Operations have resumed at strike-hit ports across Canada, but the work stoppage has resulted in a huge backlog of containers and shippers likely to face a new wave of detention and demurrage (D&D) charges.
Work resumed at Montreal on Saturday at 7am, ordered by the Canada Industrial Relations Board (CIRB), after the strike began at the port’s Termont terminals on 31 October.
The Montreal Authority (MPA) revealed yesterday there more than 5,000 teu on the ground, 22 vessels on their way or waiting at anchor and some 2,750 teu of rail cargo to handle.
“It may take a few weeks to re-establish the fluidity of the supply chain and process all goods currently at the port of Montreal or in transit and due to arrive in the next few days,” it said.
Maersk noted “challenges the backlog and congestion may bring in the coming days”, and warned of possible delays to the North Europe Canada CAE service it operates with CMA CGM and the Mediterranean-Canada MMX service operated with CMA CGM and Hapag-Lloyd.
And Hapag Lloyd said THE Alliance’s AT1 service would slide by one week, and the AT2 service could also see sliding with its vessels, including the Toronto Express and Quebec Express.
Meanwhile, on Canada’s west coast, Vancouver Fraser Port Authority (VFPA) said the 10-day strike had also “significantly disrupted port operations”, adding: “As a result, several commercial vessels are currently waiting offshore to enter the port of Vancouver and proceed to berth.”
VFPA said it was implementing “a priority-based anchorage allocation system to balance the needs of all business sectors and commodities”.
Vessels currently at berth include CMA CGM Orfeo, CMA CGM Endurance, MSC Palak Chin and ESL Nhava Sheva, which had been waiting for berths for more than 13 days, affecting services including the Ocean Alliance’s PN4, PN1, PNW1, PN3 and CPNW.
Vessels still waiting at anchor include YM Plum – which spent eight days offshore and nine at anchor – and OOCL Veracruz, HMM Peridot, Cosco Venice and Argus, as well as six more at anchor outside VFPA jurisdiction, including Conti Contessa, which has spent six days idling and is estimated to berth on Thursday.
The VFPA encouraged its supply chain partners to “consider offshore areas… as an ‘arrived’ location for the purpose of the issuance of the notice of readiness.
The port authority is also asking ship operators to take “necessary action” – such as slow steaming – for “near-time arrival whenever possible”.
For Canadian ports affected by strikes, the D&D clock will be resumed by most carriers on the day gate operations restart at affected ocean terminals, Maersk confirmed.
However, with the huge backlog of containers and high demand, shippers and forwarders could find it challenging to make an appointment to collect or drop off containers, which could result in D&D fees.
Maersk advised: “In the event you are unable to obtain a terminal or rail appointment during the re-start period, please be reminded to document this through a time-stamped screenshot of your attempt to secure an appointment. This will be considered in the event of any additional fees for those days.”