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Wednesday 12 November 2008

ACCC concerned about future of stevedoring

The nation's competition watchdog has raised concerns about the stevedoring industry, saying unnecessary delays in establishing additional container terminal facilities could result in lost opportunities for greater competition.

The Australian Competition and Consumer Commission, in an annual monitoring report, says reforms started a decade ago had benefitted the nation.

"During this time, demand for stevedoring services has doubled," commission chairman Graeme Samuel said in a statement.

"The cost of using stevedoring services has fallen in real terms. In turn, the stevedoring businesses has become more productive and profitable, even during a period when significant expenditure on assets was made."

Questions remained about the extent to which stevedores competed to win each other's business, Samuel says.

Melbourne is lagging behind Sydney and Brisbane because a third container terminal is not due to start operation until 2017.

"Any unnecessary delays in establishing additional container terminal facilities could result in lost opportunities for greater competition," Samuel says.

Source: IndustrySearch

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