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Monday, January 12, 2009

2008 Retail Container Traffic Hits Four-Year Low


In another sign of the economic times, year-over-year cargo volume at the nation's major retail container ports fell for the 17th straight month in Dec. 2008, completing the slowest year since 2004, according to the monthly Port Tracker report released last week by the National Retail Federation and IHS Global Insight.

Volume for the year was estimated at 15.3 million Twenty-Foot-Equivalent Units (TEU), as compared with 16.5 million TEU in 2007. This would represent a decline of 7.1 percent and the lowest total since 2004, when 14 million TEU moved through the ports. One TEU is one 20-foot container or its equivalent.

"2008 was a slow year for the ports for the simple reason that it was a slow year for retail sales," said NRF Vice President for Supply Chain and Customs Policy Jonathan Gold. "We don't expect a significant increase in traffic at the ports until retail sales return to normal levels, and even then retailers will be careful not to over-stock."

IHS Global Insight is forecasting that Jan. 2009 will be down 6.3 percent from Jan. 2008, and February of this year, down 11.1 percent from 2008 figures. While March is expected to be up 1.1 percent from Mar. 2008, April is expected to decline 2.6 percent from 2008.

Port Tracker is free to NRF retail members. Subscription information is available at www.nrf.com/PortTracker or by calling 202-783-7971. Non-NRF members can call 202- 481-9265.

Morrison Container Handling Solutions Introduces New Sustainable Collating Technology for the Packaging Industry

Morrison Container Handling Solutions, a leader in the manufacturing of timing screws and change parts for the packaging industry, unveils a NEW container collating machine which uses exclusive technology to collate containers one up, one down, back to front, in an alternating pattern resulting in a tight package. Morrison's NEW collating system, uses single lane in, double lane discharge in a compact design.

Glenwood, IL (PRWEB) January 10, 2009 -- Morrison Container Handling Solutions, a leader in the manufacturing of timing screws and change parts, unveils a NEW container collating machine which uses exclusive technology to collate containers one up, one down, back to front, in an alternating pattern resulting in a tight package. Morrison's new collating system, uses single lane in, double lane discharge in a compact design.

Designed by Morrison's skilled engineering team, this new machine uses less packaging material and produces packages that fit in a much more compact space. With a smaller physical and environmental footprint for containers packaged with this system, the savings in materials and space leads to cost reductions, less waste, and greater production efficiencies.

"Since 1971, Morrison's team of packaging experts has provided our customers with innovative solutions to the container handling challenges that continuously arise. Morrison's first and foremost goal is to provide our customers with the highly efficient products they need. With this latest machine, we can help our customers sustain environmental practices. Morrison provides a superior level of customer service that remains unsurpassed in the industry to this day," says Nick Wilson, president and founder of Morrison Container Handling Systems.

For 37 years, Morrison Container Handling Solutions (formerly Morrison Timing Screw Company) has been a recognized leader in the production of timing screws and change parts. Well-known for its ability to problem-solve quickly, Morison's departments of engineering and field service provide packaging solutions for national and international companies.

For more information, please contact:
Lois Hayworth
Morrison Container Handling Solutions,
335 West 194th Street, Glenwood, IL 60425
708.756.6660
Fax 708.756.6620.
www.morrison-chs.com
info (at) morrison-chs.com

Continuing standoff between among container operators, Cochin Port


KOCHI: The standoff between the Cochin Port Trust (CPT) and the Container trailer operators with regard to the parking fee imposed by the port continued for the fifth day on Saturday, as the discussion held to break the deadlock failed yesterday.

The container trailer operators had held a discussion with the Port Trust authorities to find out a solution to the issue, but the discussion ended inconclusive, port sources said. Port has stuck to its stand that container trailers parked in the port pr emises for more than six hours should pay the stipulated parking fee- Rs 15 per hour for 40-foot containers and Rs 10 per hour for 20 foot containers.

The trailer operators called off their services on last Tuesday in protest against the imposition of the parking fee. The truck parking terminal built in the 5.5 acre land at Willingdon Island was to provide better facilities for the truckers and it was a long standing demand of the stakeholders, the sources said.

