Maersk tells shippers in Lisbon to accept more flexibility

THE success of the liner industry will depend more and more on shifting cargo to and from hinterlands and will require more discipline and help from shippers, Maersk Line CEO Eivind Kolding told the European Shippers Council in Lisbon recently.

"Congestion is going to get worse. That's for certain," he said, adding that volumes will double in the next eight years creating tighter berthing windows and restricted terminal space."

To work with the available capacity, Mr Kolding told shippers to be more flexible in their pick ups and deliveries and move them to off-peak and night-time slots, reported the American Shipper.

Mr Kolding also wanted improved information exchange with shippers giving longer term volume forecasts that would enable carriers to plan, Mr Kolding said.

Mr Kolding said carriers now must use 90 per cent their ships to sustain low rate levels. He also said lines are forced to pass on some of increasing fuel costs, pointing out that charges have increased US$180 per FEU through 2007.

"We are fooling ourselves if we think a low-margin business like container shipping can sustain these extreme rises," he said.