ISPM15 Taiwan

Please be advised that Taiwan Authorities will adopt strictly the ISPM15 regulations,
since 01-Jan-2009 (Cargo Arrival Date). In case the relevant certificates are not obtained
prior to Customs declaration, it is possible for the goods not to be cleared, to be rejected
for entry by Customs or to result in extra charges. Attached announcement is for your
reference.

Importance of Bell Bay Infrastructure

The proposed expansion of the Bell Bay Port was a vital step in ensuring Tasmania’s transport system met the challenges of the future
The project to increase the size of the working port through a 8.38 hectare deepwater reclamation, will remove an infrastructure bottleneck for Tasmania’s import and export dependent industries.
The Minister for Infrastructure, Graeme Sturges, said that the project was critical in ensuring that the State was able to deal with a forecast substantial increase in container transport, maximising the use of rail and easing pressure on other parts of the transport system.
The expanded area will be used as a as a staging and operational area for container traffic which is presently experiencing a 5.5 percent market increase each year. While growth is expected to slow, increases will continue with container traffic through the port forecast to double by 2023.
“This is well beyond the existing capacity of Tasmania’s Ports,” Mr Sturges said.
“The long term strategy is to consolidate container traffic at Devonport and Bell with the highest growth at Bell Bay. This in turn will free up space at Burnie Port for bulk exports particularly mining exports from the West Coast.”
Mr Sturges said the nomination of the project as one which was deserving of greater investigation reinforced the importance of taking a strategic approach to infrastructure development in the State.
“The focus of the State’s submission to Infrastructure Australia was on critical projects which would unlock constraints in its transport system to deliver real benefits in terms of national productivity,” Mr Sturges said
“That means addressing export limitations and improving freight efficiency along the key national supply chains of the North, South and West Coast of Tasmania
“The State Government understands the importance of infrastructure investment in the State and will continue to support its commitments, election promises and large-scale infrastructure projects.
“This reflects our commitment to doing what we have promised to do – and our desire to keep stimulating the local economy.
“We will continue to work closely with the Australian Government to provide further detailed analysis to allow this and the other priorities to be further assessed.
The Tasmanian Government’s submission to Infrastructure Australia is available at www.dier.tas.gov.au.

China issues new standards for freight forwarders

CHINA has issued five sets of standards for the domestics freight forwarding industry governing service procedures, quality, terms and conditions, statistical survey conduction, freight forwarder qualifications and assessment criteria.
The standards were drafted by China International Freight Forwarders Association and approved by the Chinese Ministry of Commerce. Sinotrans, China Shipping and Sinosteel Corporation participated in the drafting.
The standards are said to secure fast and healthy development of the domestic freight forwarding industry by providing guidelines for government's policy making and regulation.
Another five sets of standards are also on the way to be issued on manifest and documentation, documentation coding approach, information and data exchange and risk assessment. The drafting of these standards is expected to be done in next year and will facilitate the establishment of a public freight forwarding information portal.
The Ministry of Commerce has also given green light to the foundation of a committee that monitors implementation of these technical standards.

With Yangshan purchase, Shanghai poised to beat Singapore

SHANGHAI International Port Group is buying part of the new Yangshan container dock and thus threatens Singapore's No 1 spot as the busiest container port in the world.
News of the acquisition from Tongsheng Investment Group, a one-third owner, pending approval from shareholders, came in a statement to the Shanghai Stock Exchange, and will add 1.15 million TEU capacity in 2009 and 1.3 million TEU in 2010.
The port operator is to sell CNY3.7 billion (US$540 million) in one-year bonds to fund the acquisition from Shanghai Tongsheng Investment, but the overall sale price is as yet undisclosed, reports Bloomberg News.
Such an acquisition is predicted to have Shanghai container volumes surpass Singapore's, with the addition of Phase 3 section likely to produce net income of CNY43 million over two years, said Shanghai Port in the report.
Shanghai growth, according to the municipal statistics bureau over the last 10 months, has dropped to 8.7 per cent, likely a 12 per cent growth overall, down from 20.5 per cent growth in the full year 2007 when throughput hit 23.9 million TEU.

