Rising costs force increase in terminal handling charges
Trans-Pacific Westbound Rate Agreement (TWRA) shipping line members have agreed to adjust terminal handling charges (THCs) in Hong Kong and other key destination markets from July 1 to meet rising terminal handling costs in Asia.
The territory's present $1,875 per teu (20-ft equivalent unit) THC charge will be increased by 16.85 per cent to $2,191 per teu/refrigerated teu, while the current $2,500 feu (40-ft equivalent unit) THC charge will jump 29.52 per cent to $3,238 per feu/refrigerated feu.
In Taiwan, Singapore, Malaysia, Thailand and the Philippines markets, where TWRA has previously had a single THC covering dry and refrigerated cargo, member lines have now established a separate THC category for refrigerated cargo.
To certain destinations like South Korea, Hong Kong, Taiwan and Thailand, TWRA lines have also adjusted container yard and container freight station charges to meet higher costs for handling both dry and refrigerated cargo.
TWRA is a ratemaking group of 11 ocean and intermodal transportation companies serving the trade from ports and inland points in the United States to destinations in Asia and India.
A TWRA statement said: 'In most cases the increases address sharply rising demand for refrigerated commodities in Asia.