THE Philippine International Seafreight Forwarders Association (PISFA) and the Association of International Shipping Lines (AISL) will soon sign a memorandum of agreement (MOA) on container deposit fees, according to PISFA president Dexter Yu.

“PISFA is looking to implement the agreement next month. The MOA would shield forwarders from any surcharges involving their checks issued as insurance for containers within the free-time period,” Yu said.

He told PortCalls a meeting with AISL is being set up to finalize the MOA.

When contacted, AISL declined to comment on details of the proposal.

Based on the proposed MOA, AISL will accept checks issued by PISFA members as a guarantee for the use of carriers’ containers. The checks would only be deposited to banks when the free-time period — usually five to seven days – lapses.

PISFA members seeking to be part of the program will have to pay a bond under the proposal.

“There will be safety nets in place to protect the interests not only of PISFA but also the carriers,” Yu said. “These safety nets should be followed for the provisions of the MOA to take effect,” he added.

“I think this is a win-win solution for both forwarders and carriers as it will somehow reduce logistics cost and will be a good start for a better long-term partnership,” Yu said.

You May Also Like

Evergreen signs order for ten 2,800-TEU intra-Asia newbuilds

The Evergreen group is positioning itself for an anticipated regional cargo boom as trade barriers in Asia continue to fall, ordering ten B-type newbuildings…

ICTSI enters Papua New Guinea

International Container Terminal Services, Inc. (ICTSI) has signed two 25-year concession agreements to operate, manage, and develop the international ports of Motukea and Lae…

Lorenzo Shipping adding 600 containers in move to modernize

LISTED Philippine cargo carrier Lorenzo Shipping Corp. (LSC) said it is adding 600 boxes to “continually upgrade containers to cargo-worthy standards” while gradually modernizing…