FMC Acts On Mississippi Towage Arrangements

Wednesday, June 13, 2001
The International Association of Dry Cargo Shipowners (INTERCARGO) welcomes the news that the U.S Federal Maritime Commission (FMC) has agreed it has jurisdiction in the matter of Exclusive Towage Contracts issues in the lower Mississippi River. Accordingly, the FMC has issued a "show cause" order to the principal bulk terminals with such contracts. Roger Holt, Secretary-General of INTERCARGO said today, "This show-cause order requires the marine terminal operators to demonstrate why they believe they have not violated Shipping Act regulations - particularly those concerning anti-competitive practices. Over the summer months the terminals will have to supply the FMC with reasons why it should not issue a "cease and desist" order against them." Currently, dry cargo ship operators on the Mississippi are forced by terminal operators to sign contracts with towage companies nominated by the terminal operators. These agreements leave operators of ships trading on a voyage charter basis with no ability to negotiate terms and conditions. Mr Holt, added: "INTERCARGO, which has been working with both members and non-members to provide base data to the FMC and giving the initiative its full support, is delighted that the international maritime community has been able to co-operate on this issue. Owners, and more importantly operators who are disponent owners and who pay the towage expenses, now have the hope that these practices will be stopped and that they will see a future improvement in their bottom line operating expenses. We believe that the additional costs to shipowners and ship operators could be as much as $12 million per year. These extra expenses increase the cost of ocean freight and, moreover, the price of US agricultural exports."

Legal

SOS from Hanjin Shipping

The creditors' extended help is crucial for survival of Hanjin Shipping Co as its negotiations with owners of chartered ships over a cut in leasing rates and to

Hapag-Lloyd Shareholders Okays Merger with UASC

Hamburg-based ocean carrier Hapag-Lloyd said its shareholders approved all items on the agenda at Annual General Meeting, mainly the  share capital increase needed

Yangzijiang Shipbuilding to Slash 2,000 More Jobs

Chinese shipbuilder Yangzijiang Shipbuilding Holdings Ltd said it plans to cut 2,000 additional jobs, just under 10 percent of its current workforce, stepping up

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Navigation Offshore Oil Pipelines Pod Propulsion Port Authority Ship Repair Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0964 sec (10 req/sec)