AN UMBRELLA organization of domestic shipping lines said it is amenable to discussing with truckers’ groups the best rates possible that would allow all stakeholders, including distribution managers, to keep their businesses afloat amid rising prices.

An official of Philippine Liner Shipping Association (PLSA) said Tuesday shipping lines can negotiate with the truckers the 10-percent retention fee that some carriers are taking from the truck operators.

The official, however, said they can only agree on a rate increase of up to P5,615 per 20-foot container since that is what their business would allow at the moment.

The current rate is P5,100 per 20-foot container.

“Not all carriers are asking for a retention fee and only a few carriers asked for it, so the truckers cannot use it as an excuse to increase their rates by some 16 percent,” the official said, referring to the rate of increase proposed by the truckers.

“It all depends on how the truckers [can] convince the shipping lines [on the rate increase needed].  Since we are leaving an open door on the increase, I think both parties could strike a beneficial agreement,” the official, who asked not to be named, said.

Truckers, who want to increase their rates to as much as P5,915 per container, earlier said the 10-percent retainer’s fee charged by shipping lines will be scrapped if the carriers continue to push for their proposal of reduced rates.

Shipping lines are charging the retainer’s fee as payment for giving truckers loads to carry. It is, however, being automatically deducted by shipping lines before full payment for the cargo is handed to truckers.

Truckers, led by Alliance of North Harbor Trucking Association, earlier said they are finalizing their letter to Supply Chain Management Association of the Philippines and PLSA to ask for the rate increase, which has remained stable since middle of last year.

The truckers hinted their members are amenable to the proposed P5,615 per container rate within Metro Manila and an additional 10 percent of the rate for containers going outside Manila, provided the carriers’ retention fee is scrapped.

Aside from the rate increase, the truckers also want an automatic rate-adjustment scheme if fuel cost increases or decreases beyond 10 percent to give truckers more flexibility. This means there will be a cut in the rates once fuel prices eased and upward adjustment when petroleum costs soared.

This is the same formula shipping lines are using to bargain with the Maritime Industry Authority for the increase in their rates.

Government extends double-hull policy

THE government has extended the implementation of the double-hull policy for vessels carrying black oil to the end of the year, but placed stiff conditions before operators can qualify for such an exemption.

AN UMBRELLA organization of domestic shipping lines said it is amenable to discussing with truckers’ groups the best rates possible that would allow all stakeholders, including distribution managers, to keep their businesses afloat amid rising prices.

SHANGHAI International Port (Groupa) Co., operator of China’s busiest container harbor, plans to invest in a $343-million project in Chongqing city, western China, to add facilities along the Yangtze River.