SIMIC

Said CMA CGM: "These factors have a major impact on import cargo that suffer drastically slower pick up time and therefore excessive dwell times resulting in high stress on yard plug capacities.

"To prevent potential situations whereby at the last minute your reefer shipment is denied for discharge due to limited plug capacities, it is highly recommended that cargo owners anticipate potential issues and identify re-rerouting options," said a CMA CGM statement.

MSC said it understands that cargo may be time-sensitive and that a delay at discharge may cause damage to the cargo, reported the American Journal of Transportation.

Due to Covid in Shanghai the port is experiencing much congestion, resulting in low or, at times, no availability of plugs for reefer containers.

MSC cannot discharge reefer containers at the designated port if there is no source of power available.

"If you wish to advise Change of Destination (COD), we invite you to communicate the same as soon as possible. COD fees will apply in addition to operational costs incurred," said the MSC statement.

"Should you fail to inform us of a COD within the next seven days, MSC will have no option but to apply clause 19 of our Bill of Lading and Sea Waybill Terms and Conditions, it said.

"Under clause 19 your reefer containers may be discharged at an intermediate or alternative port and held there until it is possible to forward it/them to the designated port of discharge. Or, if the situation does not improve, it may be necessary to abandon the voyage and advise you from where your containers may be collected," MSC continued.

"Please note that in both cases MSC is entitled to charge to the merchant additional freight and costs including but not limited to additional transshipment, storage, demurrage and plugging. Once we discharge a container at an alternative port, MSC will apply a US$150/day storage cost starting from the sixth day after discharge until pick-up or on-carriage," said MSC.

But CMA CGM will waive the change of destination (COD) administration fee for those customers that decide to COD inbound reefers from Shanghai to other alternative ports.

Said CMA CGM: "As we try our best to safeguard your cargo, please note that in the event your reefer import shipment fails to discharge upon its arrival in Shanghai, we may divert the cargo to alternative transshipment ports for interim storage before shipping back to Shanghai when the situation allows.

In such case, there may be additional costs incurred on the consignee's account and payable upon delivery, CMA CGM concluded.