By CHRIS DANIELS
Big hikes in fuel charges have been defended by one of the big shipping companies, which says the new prices are justified and will come down if world oil prices drop.
Exporters and importers were told this week of major increases in the fuel levy shipping companies charge to take containers across the Tasman.
One transtasman shipping line, Contship, announced that it was more than doubling its so-called "emergency surcharge" from $64 to $160 for each 20ft (6.1m) container.
This new charge applies to all goods being shipped from Australia to New Zealand.
The Fesco line said each container would be charged a fuel fee of $300, rather than the present $162.
P&O Nedlloyd sales and marketing general manager Gordon Paine said the price increases had been calculated "according to an established mechanism which reflects changes in international bunker prices".
Many of the ships sailing across the Tasman refuelled in Singapore or in the Northern Hemisphere.
"In the case of daily bunker prices which are monitored in international markets, there have been significant and continuing upward trends this year," Mr Paine said.
The recent hikes in bunker surcharges applied only to transtasman shipping, he said.
Other trade lanes had similar mechanisms, which reflected "different ship operations and bunker arrangements".
Tasman fee hike defended
AdvertisementAdvertise with NZME.