Subscribe to RSS feedCBH revises ship allocation system
After months of customer consultations, CBH Group had finalised a revised shipping allocation for the movement of grain to Western Australia's ports, Australia's biggest grain handler said yesterday.
CBH changes to shipping allocation
The revised system was devloped in response to a congestion build-up earlier this year at the state's ports brought on by deregulation of wheat exports, a rise in the number of exporters wanting to ship at the same time, rain delays and inland transport bottlenecks, CBH Group said.
The tweaks to the system had been made to "fairly" meet the needs of the industry, including those requiring direct port access, according to CBH Group logistics manager Tim Collins.
The revised system had two processes for allocation, based on two distinct shipping periods.
"It provides full operational flexibility for all exporters and creates a more efficient and co-ordinated approach to allocating shipping slots," Mr Collins said.
The "harvest shipping period" will cater for grain export between November 1 and January 15 and will operate under an expression of interest framework.
The "annual shipping period" will auction shipping slots for export from January 15 to October 31.
"This system aims to ensure allocation is driven by supply and demand without increasing the cost of the grain supply for growers or exporters," Mr Collins said.
"Proceeds generated from the auction, less the running costs, will be rebated to exporters with the aim of keeping the new system cost neutral for the trade."
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