congestion when the Terminals do re open after the worst of the weather has passed.

Empty Parks also remain closed preventing us from de hiring containers.

SILA will continue to make contact with receivers in regards to delays however please feel free to contact us should you have any questions.

Kind Regards
SILA Customer Service Team

Port Botany Weather Conditions - Update

Good Afternoon,

We would like to advise at this time that all Terminals and empty parks remain closed and not processing any trucks with containers.

Slots have been cancelled at all wharves up to 22.00 tonight and we anticipate that the wharves will not open until 6am tomorrow.

Will send further information as it comes to hand and we appreciate your understanding.

Please don’t hesitate to contact us if you have any inquiries.

Kind Regards
SILA Customer Service

Port Botany Weather Conditions

Dear Customers

Weather conditions at Port Botany further deteriorated over night with ongoing high winds and heavy rain falls.

Container Terminals and Empty Parks were closed overnight and will remain closed while the poor weather continues.

The closures will effect FCL deliveries for containers currently on vessels at berth or on ground at the Port Botany Terminals as well as general road deliveries due to poor driving conditions and heavy traffic.

SILA will make contact with any receivers directly with delays today. We also ask to be mindful that there may be delays in dehiring empty containers due to closures.

Please don’t hesitate to contact us if you have any inquiries.

Kind Regards
SILA Customer Service

Sinotrans Shipping returns to the black

Hong Kong-listed Sinotrans Shipping, part of state-owned Sinotrans & CSC Group, recorded US$1.9m net profits for 2014, reversing the US$638,000 losses from the year before, thanks to considerable interest gains on banks loans.

The company pocketed US$15.82m in net finance income which was mainly contributed by US$18.2m interest income on bank deposits – a legacy from the US$1.47bn initial public offerings in Hong Kong eight years ago.

However, operating losses widened by 3.7% to US$27.6m last year as tonnage oversupply continued to haunt the shipping market and China’s weaker demand for commodities further weighed on the industry.

Revenue in its dry bulk business dropped by 13.8% year-on-year to US$621.1m, while shipping volume stood at 37.5m tonnes versus 40.4m tonnes in 2013.
Its container segment, mainly focusing on Intra-Asia area, fared relatively better, seeing revenue slide1.3% to US$585.2m.
Shipping volume totalled 898,935 teu, a decrease of 7% compared with 2013.

Last year, Sinotrans completed the internal acquisitions of a stack of assets from Sinotrans Group, including a dry bulk unit Sinochart, Sinotrans Container Lines and Sinotrans Tianze, a ship management firm in Shanghai.

“After the acquisition, we transformed our original relatively single business mode of ocean dry bulk shipping to a comprehensive business mode combining ocean dry bulk shipping and short-sea container shipping business,” it said.
Li Hua, Sinotrans’s managing director said during a press conference on Monday that the company is also seeking opportunities for external acquisitions and quality new business, amid a pessimistic outlook for dry bulk and container business.
Mr Li added that the company is considering a possible plan to enter into the clean energy shipping market, such as liquefied natural gas carrying, as China will largely increase its LNG consumptions under Beijing’s mounting concerns over environmental protection.

“We haven’t had a detailed plan, but it’s a big opportunity for us.”
In 2014, the company added 12 vessels, including six container carriers, four dry bulkers and two multipurpose vessels, into its fleet, while having scrapped two aged bulk carriers.
It has also booked 10 eco bulk ships which are expected for delivery in 2015.

Up to the end of last year, Sinotrans owned 62 vessels in total with an aggregate capacity of about 4.4m dwt and an average age of around 9.9 years.
The total controlled fleet consisted of 126 vessels with a total capacity of 8.8m dwt.
Please visit Lloyd’s List at http://www.lloydslist.com/sector/ship-operations/article458820.ece for the original article.

Kind Regards

SILA Customer Service


Dear Valued Clients,

Please find below notification which has been received from Patrick Stevedoring in regards to their Port Botany redevelopment commencement date.

Customer Cutover Email

Please note that Patrick Terminal Port Botany will start to ramp down operations from Thursday 26th March 2015 leading into a full terminal closure which (will include all rail operations) on Sunday 29th March 2015 for a total of 4.5days.

