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Issue 4 2020 - Freight Business Journal


that the ferry operators are


facing challenges. Hopefully it shows that the government is listening to those on the front line of international supply chains.” Earlier, P&O ferries owner


Sultan Ahmed bin Sulayem said that the company had applied to the UK government for £150m of funding, adding that it needed £257m in total aid to avoid collapse. He said that passenger traffic had collapsed and that the company had furloughed 1,400 workers under the state scheme whereby the government meets 80% of their wages. It had taken


seven ships out of service. In a statement, P&O Ferries


added: “The Government has presented a scheme to support ferry operators which we welcome. It is recognition of the vital role that P&O and other operators play in keeping the country’s critical supply routes open. We are grateful for the Government’s support of the industry and continue to work with them – and with all our stakeholders – to ensure the ongoing viability of P&O and the routes we operate.” It said the crisis was one


of the toughest peacetime challenges in the 180 years of


P&O’s existence, adding: “Our principal shareholder, DP World, has been very supportive of our business and, indeed, has invested hundreds of millions of pounds in British ports and logistics


infrastructure over


the past decade, in projects such as London Gateway and Southampton. “DP World continues to invest


for the long term and has not received any money from its businesses in the UK and all proceeds have been reinvested into the business. “We continue to work


together with DP World and the Government to ensure supply


chains remain open and that P&O can thrive once again in a post-Covid environment. We want to do everything we can to protect our people and make the tough decisions not just now but for the longer term. Realistically, it’s important for people to realise that the end of this crisis will not mean the end of challenging business conditions – for us and for many other companies – and the decisions we’re taking now are required to ensure a stronger P&O.” Grant Shapps also announced


that further funding, worth “tens of


millions of pounds”, will also be made available to Access all areas on the Atlantic


ACL is open for business at all its ports and terminals, says Robert Willman, general manager ro ro/special projects for North America. The Transatlantic ro ro and


container line, acquired by the Italian-based Grimaldi group in 2001, deploys what it describes as the world’s largest, newest, most fuel-efficient and most environmentally friendly ro ro-containerships. ACL’s five combination


Generation 4 Combination CONRO (containers and roll- on/roll-off) vessels offer cell- guides for all containers, both above and below deck and 100% underdeck ro ro stowage – which virtually eliminates cargo being washed overboard in heavy weather. The


vessels can carry


34,000sq m of high and heavy cargo and


3,800teu of containers on five weekly sailings covering 16 ports in Northern Europe – including Liverpool in the UK - the US and Canada. It also offers container and ro ro


services between North America and West Africa, the 1,300 cars and


Mediterranean and South America through connections with the parent group’s services and has further extended its ro ro scope to include the Middle East, Far East and Australia. Meanwhile, says Willman: “Our customer


service and


sales staff are working from home and continuing the same level of quality service that we have been providing to our customers for over 50 years. We have projects moving but we are experiencing some delays at the originating and receiving facilities due to the coronavirus.”


Ferry firms using pandemic as smokescreen, says union


Some ferry companies are using the Covid-19 pandemic to undermine national standards in the industry, including replacing existing crews with seafarers on inferior international conditions compared with national conditions, warns the


International Workers Federation. Transport In the UK, it singles out


Condor Ferries, Stena Line and P&O Ferries as having laid off seafarers or forced them to choose between taking unpaid leave or being furloughed. Companies are using the pandemic to undermine long existing collective bargaining agreements, adds ITF. It


said: “National


Governments must play a necessary role in ensuring market downturns due to Covid-19 do not turn into unfair redundancies for seafarers or undercut current wages. Now more than ever, critical trade routes that deliver essential supplies should be crewed with national seafarers. To use this pandemic as an opportunity


to further erode conditions on ferry routes is opportunism at its worst.” Companies who receive government funds


have an


obligation to ensure jobs for national seafarers since those funds are taxpayers’ money, it argues. Governments must place conditions on employers who receive public funds that they must protect the wages of furloughed seafarers, including the preservation of existing and pre-existing terms and conditions of employment.


any


ACL has not had to make vessel


reductions to


its service as a result of the corona crisis. The line said that it was operating its normal


weekly service between all ports in Europe and North America. Empty equipment is available at all terminals and inland depots and there were no port shutdowns at the time of writing. Willman says: “While we are


unsure of what business will be like after this is all over, we are certain that this sector will be back to the regular flow of cargo at, we hope, the same levels that we were at in 2019.” However, ACL has, as might


be expected, not seen any growth in its trade lanes during the pandemic. But Willman adds: “Our only plans are to get back to business as usual.”


support more routes across the UK, subject to discussions with operators. He said: “Essential supplies are continuing to flow well, but operators are facing challenges as fewer people travelling means less capacity to move goods.” He said the funding would


help ensure that freight capacity was available to protect the UK supply chain and maintain the flow of critical goods. Secretary of State for Northern


Ireland, Brandon Lewis, said that although the coronavirus outbreak had reduced travel demand, the support package would ensure that essential


///RO-RO


ferry routes are kept open and vital transport links across the entire UK are safeguarded. Secretary of State for


Scotland Alister Jack, added: “We have been clear that the UK government will do what is necessary


to protect our


economy during the current Coronavirus pandemic. That includes safeguarding the essential ferry routes between Scotland and Northern Ireland. I know just how vital the busy services in and out of Cairnryan are. It is essential we keep them going for the economies of both Northern Ireland and the south- west of Scotland.”


Ferrymasters makes the grade again


P&O Ferrymasters has once again gained an AA grade safety and quality in food and packaging from the British Retail Consortium, following an audit of its contract logistics operations in Amsterdam and Dover in January. P&O


Ferrymasters also achieved the highest possible grade in 2018 and 2019. Its foodstuffs business moves large volumes of cocoa, starch and ingredients for infant products to the UK and other European countries.


Business as usual for DFDS At the time of writing, ferry


operator DFDS was operating most of its routes to and from the UK for freight apart from Amsterdam-Newcastle which was suspended up to 3 June. Dover-Calais and Dover-


Dunkirk were sailing to normal schedules


for freight and


those undertaking essential travel although on-board bars, restaurants, shops and lounges were closed until further notice, but with a complimentary meal for those travelling. Newhaven-Dieppe is also sailing to normal schedules


for freight and essential travel, although passenger capacity is now reduced and only available to those travelling in a vehicle. On board facilities are also


closed but a complimentary meal is available. Due


to French medical


association requirements, facemasks are compulsory for all passengers travelling between the UK and France. The Copenhagen-Oslo


service is suspended up to 3 June but most other Scandinavian services were operating.


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