Judge delays declaratory judgment on legality of clean trucks scheme

A US JUDGE has declined to provide a declaratory judgment on the legality of the California ports' clean truck programme until hearing more arguments, thus leaving its provisions in place, reports Newark-based Traffic World.
"It's not an easy issue," said US District Judge Richard Leon. "There is a lot of complexity to it."
Judge Leon dashed hopes of the Federal Maritime Commission (FMC) that believes that the demands of the clean truck programme through Los Angeles and Long Beach unlawfully interfere with legal trade and, therefore are ultra vires.
The two ports affected have delayed collection of a US$35 per TEU tax from trucks built before 2007, but FMC attorney Benjamin Trogdon said truckers already are seeing the impact on competition and costs to shippers will rise.
"The shippers have begun to shift, to look for operators that have compliant trucks," he said. "There has been evidence of irreparable harm to the country" as shippers act to avoid coming fees.
Judge Leon has set December 17 as the date for lawyers to file responses to legal arguments made by FMC, rather than issuing or denying an immediate injunction.
The programme also denies access to owner-operators of trucks to the ports in favour of employee-drivers of certified motor carriers as the Teamsters union has demanded. The FMC case wants to scrap those provisions and stop subsidies for truck purchases as well as exemptions for some truckers at the ports.
But Port and City of Los Angeles lawyer Steven Rosenthal said there was no evidence of a change in the marketplace or in competition. "It's been two months and there have been no problems, no evidence of people going out of business, no parade of horribles. Life is proceeding normally." "And the environment is getting cleaner," the judge added in the report.

300,000 TEU laid up, more to follow in the New Year

SOME 135 purpose-built containerships, totalling 300,000 TEU, are believed to be laid up, according to the latest Alphaliner count on December 8, up from around 270,000 TEU two weeks ago and 150,000 TEU six weeks ago.
This is 2.5 per cent of the world cellular fleet. Ninety of them are charter market vessels awaiting service with 16 in the 5,000-7,500 TEU class, 11 in the 3,000-4,000 TEU class, 20 in the 2,000-3,000 TEU class, 60 in the 1,000-2,000 TEU class and 30 ships in the 500-1,000 TEU class.
Laid up ship numbers will increase in coming weeks, as vessels are put at anchor or in semi-lay up as they terminate rotations, said Paris-based Alphaliner News.
With the closure of further services this month and next, the latest round of lay-ups to come has become known when Maersk announced the laying up of eight ships in the 6,500 TEU class.
Alphaliner also said most of the ships had been recently removed from the Far East-Mexico-Centram AC-2 service and replaced by 8,200-9,600 TEU ships, further to the merger of this service with the AC-1. The ships involved are in the enhanced 6,500 TEU class with a nominal intake of 7,250 TEU, four of which are idle in Hong Kong and Korea while two others are ending their rotations and likely head for lay up.

Los Angeles cargo volume to drop 20-30pc in first quarter: report

THE US Port of Los Angeles cargo is expected to fall 20 to 30 per cent in the first quarter of 2009 based on feedback from customers, said the Cunningham Report which specialises in transport and maritime affairs.
It noted that business at one Los Angeles container terminal had fallen by 50 per cent compared to last year.
The bleak forecast follows recent announcements by Maersk Line, the port's greatest revenue earner, that it will scrap one of its services to Los Angeles due to a new vessel-sharing agreement with CMA-CGM that comes into effect in May. This is a blow for the port given that nearly its seven container terminals reportedly generate 80 per cent of its income.
As a result of the weak US economy, the report said the port will reduce spending in the current fiscal year by more than US$20.5 million.

Dutch boxship's speed foils rare pirate attack off Tanzania

A CONTAINERSHIP suffered a rare pirate attack off the African coast, and put out a fire on board ignited by a rocket propelled grenade, but outran the pirates, as high-speed, high-decked boxships usually do, an International Maritime Bureau official told CNN.
The attack on the Dutch-operated ship was also rare because it happened far to the south, off the Tanzanian coast, 500 miles out to sea, well beyond the range of pirates preying on slower, lower tankers and bulk carriers in the Gulf of Aden as they steam to or from the Red Sea.
American Shipper said the attack is evidence that pirates are expanding their zone of operation, first off the East Coast of Somalia, and now south off Kenya and Tanzania.
Ironically, a Danish warship rescued seven suspected pirates adrift with a broken motor on their speedboat. The Danish crew provided provisions, confiscated their RPGs and AK-47s, and sank their speedboat after picking them up 90 miles off Yemen, but did not arrest them.
The Danish Navy said it did not make arrests because the men were not caught in an act of piracy. The Somali men were instead handed over to the Yemeni coast guard.