The parking fees was collected because of the increase in the cost of the maintenance of the roads which are being used as parking areas by the truckers, they said. Meanwhile, Mr P Ramachandran, President, Island Container Carriers Owners Association, sa id the newly introduced parking fees have put the container owners in difficulties.

Mr Ramachandran said they should not be penalised for the delays in loading and unloading operations. He also refuted the allegation that the haphazard parking of container trailers and the presence of unauthorised vehicles were posing a security threat.

Mr Ramachandran urged the port authorities to reconsider their decision to impose parking fees since transport industry is facing problems due to global recession. - PTI

Container lorries to join strike


CHENNAI: The transporters’ strike is likely to intensify with container cargo transporters also announcing their support to the agitation on Saturday.

Various organisations have called for speedy resolution of the issue. Tamil Nadu Trailer Owners’ Association, Port Contractors’ Welfare Association, Chennai Trailer Owners’ Association and Tamil Nadu Taurus Container Transport Owners’ Association would also join the strike from Monday, if the situation remains unresolved.

STRIKE WON’T HIT MILK SUPPLY: The Tamil Nadu Cooperative Milk Producers Federation Limited (Aavin), on Saturday assured its consumers that milk supply would not be affected even if milk truckers were to join the on going truckers agitation. In case of any difficulties, consumers can contact Aavin’s 24- hour consumer care and support cell on 1800 425 33 00 (toll free) or email: aavincomplaints@gmail.com

CITY GETS NORMAL OIL STOCKS: Most of the petrol pumps in the city received stocks by Saturday morning after the strike was called off by executives of the oil companies. The State government operated tankers to help ease the situation. Customers heaved a sigh of relief after they were left in the lurch for almost three days for lack of fuel. Long queues were witnessed in the bunks in most parts of the city. According to an IOC official, the situation would be back to normal in the city by Sunday.

IT’S BITTER PONGAL IN KOVAI: With only three days left for Pongal, the harvest festival of Tamil Nadu, the sweetening factor of the festival remains missing.

Traders and consumers are apprehensive that there will be an abnormal rise in price of sugarcane this time. Usually, truck loads of sugarcane reach Anna Market, MGR Market, Thiyagi Kumaran Market and Ukkadam Market in the city and also at the suburban markets a week before the festival. This year, the arrival is almost nil.

TRANSPORT WORKERS SHOW SUPPORT IN TIRUPUR: Extending support to the nationwide truckers’ strike, members of Tirupur unit of CITU- affiliated to All India Road Transport Workers Federation went on a strike here on Saturday.

District secretary of the association P S Mani said that the strike was not only for extending support to the striking truckers, but also to put pressure on the government to hold talks with the transporters and sort out their grievances.

Isle container traffic slows




Hawaii's ports are a little quieter these days.

Ocean shippers nationwide have been affected by a national slowdown in retail container traffic, which fell to its lowest level in four years in 2008, a report released this week shows.

Matson Navigation Co., which saw its container traffic in Hawaii slump by 7 percent and its auto volume decline by 8 percent for the nine months ending Sept. 30, is among shippers to feel the pinch of a pull back in home buying and construction. That contraction means fewer shipments of furniture and building materials, according to Paul Bingham, an economist with research firm IHS Global Insight.

A report by IHS and the National Retail Federation shows that year-over-year cargo volume at the nation's major retail container ports fell for the 17th straight month in December, making for the slowest year since 2004.

While Hawaii was not among the ports measured in the report, and its container traffic has not been as hard hit by the economic slowdown, the industry is still feeling the drop off in consumer spending, the contraction of home and construction markets, and the plunge in visitor traffic, Bingham said in an interview.

Nationwide, the single-biggest commodity category drop off by volume was furniture related to home sales, he said.

"Hawaii is a little more insulated because it was not subject to the extreme flow swings in the boom years," Bingham said. "There was less growth so the recession won't be as steep, but that's small consolation to Hawaii."

Nationwide, volume for the year was estimated at 15.3 million 20-foot containers or the equivalent, compared with 16.5 million 20-foot containers in 2007.

That is a decline of 7.1 percent and the lowest total since 2004, when 14 million 20-foot containers or the equivalent moved through the ports.

