This article shows the extreme confusion generated by the extra charges and rapidly fluctuating shipping rates with ocean carriers. Everyone is annoyed to say the least. The essence of contracting is being disrupted by these surcharges. Brokers are caught in the middle.
As many ofthecharges are not realized till after the shipment, it is hard to know how they could possibly bill for them in advance or even give notice to shippers. The result is they always look bad to their customers, even if they have given a good effort to get a successful shipment for the cargo owner.
The FMC should not create more confusion and unintended consequences. I’m not a fan of brokers particularly– they are just one player in supply chains– but they have a useful role by securing capacity in advance and making it available to shippers. In fact, they secure a large portion of ocean carrier capacity themselves and resell it., they also play a role by making sure extra services, such as end point delivery, are also made available, when shippers would have more trouble handling the details working directly with carriers. We should not write rules that make it hard to keep the market functioning.
John Gallagher, Washington Correspondent Follow on TwitterThursday, June 17, 2021Shippers, brokers square off over ocean carrier tariff prices – FreightWaves
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By Mike Wackett 16/06/2021
Carriers ‘feasting’ on rates boom, oblivious to supply chain chaos around them
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