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Maersk to charge for no-show cargo, will pay for cargo not loaded

Maersk, the world's largest container shipping line, has told shippers they now face extra charges for cargo that does not show up, but at the same time, the company also said it will also compensate shippers for cargo that is not loaded, according to the Shipping Gazette.

Maersk has started applying the no-show charge in Sweden and in some South American and German ports.

Maersk charge management director John Nielsen was quoted in the report saying the company has not had any adverse customer reactions. "There might have been some that I have not heard about, but none to the extent that would stop the implementation of it."

This follows Maersk CEO Eivind Kolding's urging to change customer behaviour by imposing no-show fees in his June 7 manifesto calling for changes in the container shipping industry.

Maersk will now impose a no-show charge of US$100 per dry container and $500 per reefer, the report said, citing London's International Freighting Weekly.

According to Maersk’s Nielsen, 20% of containers fail to show after booking, and on some sailings, it runs as high as 40% per cent.

Nielsen also said that Maersk would pay the same amount if the carrier failed to load because of overbooking, operational constraints or equipment shortages.

Additionally, Maersk will launch a mechanism to enable its customers to pay for cancellation or postpone bookings seven days ahead of a booked sailing.

Nielsen said the charge was designed to change customer behaviour and not as a revenue source. – Source: Shipping Gazette