"We've seen decreases across the board," said Matson spokesman Jeff Hull. "We carry pretty much everything to support the state's economy, so when it declines we see drops in nearly every category, especially construction, retail and tourism-related goods."

The downturn in tourism translates into fewer shipments of rental cars, travel-related fuel, food and beverages, and retail goods, Bingham said.

"People aren't traveling. They are taking staycations, and that means that there is less consumption of tourism-related goods in Hawaii," he said. Port traffic is expected to continue to be slow due to an underlying weakness in demand, he said.

While some shipping companies have resorted to layoffs and reduced work hours to contain costs, Matson has not taken either step in Hawaii, Hull said.

"We have really looked at a lot of cost-control measures even prior to this recession, and we continue to look at a wide range of cost-control measures that can be put into place without undercutting our service," Hull said.

The company's next earnings report is due out Feb. 4.

Saturday, January 10, 2009

CG Responds to Drifting Container Ship

SANTA BARBARA, Calif. - The Coast Guard is responding to a distress call from a container ship that lost propulsion in the Santa Barbara Channel.

The vessel Maersk Kawasaki was heading north through the channel when it lost propulsion due to an unknown cause.

The Coast Guard Cutter Blacktip, home-ported in Oxnard, was dispatched to the scene. Tugboats in the local area were also dispatched.

The Maersk Kawasaki is maintaining its current position with the use of thrusters located at the bow and stern of the vessel. There is no immediate threat to oil platforms or the Channel Islands National Marine Sanctuary. The Coast Guard is monitoring the vessel's position through the Vessel Traffic Service and Marine Exchange.

The Coast Guard issued an urgent marine information broadcast advising maritime traffic in the area.

The casualty is under investigation.

Monday, January 5, 2009

Cargo jobs could drop more in 2009


The housing market isn't the only gold mine putting on the brakes in San Bernardino and Riverside counties.

The Inland Empire's logistics industry - with its blue-collar jobs infusing retail spending at local stores - experienced its biggest drop ever in job creation in 2008 because of falling container traffic coming through the seaside cargo ports in Los Angeles and Long Beach.

For 2009, "it could decline, or it could remain flat," said John Husing, regional economist and owner of Redlands-based Economics and Politics Inc., about local job creation in the goods movement business.

The ports are seeing a huge drop in imported cargo because consumers nationwide are buying less foreign-made products.

"Usually,
Cargo containers sit on the tracks Friday at the Union Pacific Railroad Yard in Rialto. A drop in container traffic coming through cargo ports is harming the local logistics industry. (Jennifer Cappuccio-Maher/Staff Photographer)
you could count on this (job sector) offsetting job declines in other areas, but you can't do that this year," Husing said.

About 38,200 logistics-industry jobs were created across the Inland Empire between 2000 and 2007 - more than 5,400 per year.

But the sector added a mere 200 jobs in 2008, Husing said.

"It's not there as a growth vehicle when we need it the most," he said.

Container traffic at the two ports dropped 19 percent for the two-month period of October and November compared to the same period in 2007, according to information published by PierPASS, a not-for-profit organization trying to reduce congestion and improve air quality around the ports.

It's likely to drop even more in the first quarter of 2009.

"Our customers are saying it may be 20 to 30 percent less than the first quarter of 2008," said Theresa Adams Lopez, spokeswoman for The Port of Los Angeles.

At its peak in 2006, the Port of Los Angeles processed 8.5 million containers.

Less than 7.3 million came through between January and November of this year, according to port data.

Because of December's estimated container traffic, which hasn't yet been released, "the numbers for the fourth quarter of this year are going to frighten people," said Jack Kyser, chief economist at Los Angeles County Economic Development Corp., a research organization in Los Angeles.

Those numbers aren't frightening Chris Ramirez, but the Fontana business owner still had to lay off almost half of his work force - 25 employees - because of a drop in cargo traffic.

Ramirez owns Ramirez Pallets, which makes new wooden pallets and repairs old ones for shipping purposes.

"All the pallets are full of inventory," he said about local logistics distributors moving goods through their warehouses. "We're preparing for the worst. People say next year will be worse."