Guangdong delays stringent labour law, lets cities make rules

FACTORIES in the Pearl Delta do not need to meet the rigorous demands of the new PRC Employment Contract Law after the Guangdong provincial government decided put off province-wide implementation, reports Hong Kong legal journal China Law & Practice.
Instead, provincial authorities will allow the cities facing the global economic downturn, Shenzhen and Dongguan among them, to issue their own labour rules in such a way as not to deter business or increase costs which have risen sharply.
After an unspecified trial period, Guangdong said it will consider issuing provincial regulations, said the legal journal. Guangdong manufacturers have welcomed the move because strict implementation risks higher costs, which if passed on, will discourage exports.
"By allowing cities to continue to apply existing rules, the Guangdong government aims to at least help enterprises to pass their critical economic difficulties," said, Fangda Partners attorney Jay Chen.
The national Implementing Regulations for the PRC Employment Contract Law were issued September 18. Thus far, only Guangdong has made an official announcement regarding implementation.

Top China researcher sees newbuilding orders fall 60pc in '09

NEWBUILDING orders in China will fall 60 per cent in 2009 as prices drop 30 per cent from their 2010 high, says Beijing's China Shipbuilding Economy Research Centre's chief analyst Bao Zhangjing.
Mr Bao told the Asia Ship Finance and Leasing Forum in Shanghai that he saw a modest recovery in 2011 when shipyards would start to reload capacity, but said that would not start before 2012 when orders returned to a 100 million deadweight ton level. "Owners will not order as long as they believe prices will fall further," he said, adding that orders have already dropped 14 million tons in August to less than 1 million in November, and will again drop 60 per cent next year from this year's 150 million tons. He expected a continued decline in 2010 to 50 million tons.

Panama Canal Authority takes bids for dry excavation project

THE Panama Canal Authority (ACP) says it has officially received a total of six bids for the third out of four dry excavation contracts to be awarded under its Canal Expansion Programme.
The next step now is to review the submissions with a view to determining a winner of the contract before the end of this month, in order to move ahead with the next phase of expansion works, which "remains on track," according to a statement issued by the ACP.
The scope of work for this latest dry excavation contract is said to encompass the excavation, removal and disposal of 8 million cubic metres of material, which will further reduce Paraiso (Paradise) Hill from 46 metres to 27.5 metres above sea level.
It also calls for the construction of approximately 2.5 kilometres of access and the clearing of 190 hectares of land bearing munitions and explosives of consideration (MEC), remnants from former US military training in Panama.
When all four of the dry excavation contracts are completed, the works would have created a "critical" access channel linking the new Pacific locks with the Canal's existing Gaillard Cut, which is the narrowest stretch of the Panama Canal.
Similar to the first and second dry excavation projects, the third contract will be awarded to the firm with the lowest-priced bid that meets all of the requirements stated in the request for proposals.
"With the prices offered today by the bidders for this contract, the Canal's expansion programme remains on-track and on-budget," said executive vice president of Engineering and Programme Management Jorge Quijano.
"The third dry excavation contract is an essential intermediate step in the creation of the Pacific access channel, and we are pleased with the interest shown by the competing companies. We look forward to reviewing the documentation of the winning bid and welcoming another partner to the Canal Expansion Programme."
Ultimately, the expansion project will build a new lane of traffic along the Panama Canal through the construction of a new set of locks to double capacity and allow access to more traffic and longer, wider ships.

MOL resumes independently-operated service to Southampton

THE arrival of the 8,100-TEU MOL Cosmos at the UK Port of Southampton has marked a return of MOL-owned vessels calling at the port after a break of several months. In the interim period, MOL had been offering services into Southampton in partnership with The New World Alliance carriers.
The MOL Cosmos is currently operating on the Japanese shipping line's South China Express Service that also makes stops at the ports of Zeebrugge, Hamburg and Rotterdam before heading back to the Far East via the Suez Canal, as the vessel is too large to transit the Panama Canal.
"We are delighted to welcome the captain and crew of the MOL Cosmos on her maiden call to DP World Southampton. As one of our oldest customers, I am especially pleased to welcome MOL back to the terminal and we look forward to servicing MOL ships in Southampton for many years to come," said Campbell Mason, managing director of DP World Southampton, in a company statement from the terminal operator.

