On the 10th October 2017, a severe storm caused significant disruption to the Durban Port, which has resulted in damaged yard equipment and cranes. Consequently, there is congestion in Durban as the terminal cannot currently handle the volume throughput. Considering the crane repairs will be gradual with some having long term damage, its expected the port will continue to face congestion.
Due to above mentioned reasons, vessels must wait longer for a berth and extra transshipments are required which disrupts the weekly services to/from Durban. In order to maintain a weekly service, we must deploy extra vessels with accompanying additional bunker cost to mitigate expected delays and evacuate empty boxes (which cannot be evacuated currently due to port capacity constraints). Therefore, the cost of operating a weekly vessel service to/from Durban has increased significantly and unexpectedly.
In order to recover a portion of these incremental costs, we will be introducing an export congestion fee (CFO) and import congestion fee (CFD) applicable to ALL Cargo moving in and out of Durban, effective 27th October for non-FMC corridors and 24th November for FMC corridors. The effective date is determined by the schedule departure date (ETD) of the first water leg at time of booking confirmation. The surcharge will only apply to containers where Durban is the first load port or last discharge port (transhipments excluded).
The surcharge amount is detailed as follows:
CFO: USD 98 / 196 per 20’/40’ (both DRY and REEF)
CFD: USD 98 / 196 per 20’/40’ (both DRY and REEF)
We are continuously reviewing the situation in the port and upon return to normal operations we will eliminate the application of this charge.