On Thursday 02nd April 2015, Patrick Terminal will reopen as an automated facility with a ramp up period in place. With Easter holiday period beginning Friday 03rd April we anticipate that extra pressure will be put onto other Port Botany Container terminals during the closure and holiday period which may well lead to congestion and delays in being able to collect containers from wharf.

We would appreciate any clients with containers arriving from 25th March and approx. 10th April please request maximum amount of free time available, taking into consideration some lines will begin free detention period when containers are discharged NOT first available.

If any questions or concerns please feel free to contact your SILA representative.

Kind Regards
SILA Customer Service

MUA Authorised Stop Work Meeting - Tuesday 24 February 2015

Please see below notification of stop work meeting at Patrick Brisbane Terminal:

18 February 2015

Client Advice – Authorised MUA 4hr Stop Work
Tuesday, 24 February 2015
0900 hours – 1300 hours
Please be advised, there will be a 4 hour stop work on Tuesday the 24 February 2015.
The Terminal gates will close at 0840hrs and re-open at 1240hrs.
There will be no Receival and Delivery or Ship Work scheduled during this period.
Kind Regards
SILA Customer Service

DP World Brisbane Terminal Infrastructure Surcharge – Increase to Charges

We have been advised by DP World Terminals that from 23rd February 2015 the Infrastructure Surcharge at DP World Terminal, Fisherman Islands QLD will increase by 7.50% per full container.

The Infrastructure Levy is applicable to all full container movements into and out of the Terminal and is charged to all Transport Carriers.

Accordingly, SILA invoices issued from Monday the 23/2/15 will reflect the adjusted charges where applicable.

Yours Sincerely,
SILA Customer Service

OPINION: Is container detention going to spoil the festive season?

Dear Valued Customers,

Further to our previous notices to customers on container detention please read the below opinion piece written by Paul Zalia.
It seems that container detention policies are not just a mechanism to ensure timely return of empty containers but have formed an important revenue stream for shipping lines in a tough operating environment.
Shipping lines are continuing to tighten the reigns, reducing detention-free days for the return of empty containers and showing little leniency in deviating from fixed policies.

This is placing additional pressure on transport operators to collect containers from stevedores on the first day of “availability” – an extremely difficult task with limited vehicle booking system (VBS) slots.

Compounding matters, empty container parks contracted by shipping lines operate restricted hours, generally on a Monday to Friday basis, forcing transport operators at additional expense to stage container returns.

Some shipping lines are forcing empty containers to be dehired back to the terminal and bypassing the empty container parks altogether.

A nice cost saving for the shipping lines by avoiding the use of a contracted empty container park.
However this comes at additional costs to the transport operator with PRA booking fees and the like.

Then we witnessed the latest stunt by a shipping line winding up their Australian operations and introducing a container deposit fee for their last remaining voyages.

This entails an advance payment by the consignee, and at the discretion of the shipping line, a refund payable on container dehire.

We certainly hope that other shipping lines do not follow this lead of holding consignees at ransom.
What about other factors out of the control of the consignee affecting delays?

We have ongoing issues with rail providers and stevedores at Port Botany pointing the finger at each other for delays and all are wiping their hands of covering the container detention costs.
Perhaps this is just another cost of doing business but is not a good advertisement for the use of rail which is meant to be the great hope in dealing with future growth in trade volumes.
Just to add a bit more spice, we have the re-emergence of industrial action.

Will shipping lines provide extra days for container detention or will they stick to their rigid policies?

My guess is that that they will say that they will assess situations on a “case by case” basis … good luck with that!

Why don’t the shipping lines come out and say that in these extreme circumstances that they will show leniency?

Then there is our old favourite of the Christmas / new year period with a series of public holidays when most empty container parks are closed.

From Christmas eve (traditional early finish) to Monday January 5 when some companies resume work, there are 12 calendar days but only four working days when empty parks are open (half day Christmas eve and new year’s eve).

Hence there are eight days in this upcoming period when it may be impossible to dehire.

Congratulations to Maersk Line for extending container detention rules during this period.

Will other shipping lines follow this lead or are they banking on a windfall at the expense of their valued clients?

Please share your views.
Paul Zalai – advocate for the Australian freight & trade sectors

Kind Regards
SILA Customer Service