Auckland floods: Some good news at last for businesses which use shipping containers

Auckland empty container return depots are jam packed, pushing up shipping costs even further. Photo / Alex Burton

Freight handlers trying to keep the supply chain moving during Auckland’s floods are breathing a sigh of relief that shipping line Maersk is offering a penalty-fee “holiday” on empty container returns at the city’s jammed freight box sites.

Customs Brokers and Freight Forwarders president Rachel Madden said while the “detention” holiday is only from January 27 to February 1 inclusive, “it’s a step in the right direction” and she hopes other shipping lines will also realise the extra strain and costs that full empty container depots are putting on businesses in an already severe situation.

Shipping lines charge importers and exporters detention fees for every day a container is not returned or “dehired” after a given date. The problem for North Island shipping customers is they haven’t been able to return empty containers because return depots are full.

Maersk in a notice to freight forwarders, the sector which handles shipping arrangements for importers and exporters, said: “We are extremely conscious of the severe situation in Auckland, with the state of emergency declared on 27th January. In light of this and the ongoing weather predicted today and tomorrow, we will be providing a detention holiday for both imports and exports effective 27th January, until 1 February – both days inclusive.

“We hope that this will provide you with a bit of respite from the situation and enable you to take stock, without having to be overly concerned with detention penalties over these six days.”

Meanwhile Madden said for most freight forwarders in Auckland it seemed to be business as usual, although there would be a delay in air freight exporting from Auckland Airport due to a backlog from the airport’s closure during severe flooding.

She understood the delays affected “airline units” cargo, that is, freight in airline containers as opposed to loose cargo.

The backlog would mean some delays for any new air cargo departing Auckland as the build-up was cleared.

Madden said there appeared to be a petrol shortage at facilities around the airport. One of her staff had failed to get petrol at any of three stations today.

She said Freightways had advised of a “small delay” in deliveries due to the flooding.

The fact that people were working from home and schools and daycare centres were closed would be helpful in getting freight moving again as there was less traffic on the roads.