Port of Felixstowe described as 'shambles' and a complete 's**t show' after failure to deal with imports

By Derek Davis

20th Sep 2020 | Local News

A leading UK haulier has described the Port of Felixstowe's handling of a spike in imports as a 'complete s**t show'.

Felixstowe, which is recognised as the UK's biggest container port is accused of buckling under the strain of the sharp spike in import volumes, which has led to hauliers and forwarders to criticise the management's 'contemptuous attitude' towards them.

Hauliers like Thurrock-based D Perfect & Sons have reported increasing difficulty in securing bookings on the ports vehicle booking system (VBS) over the past month, with one forwarder sending industry magazine The Loadstar a screenshot of the sparse availability at Trinity terminal yesterday.

Owner David Perfect said: "It is a complete s**t show and, if we as hauliers treated our customers with the same distain as the POF treats hauliers, we would be out of business by the end of the month"

Another angry haulier said: "The 'UK's premier port' is a sign that should be taken down immediately.

"The shambles that is Felixstowe port is costing everyone time and money. Forwarders, warehouse operators, hauliers and, ultimately, the importers and exporters – but probably not themselves."

It is not the first time that hauliers and other logistics companies have criticised the Port of Felixstowe's decision in June 2018 to bring in a new in-house terminal operating system, which appears to be at the root of the current VBS problems, as the system is not functioning to full strength, according to an insider.

Mr Perfect added: "The VBS help desk does the opposite job to what it should do. We're turning away at least 10 jobs a day at Felixstowe. A few years back, 90% of our business was at Felixstowe, nowadays it is just 10%.

"The Felixstowe Port Users Association has absolutely no leverage with the port, it is just paying lip service, and the lines themselves don't want to know, they just want their boats emptied.

"Everywhere is busy at the moment, due to peak season, but at least at Gateway and Southampton they will talk to you."

Import and experts believe the situation is likely to get much worse in the coming weeks as congestion on the Felixstowe quay forces carriers to "cut and run", leaving some imports to be discharged at Rotterdam for eventual relay back to the UK, and exports left stranded on the quay.

Felixstowe told forwarders that from yesterday to 7pm on Tuesday, it will not accept export empty containers at the port via rail. Rail providers can only take full containers on the train services from the port; empties must be left inland or diverted to other ports.

Rail is said to account for 35% of the port's throughput, 30% are empties.

One forwarder, who blamed the problems on high volumes and shortage of labour, noted that the plan would cause major disruption and additional costs.

Two Felixstowe-calling carriershave said they have already stopped receiving empties at the terminal and were diverting some exports to London Gateway and Southampton.

"We may well have to skip the Felixstowe call with one or more of our strings in the coming weeks," one warned, while the other said the situation at Felixstowe was "currently under review, while one NVOCC said he has been told by a carrier that, after devanning in Essex, he must return his empty containers to Liverpool instead of Felixstowe.

Some vessels scheduled to call at the port have begun to make diversions to other UK gateways. The Loadstar confirmed today via AIS data that the 18,000 teu Eleonora Maersk, deployed on the 2M's Asia-North Europe AE7/Condor service and due to arrive at Felixstowe on Sunday, will call at London Gateway instead.

The Port of Felixstowe has been asked to comment but has to yet responded.

Meanwhile, UK forwarders and shippers who route cargo through the port of Felixstowe will be unable to return empty containers to the port until at least 23 September.

Maersk has told customers it would "temporarily cease acceptance of empty container restitution at the port of Felixstowe".

But it added: "We will allow inland restitution of empty containers without penalty."

Although neither carrier has put a date on when they would begin to accept empties again at Felixstowe, the British International Freight Association (BIFA) said it would not be before next Wednesday.

Director general Robert Keen said: "The operational performance at Felixstowe has been very challenging for some time, but over the last 24 hours the issues have escalated to a level that could be disastrous for our members' businesses, which have already been hard hit by Covid-19.

"The latest port 'initiative' would appear to be an attempt to overcome the huge congestion that has developed, which has led to significant haulage problems for our members, as many containers can neither be collected nor returned.

"Empty containers will have to be restituted to inland container parks, which will lead to an escalation in haulage costs for members using merchant haulage; as well as quay rent and demurrage issues and expenses, which are difficult to pass on to our members' customers," he added.

Carriers and forwarders alike have attributed the problems at Felixstowe to a range of causes, including port staff shortages, haulage driver shortages, a pre-Golden Week holiday import surge and delayed vessels from Asia not meeting their berthing slots due to weather and typhoons in Asia. All this, in combination with other factors, has led to the port's vehicle booking system (VBS) becoming unworkable.

Colin Haines, business development manager at Cargo Overseas, told The Loadstar: "The VBS situation is unsustainable and is having a major impact on our industry and, more importantly, on the service we can provide to our clients.

"We understand port of Felixstowe is still using the government's furlough scheme, but there is clearly work which requires the [staff's] return. Now, more than ever, we need the infrastructure of the UK to be fully functional to alleviate the challenges we face rather than to exacerbate them."

Mr Keen called for the port's management to respond to forwarders' concerns: "Our members say that the port authority is merely paying lip service to any enquiries they make, which is unacceptable for a port authority which owns the UK's busiest container port.

"The debacle in 2018, when the port undertook a disastrous migration to a new in-house terminal operating system, appears to be at the root of the current VBS problems, exacerbating the congestion problems.

"BIFA members have suffered two years of poor service from the port, and it is high time it considered BIFA members as direct customers and show some willingness to discuss compensation for the damage caused to, and increased costs incurred by, those members.

"At the very least, the port authority should extend free-time for quay rent and demurrage," he said.

The Port of Felixstowe have been invited to respond to Nub News.

     

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