Double-whammy! UK Haulage Crisis Tightens Its Grip

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The shippers are facing an anxious wait as the crisis in the UK haulage sector tightened its grip.

What happened?

The CMA CGM subsidiary ANL had announced a six-day delay on export collections due to a reduction in haulage availability, and HMM revising its policy. The customers were informed that the next available collection at major ports, including Felixstowe, London Gateway and Southampton will be on 17 September.

Reduction due to issues

The haulage has been reduced due to issues faced at Felixstowe, and rail engineering. The delay also affects the UK ports of Immingham, Liverpool, Teesport and Tilbury, with one source noting that it was not only exports being affected.

A source said, “Clearly delays are being suffered on import collections, which apart from giving problems to the supply chain, will also increase costs linked to rent and demurrage. HMM has issued new rules on UK haulage, telling customers that, from 1 October, shippers must undertake all export collections and import deliveries at their own risk.”

UK blamed for policy change

The company has blamed the United Kingdom for its policy change and said, “The UK road haulage market continues to face ongoing challenges as a result of road congestion, a general shortage of vehicle, driver and rail availability, plus increased cargo volumes. This problem is exacerbated by other external factors impacting haulage productivity such as port congestion and vessel diversions. Reliability and punctuality of all export collections and import deliveries has been impacted and these issues are likely to continue as many are ongoing or long-term rather than seasonal”.

The carrier further added, “We have reserved the right to be up to 90 minutes late, while still expecting any containers arriving within that period to be loaded or unloaded. [We will give] no consideration of extended free time or additional costs,” said the carrier. “Wasted journey costs will apply for any container arriving within this 90-minute period which is rejected for loading or unloading. To facilitate improved service and free up resource availability, we welcome “any opportunities” to unload or deliver at night”.

Double disaster

One forwarder told the issues surrounding haulage were leading to shippers being dealt a double-whammy.

The forwarder said, “They are being hit twice, as not only are they not getting shipment, but they are also being charged for their goods being left quayside. And anyone who doubts there is an issue need only look at the number of new enquiries we have had, and how, predominantly, they have all been linked to haulage – this is a major issue”.

The forwarder said the problems, which started with Felixstowe’s failure to successfully migrate to its new IT system, were spreading. Many shipments destined for the UK’s largest box port have been rerouted to London Gateway and Southampton.

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Image Credit © Lee Gillion

Source: The Load Star