Long Beach and LA ports give green light to projects

LA and Long Beach port officials are giving the green light to US$2 billion plus valued-projects in the belief that it will result in economic stimulus despite cargo slowdown and unemployment increases, reports Los Angeles Times.
"After years of robust growth, we have a chance to take a breath and concentrate on some infrastructure projects," said Richard Steinke, executive director of the Port of Long Beach. "We can stimulate economic growth, put people back to work and position ourselves for the turnaround."
There is high resistance to Geraldine Knatz the executive director of the Port of LA's plan for a new cruise terminal at its Outer Harbour said to create 7,300 direct jobs and 17,700 indirect construction-related ones, and 438 permanent jobs over the five to seven year building period.
With union dockworkers scrabbling about for work as many cargo ships go idle and more join the unemployment queue the timing is a point of contention. Latest figures for eleven months of 2008 show a drop of 5 per cent to 7.3 million TEU at Port of LA, and 6 million TEU at Long Beach, a 10 per cent decrease. Rate cuts to less than $600 per FEU from highs of $3,400 in 2007 shows a picture of an industry in retrenchment.
The tourist sector say that the location of the 1960s facility makes for entrance only in reverse and an unglamorous arrival with its view of an industrial port scene and its attendant grime and fumes. Latest figures from Cruise Lines International Association rank Los Angeles fourth with a meek 6 per cent in cruise embarkations share.
"People have this image of how their ship will arrive in port, the wind in your hair, streamers flying, maybe a bottle of champagne, and here in Los Angeles you arrive creeping along in reverse. It's pretty hard to put your best face forward that way," said Judy Parker, VP for Worldview Travel, a travel agency based in California, Florida and New York.
Long Beach plan to combine its two existing terminals in a 10 year, US$750-million investment plan with green initiatives to combat the pollution problems by electric grids for vessels and a switch-off rule for diesel engines.
Port officials long term vision is in light of the ports ability to be prepared for an upturn and to avoid a 2004 'boom' situation when vessels were queuing up and unable to unload cargo, added the report.

Consumers want brand clarity

By Adam Stephen

Organic consumers want a simple labelling system for produce.Currently there's no uniform label for organic produce, and consumers are confronted with different labels depending on which company certified the product.An Organic Federation of Australia commissioned Newspoll survey found over 70 per cent of regular buyers just want to see the words 'certified organic' on the produce.OFA chairman André Leu says the industry needs to take on the advice. "Everywhere where it's been put in, for instance when Germany did it, organic sales skyrocketed. In the USA they just have one logo and the same thing has happened there. What happens is, when consumers know one logo, it makes it very easy for them to have confidence in the product that this product is a genuine certified organic product."
In this report: OFA chairman André Leu

Transport industry tax to hit farmers and possibly consumers

By Mary Goode

Any extra money farmers are saving with cheaper fuel could be eroded by a new trucking tax.It's called the Interstate Road Transport Charge Amendment Bill .It's passed through Parliament, and will mean truck owners will pay an extra one-point-three cents a litre, or around 15-thousand dollars a year. It's effectively a tax increase from 19 cents to 21 cents a litre.And while it doesn't sound much, with the large amount of kilometres truckies do, those extra cents soon add up.Luke Fraser from the Australian Livestock Transporters Association says it's a good tax - because it'll mean better roads and more efficient travel.He says the pay day has come for our regional and rural roads.Mr Fraser says while this will mean more money for roads - the costs will be passed on to the customers - which in rural areas will mostly be farmers.But the question is - will producers be stuck with those costs or can they pass them on to the consumer?Greg Brown from the Cattle Council of Australia says farmers won't be able to pass on the costs, because farmers are price takers and not price setters.He says it's not in farmers' power to change that.John Cummings is chairman of the National Association of Retail Grocers of Australia .He says the tax must be passed on, because farmers can't be expected to foot another bill. Mr Cummings believes it could help push meat prices up 10 to 15 per cent, that's including the price hikes that farmers are already experiencing."No doubt, there is no doubt that in Australia, the producer is the least who can afford any increase in costs," he says."So we would assume that these must in the end be passed on to consumers."
In this report: Luke Fraser, Australian Livestock Transporters Association; Greg Brown, Cattle Council of Australia; John Cummings, National Association of Retail Grocers of Australia

Extended research effort for Tasmania's wine

By Cameron Wilson

Making Tasmania's sparkling wine and Pinot Noir even better will be the aim of the newly established Tasmanian base for the Australian Wine Research Institute (AWRI).It's an exciting time for the local industry, with Tasmania chosen above other Australian regions for the first expansion of the South Australian based AWRI.Dr Bob Dambergs has relocated to oversee the new research projects including dry red table wines, the viticulture and wine making of sparkling wines, engineering design for new spray technology and cheaper alternatives to oak maturation.Tasmania is already renowned as a premium producer of sparkling and Pinot Noir, but Bob Dambergs says the research will build on those strengths."There is a bit of a grape glut on the mainland at the moment but the sort of wines that are produced in Tasmania are still in demand, and Tasmania really specialises in Pinot Noir and sparkling wines, and that's really the focus of the research projects we'll be undertaking here.""My vision would be to see Tasmania as the Australian equivalent of Champagne in France for sparkling wines, and the equivalent of Burgundy for dry red Pinot Noir."
In this report: Dr Bob Dambergs, Australian Wine Research Institute.

