One year after the start-up of operations of the maritime terminal in Costa Rica, businessmen recognize that efficiency has improved, but insist that there should be a reduction in tariffs.
Starting August 17, APM Terminals' new rates for the Moin Container Terminal will come into effect in Costa Rica, rising from $257 to $262 for the loading and unloading service.
The increase from $257.43 to $261.60 represents an adjustment of $4.17 per container, which applies whether the container is full or empty, as stipulated in clause 11.8.5.1 of the concession contract signed between the company and the government of Costa Rica.
The Costa Rican Chamber of Bulk Importers is protesting against the charging of tariffs which are higher than those agreed and lack of port services.
Lack of machinery, hoppers and other equipment needed to carry out the unloading process is what is being denounced by the Costa Rican Chamber of Bulk Importers (Cacigra).The union claims that Sociedad Portuaria de Caldera is providing a poor service, but this entity argues that"... The discussion is between Incop and importers of grains."
Shipping companies accept payment for inspection of containers but are asking for the removal of the charge for the "traceability tax disc" on the part of port companies.
Industry representatives argue that charging twice for stamps used for international transit through the container ports Quetzal and Santo Tomas de Castilla, breaches the agreement reached between business and the government in October 2014, when "...Tariff schedules were agreed by Empresa Portuaria Quetzal. "
While ships wait five days to unload grains, a new dock is unable to be used because a staff member resigned and the appointment of his replacement has been delayed.
A green light is being awaited from the new authorities of the Costa Rican Pacific Ports in order to start work and approve the fee schedule so that dock can start operating. However, this delay has generated several additional costs in recent months, increasing the price of corn, soybeans and sodium carbonate, among other things.
The rise in logistics costs has a higher impact on businesses who export fresh produce.
On 1 January an increase came into effect of approximately 10% in the cost of shipping a container with cold storage leaving from Costa Rica.
According to an article in Nacion.com, companies that will be affected by the increase of approximately 10% are those who export fresh produce such as fruits and vegetables.
The Pacific port of Costa Rica is recording delays in services to carrier vessels causing losses for the companies who use their services.
Elfinancierocr.com reports that "Last year, the fertilizer company Abonos del Pacífico (Abopac) reported losses of about $2 million caused by delays in services provided by concessionaire manager of Caldera Port, Sociedad Portuaria de Caldera (SPC). "
Costa Rica is not obligated to compensate the concession holder APM Terminals if the minimum load volumes estimated in the contract are not met.
An article in Nacion.com reports that Carolina Murillo Alvarez, an economist at the Regulatory Authority for Public Services (Aresep), "said that the State is not required to indemnify APM Terminals (concessionaire of the docks), if the estimated minimum load volumes in the contract are not reached."
In Costa Rica a court ruling has denied an appeal lodged by the users of the ports of Limon, against the increase enacted last March.
In the case of the appeal lodged by the National Chamber of Steamship Owners and Agents, the National Chamber of Banana Companies, the National Chamber of Pineapple Producers and Exporters and the Exporters Chamber of Costa Rica, the Constitutional Court ruled that regarding setting the new rates.
In order to alleviate the financial plight of the ports administrator and ensure continuity of port services, the fee for unloading a container will increase to $64.
A statement from the Regulatory Authority for Public Services (Aresep) reads:
JAPDEVA to make adjustment to port rates
• ARESEP reiterates need for administrative order in JAPDEVA
• Rates adopted ensure competitiveness and operation of ports
While the Atlantic ports administration insists on a 21% increase, exporters and shippers are defending their position.
Loss of competitiveness against other nations and rising operating and logistics costs are some of the reasons that the Chamber of Exporters and Agents of Steamship Owners are giving to justify their disagreement with the proposed port tariff increase, which has been rejected by the Regulatory Authority of Public Services (Aresep).
The Regulatory Authority for Public Services has rejected the increase in port charges at the Moin and Limon ports as requested by Japdeva.
A press release by the Regulatory Authority for Public Services (ARESP) states:
The Port Authority Board of Economic Development and the Atlantic (Japdeva) which is responsible for providing port services in Limon and Moin, has asked the Regulatory Authority for an average increase of 21% in port charges.
Japdeva has requested an increase of 21% in rates at ports of Limon and Moin in the Costa Rican Caribbean.
The Board of the Port Administration and Economic Development of the Atlantic (Japdeva) submitted the application to the Regulatory Authority for Public Services (Aresep), who must decide whether it supports the increase. The process could last about 75 days.
Tariffs in force since 2003 and salaries that absorb 80% of the budget have led to losses during 2010.
As of July 2010, losses had already reached $4 million.
Allan Hidalgo, president of Costa Rica's Atlantic Port Development Management Board (JAPDEVA in Spanish), believes that the problem lies in the way prices are calculated.
"In addition, these tariffs have not changed since 2003 with JAPDEVA and successive governments awaiting the pier concessions in order to increase revenue," reports Nacion.com.