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Northport delays plan to trim free container storage until June
POSTED: 9:30 a.m. EDT, October 30,2007

Northport at Malaysia's Port Klang, says it will delay its plan to cut back on free storage time for containers until next June in response to appeals from port users.

The Port Klang Authority (PKA) first announced that reductions in free storage would be enforced from November 1, which "caught shipping lines and port users by surprise," said a statement from Northport.

It said port users' - including the International Shipowners' Association and the Malaysian Shipowners Association - opposed the short notification rather than its purpose, which is intended to effect improvements in delivery.

The PKA, with the approval of Malaysia's Ministry of Transport, is wants inbound containers free storage time reduced from five to three days and from seven to three days for outbound containers. It is also wants free storage for transshipment containers cut to 14 days from 28.

Northport (Malaysia) Bhd said it has agreed to delay the implementation of the initiative after "taking into account the logistics problems the short notification".

It said "the lead time of seven months is expected to assuage fears and concerns of port users who must take measures to ensure that containers do not idle or dwell beyond the free storage period".

Containers staying beyond the free storage period will attract charges on a graduated scale based on the number of days under the PKA tariff, the Northport communique added.

From: schednet
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