ABARE downgrades export earning forecasts

Monday, 15/12/2008
Australia's earnings from commodity exports will take a hit in 2009, thanks to the global financial crisis.In its latest estimate, the Australian Bureau of Agricultural and Resource Economics says earnings will be around $192 billion.That's $22 billion less than in September.ABARE chief commodity analyst Jammie Penm said export earnings are now forecast to be $192 billion for the next financial year."This is a downward revision from what we forecast in September this year. The forecast then was $214 billion, but naturally due to the global financial crisis it's been revised down," he said.Crop earnings are forecast to increase by 18 per cent to $15 billion. However, export earnings from livestock and livestock products will decline by 3 per cent to $14 billion.Minerals and energy exports have also been revised downwards. From the $180 billion figure in September, ABARE now estimates earnings will be $159 billion.
In this report: ABARE chief commodity analyst Jammie Penm

AQIS and Biosecurity to merge

By Mary Goode
Thursday, 18/12/2008
AQIS and Biosecurity Australia will merge as part of a major overhaul to Australia's biosecurity system.It's one of 84 recommendations from the Beale review of Australia's quarantine system, released by the Federal Government.As well, a council of experts will be set up and a new position will be created with the power to investigate whether the department is working well enough.It also recommends replacing the Quarantine Act of 1908 with a new Biosecurity Act.Federal agriculture minister Tony Burke says despite concern from the apple and pear industry a national authority will work well. "Ah what there would be though, and this what the apple and pear industry would want to bear in mind, import risk assessments will be dealt with by a seperate organisation that will be the Biosecurity Standards Commission," he says.The report says Australia's biosecurity agencies are under-funded and suggests the government spend $260m per year, funded by tax payers and business. As well as $225m to upgrade information technology and business systems.Mr Burke says an increase in biosecurity measures will see farmers contribute a bit to that."The cost recovery guidelines would result in that, that's true," he says."It will also result in a bigger contribution from the Commonwealth as well."The NFF says it supports most of the recommendations, but further consultation with industry is vital.The opposition says the overhaul will see exporters stung by an extra $144million over four years.
In this report: Tony Burke, federal agriculture minister.

Nickel slump causes mine closure

Nickel slump causes mine closure
By Sarah Bester

The Avebury Nickel Mine on Tasmania's West Coast is to be closed indefinitely, resulting in the loss of 189 jobs.Oz Minerals has decided to place the mine near Zeehan on "care and maintenance".The closure is due to a drastic drop in the price of nickel of 68 per cent over the past nine months.Terry Long from the Tasmanian Minerals Council says it is a serious blow to the state's industry."It's very significant, it's a new nickel mine with a couple of hundred employees, if anything it was regarded as being the jewel in the crown of the Tasmanian mining industry."So to see it go on to care and maintenance in a disastrous metals climate is quite sobering."
In this report: Terry Long, Tasmanian Minerals Council

Large but late grain harvest

Report: Sally Dakis
The cooler than usual summer has pushed back the start of Tasmania's grain harvest, which despite the devastating October frost, looks like being one of the states bigger harvests.Headers usually start to harvest in the Christmas week, but it's now not due to start for another fortnight.Manager of Ruralco's stock feed, seed and grain division Frank de Bruyn says they are making some contingency plans for additional grain storage in the eventuality of a large crop."There are silo bags used across the country and what we have done is secure access to the silo bag equipment at fairly short notice if we have to, and we could probably utilise the bunker site at Powranna if we have to."A drop in global demand, combined with larger supplies of grain downgraded to feed quality after rain on mainland Australia has depressed prices."Looking at the current pricing on the mainland, we are seeing real reluctance from growers to actually sell their grain, and a lot of grain across the mainland has been warehoused, so they retain ownership of that.That's a fairly uncommon thing in Tasmania, but we are looking at options for that as well for growers."