AWATA to levy separate Liner Out Charge on top of base freight

CONTAINER shipping lines participating in the Asia-West Africa Trade Agreement (AWATA) have decided to separate the discharge costs and related expenses from the Base Freight by introducing an additional freight charge, which in future will be known as a "Liner Out Charge (LOC)."

The move to separate out these costs from the Base Freight is intended to create a "more transparent freight charge structure." Up until now, the discharge and related costs have been included in the Base Freight.

"This change will simplify the current freight charge structure by reducing the number of freight charges and combine these into this Liner Out Charge," a statement issued on behalf of AWATA members said.

"It is important to note that the Liner Out Charge will be implemented revenue neutral, which means that the gross/total rate in the existing contract for our customers/freight payers will not increase as a direct consequence of this charge," it said.

The Liner Out Charge will come into effect on February 1 and will apply to all cargo transported from the Far East and Middle East to West Africa under the AWATA scope that excludes cargo from Japan and India.

The AWATA member lines are: China Shipping Container Lines (CSCL), CMA CGM, Delmas, Gold Star Line, Maersk Line, Mediterranean Shipping Company (MSC), Mitsui OSK Lines (MOL), Pacific International Lines (PIL) and Safmarine Container Lines.

(Source: www.schednet.com)