A consumer-spending slowdown isn't the only issue for the Inland Empire logistics industry to worry about.

There's a growing consensus among economists and industry experts that the ports of Los Angeles and Long Beach won't reap the future cargo traffic boom originally expected.

That's because other ports around the nation are expanding their operations, and they don't have near as many air quality and congestion issues as the Los Angeles and Long Beach ports.

"Other ports around the country are healthy, and they do want to steal business," Kyser said. "It's something we have to look at, because we're the No. 1 port complex (in the nation)."

Husing agreed.

"Given the desire for companies to avoid L.A. and Long Beach, it'll be easier for them to choose (a different port) option in the future," Husing said. "I'm not optimistic about the ports of L.A. and Long Beach coming anywhere near the kind of growth needed for the sake of the inland economy."

PSA-Sical to develop second container terminal at Chennai

Chennai: Chennai Port trust has issued a letter of intent to the PSA-Sical Consortium for the development of a second container terminal over the restructured east and south quays to be complete by early 2008.The consortium, a joint venture by Singapore-based shipping port operator PSA and Chennai-based Sical Logistics, beat 11 bidders for the Rs 492 crore (US $109 million) project, will be in charge of the new 800,000 teu terminal for a period of 30 years.

Samskip Multimodal extends its online customer services

Samskip Multimodal Container Logistics has fully redesigned its existing electronic services and extended its online customer service capabilities.

Samskip now offers two different types of e-services: the new Service Web and direct EDI possibilities. Depending on the size, preferences and requirements of the customer, the most suitable e-service can be offered.

The Samskip Service Web is a web based application enabling customers to log on to their accounts anywhere and anytime to access information concerning their shipments with Samskip.

The Service Web provides a full service enabling online bookings, track & trace, overviews of shipments and invoices. The new online services should be regarded as a natural extension of the existing Samskip customer service teams.

The Service Web is previewed on www.samskip.com./introserviceweb. Jens Holger Nielsen, CEO of Samskip Multimodal Container Logisics, explained that "Samskip Multimodal Container Logistics is seeking constantly to ensure that we operate effectively and efficiently in a way where customers see us as easy to do business with. We are innovating our network, equipment and operational and customer oriented proceses to the benefit of our customers.

"The new Service Web gives customers more control, saving time and providing direct access to all information concerning their business with Samskip - anytime, anywhere."

Talking about the implementation of the Service Web for Samskip Multimodal Container Logistics, Rangnar Ragnarsson, CIO of Samskip, said:

"The existing interactive website really needed improvement in terms of user friendliness and functionality. Our technical team has been working hard preparing to release this new Samskip Service Web. We hope our customers will be happy to use it. Any feedbeck will be very welcome as we aim to keep improving and extending the online functionalities.

"Our EDI services have also been drastically improved and our goal is always to work swiftly to meet any requirements our customers might have in that area."

Besides the Service Web, Samskip also offers various EDI possibilities. EDI, which is short for Electronic Data Interchange, is especially attractive for those customers who ship large volumes with Samskip.

When using EDI the business system of the customer communicates direcly with the Samskip business system to exchange information on bookings, shipment statuses and invoices. EDI is known to result in faster, more accurate and reliable communication between companies.

Samskip employs about 1,400 people working in more than 20 countries worldwide and is active in multimodal container logistics; conventional and project cargo transport, reefer logistics and worldwide forwarding.

With its extensive pan-European multimodal transport service network, Samskip is able to move containers door-to-door between over 30 countries from Russia, Scandinavia and Iceland in the north to Spain, Italy, Austria, Hungary, the Czech Republic and Slovakia in the south and center of Europe.

Samskip Multimodal Container Logistics delivers a reliable and excellent multimodal transport solution combining the best of short sea, rail, road and barge connections. The high frequency of sailings, the wide coverage of its multimodal network and its 33-pallet-capacity 45ft containers combine to provide a very competitive and environmentally friendly alternative to road transport. With its wide range of equipment such as reefers, curtainsides, 45ft, 40ft and 20ft containers and 45ft and 20ft flatracks, Samskip is able to transport all kinds of cargo.

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