There is less congestion and a decline in the Christmas traffic at the Port of Port-of Spain, says operations manager Ricardo Gonzales. Gonzales said, "The Christmas activities this year are historically not the same compared to last year. We find that the activities are less active around this time, which began from the peak season: October 1 and ends January 31." Gonzales attributed the slow down of traffic and reduced congestion to the possibility that the business community moved their cargo earlier to avoid delays in the peak season.
Another reason, he said, was the partial implementation of the Automated Systems for Customs Data (Asycuda) system, which may have helped in terms of turnaround time for cargo. Gonzales said the port received a 36 per cent increase in space in the area of Shed Nine, which allowed them to be more efficient and increased their capacity to function faster. "So, the traffic was distributed throughout the year." He said the overall volumes of cargo for 2012 was lower by 15,000 20-foot equivalent units (TEUs) compared to 2011 as well. In 2011, between January-October, the port moved a volume of approximately 317,401 TEUs compared to 302,906 TEUs for the same period for 2012.
This decline, Gonzales said, was translated into a four per cent drop in exports for 2012 compared to 2011 and a six per cent decline in transshipment for the same period. He said in the area of transshipment, there were some challenges in four regional ports, namely Manzanillo in Panama, the Dominican Republic, Cartagena in Columbia and Puerto Cabello in Venezuela. "The operation challenges that created congestion at those ports would have contributed to the slight decline in our throughput for transshipment." In contrast, the volume for import cargo increased. "There was a 10,000 TEU increase in imports.
More imports were coming on a monthly basis, so the need for the last minute rush seems to have been eliminated." However, "superstorm" Sandy is now going to create a last minute rush in December, Gonzales said. Sandy hit the United States on October 29 and left parts of the US east coast in shambles. "We anticipate during the first two weeks of December that the backlog of cargo due to Sandy is now going place greater demand on us to deliver for the Christmas season, but we are prepared for that." "We have been monitoring the flow of cargo from mid-July in anticipation of the peak season to have a proper plan in place for the season's activities." Gonzales said the port would be providing additional hours of work, which would be officially implemented from December 1. There was no need to do so earlier as the traffic is down. Additional hours: Monday, Wednesday and Friday: 7am-7pm, Saturdays, once necessary: barrel shop Gonzales said there is an agreement with Customs and Excise to extend these hours to 11 pm to ensure all customers making requests on that day would be facilitated. The same would apply for full container delivery if necessary. An official release of the extended hours of work for the peak season would soon be published in the daily newspapers, Gonzales said.
Giving customers flexibility
Describing the overall outlook for the shipping industry for 2012, James Devers, senior vice president regional operations at Laparkan Shipping Trinidad Ltd, said it was very challenging. Despite the ability to survive and an increase in the cargo shipments compared to 2011, he said, it was still challenging. "This has been a good year for Laparkan. It started out a bit slow, but has picked up both in ocean and air freight." Devers attributed his growth to the various offerings they provide and better management of their cost. "We provide global shipping services from Asia and South America and that is how we have been able to do well.
We have expanded our offerings to give customers that flexibility.". Generally, though, when the economy is not growing and construction projects have slowed, they impact on citizens' disposable income." He said it is no different for the economies of China and Europe which are growing at a slow pace. Devers said in order for the industry to survive, companies have to get creative to meet customers' demands. Regarding the slow down in the Christmas traffic at the port, he said commercial customers shipped their cargo earlier. "The business community is also trying to avoid overstocking, so there would be no excess inventory in January. They are catering for the exact demands of their customers." However, Devers said Americans would have been more cautious before and during the presidential election, but now that it's over, we expect a late peak season, where online shopping is expected to pick up.
Online shopping industry growing
For TrinCargo International, Chioke AJ Pierre, general manager, said he believed one of the reasons for the slow down in Christmas traffic at the port is due to a high demand for online shopping. Pierre said people are no longer waiting for the actual popular Thanksgiving and Black Friday sales and are shopping in advance. "Companies have put out early specials and people have already began their online shopping. He said while online shopping has been utilised by individuals to buy more personal effects, many companies are using the facility to have their suppliers ship items to them because of speed and convenience. "It takes no more than a week or faster for items to reach T&T.
Goods in the United States can be shipped overnight and arrive in about two days," he said. Pierre said in the last in the last threee to four years, there has been significant growth in online shopping. For the Christmas season, we experience 100 per cent increase in online shopping. Online shopping is taking off in T&T and Latin America. He said there are several new companies within the last couple years offering online shopping, including Irie, Get Mail and Web Source Ltd. This is a steadily growing market. Pierre citizens get better value for money through online shopping because "they experience very high marks-ups locally, they experience issues regarding originality and availability of goods."
He said banks have also improved their online security by providing a better and more secure environment for electronic transactions. Pierre said international companies are also opening up and accepting international credit cards. The Asycuda system, he said, it may have assisted with the decrease in traffic, but said there could be a bottleneck at the verification stage. He said the documentation stage may have been handled so quickly that Customs may experience a build up at the next level if they do not have sufficient human resources to efficiently follow through. Like Laparkan, he said, TrinCargo experienced a 30-50 per cent increase in its cargo movement.
