2.  HEALTH AND SAFETY

CONTAINER TRANSPORT SAFETY

ZENKOKU-KOWAN has championed for some time the issue of container transport safety and in particular, the overturning of trucks.  This issue was discussed at the Dockers’ Section Conference in Durban where the union highlighted the huge increase in numbers of containers being shifted, especially as a result of Chinese trade.  It also drew attention to the latest tragic incident which took place on 31st July in Japan when a 20-year-old woman was caught under a truck and killed.  The International Brotherhood of Teamsters pointed out that joint action between road transport and dockers’ unions on container safety and security was a potentially useful way of bringing shippers who had significant influence in the transport chain, into union campaigns.  It was agreed that there should be cooperation between the Dockers’ and Road Transport Sections on this issue.

TWISTLOCKS CLEARED OF BLAME

An investigation by Germanischer Lloyd into the loss of more than 200 40ft containers in four incidents over a short space of time in European waters this winter has cleared the manufacturers of both semi-automatic and fully-automatic twistlocks of blame, and is looking into other potential causes.  Investigators had initially focussed their inquiry on the twistlocks. 

DOCKER KILLED IN ADELAIDE ACCIDENT

A docker was killed while working on a ship in Port Adelaide in June this year when a load of steel fell on him.  The man had been directing a crane unloading a bundle of steel off a ship.  It appears that the load crushed him after it became temporarily caught and was suddenly released.  Jamie Newlyn of the Maritime Union of Australia was quoted by the press: “We do pride ourselves on safety and on this occasion obviously something went wrong.”  An investigation is taking place.

P&O PORTS FINED FOR 2003 DEATH

The judge heading an inquiry into the death of a docker at Appleton Dock in Melbourne following an accident in June 2003 has fined P&O Ports A$500,000 (US$370,000).  She is reported to have found that the dangers could easily have been avoided had the company enforced its own standards and procedures but they were routinely breached.  The man was killed when he was crushed between containers then fell 8.2m into the cargo hold of a 650 teu ship.  He was working near the open cargo hold, helping to guide a container suspended from a crane.  There were no safety rails around the hold and he was not wearing a harness.  There was limited space to work - a 30 cm to 40 cm wide ledge alongside a stack of containers.  The ship moved as the crane lowered the container, and he was struck by the suspended container and crushed.  P&O pleaded guilty to 2 counts of failing to provide and maintain a safe working environment.

BARGE CAPTAIN KILLED IN ANTWERP

The captain of a barge, The Minerva, was killed on August 17 as a heavy item of product cargo fell while being lifted onto a deep sea vessel at DP World’s P&O general cargo terminal in Antwerp.  One of the dockworkers on the barge during the accident was reported to be missing at the time of writing.  Three other dockworkers were also involved but apparently were not seriously injured.

ILA TRUCKERS TAKE PRECAUTIONS ON RADIATION

Truckers belonging to the International Longshoremen’s Association (ILA) have announced that they will no longer remain in vehicles as containers are scanned due to concerns over radiation.  As a safety measure, all the union’s members who transport containers through or to various types of VACIS Scanning equipment are to stand at least 100 feet away from the equipment.

3.  INDUSTRY TRENDS

TOP 10 CONTAINER PORTS

At the end of July, The Journal of Commerce published its list of the top 50 World Container Ports based on volume for 2005.  Singapore has overtaken Hong Kong for the top ranking, having handled 23.19 million TEUs in 2005.  Singapore is also the world’s busiest transhipment hub.  Next in the top 10:  Hong Kong (22.60m TEUs); Shanghai (18.08m TEUs); Shenzen (16.20m TEUs); Busan (11.84m TEUs); Kaohsiung (9.47m TEUs); Rotterdam (9.29m TEUs); Hamburg (8.09m TEUs); Dubai (7.62m TEUs); Los Angeles (7.48m TEUs). 

DP WORLD EXPANDING AGGRESSIVELY

DP World has announced new terminals in China and Latin America and is bidding on terminal projects in Pakistan.  It is also pursuing interests in Turkey, Eastern Europe, South East Asia, East Africa and the Middle East.  In addition, DP World appears to have adopted a strategy of promoting it’s expertise in establishing free trade zones alongside its port business.  Ports and Freezone World, its newly formed subsidiary, announced the formation of an international board of directors at the end of June.  Neil Davidson, research director at Drewry Ports, a London-based consultancy, told the Journal of Commerce, “DP World is pushing ahead very aggressively, chasing acquisitions and concessions and privatizations.”  He added, “They are moving ahead on all fronts, not just through DP World, but through P&O Ports as well.”  DPW is reported to have hired consultants to help launch an initial public offering (IPO), possibly next year.  The exact timing for the floatation, where the shares would be listed or how much of the company would be sold are unclear. 

APMT ACQUIRES STAKE IN COSCO PORTS

Cosco Pacific has confirmed that it would sell a 34% stake in Cosco Ports (Nansha) in southern China to APM Terminals.  The company is joining Cosco Pacific in a joint venture to develop, own and operate the Guangzhou Nansha Phase-2 Container Terminal with the Guangzhou Port Group.  The acquisition would give APMT a 20% stake.  The Port of Guangzhou is strategically located at the mouth of the Pearl River to serve the trade of Guangzhou, an economic engine in Southern China.
 
PORTS AN ATTRACTIVE TARGET FOR INVESTMENT

Shares in Associated British Ports in the UK rose to new heights this summer following rival bidding between a consortium led by Macquarie Bank of Australia and the Goldman Sachs-led Admiral Acquisitions consortium to acquire the company.  Macquarie eventually pulled out.  Port groups appear to have become attractive targets for investment houses not only because of their solid cash-flow but also their surplus property assets.  Lloyds List reported in June that three investment houses had emerged as potential bidders in the US$2bn sale of US port company, SSA Marine.  It cited a Bloomberg report naming Australian investment banks Macquarie and Babcock & Brown, and leading US firm Carlyle Group as being on the shortlist for the sale of SSA Marine which was announced in March.

TECHNOLOGY AND JOBS

The end of April marked the 50th anniversary of containerisation.  The first containership, the Ideal X, sailed from Newark to Houston on April 26, 1956.  In recent decades, the development of containerisation has benefited business and global trade but taken jobs away from dockers as goods can be loaded and unloaded far more quickly.  Handling a container also requires far less labour than its equivalent in bulk freight.  Even now, the impact of containerisation continues to be felt as it increasingly encroaches into the general cargo and other trades.  Automation is yet another challenge facing dockers today as technology is being developed, in some circumstances, as much in the interest of efficiency as to break the strength of trade unions and to avoid industrial action.  The Section has received reports that in Nagoya, Japan, Toyota is developing an experimental automatic robotic port. It is understood that computer manning and operation would significantly reduce or remove the need for workers, other than computer operators.  The Section will be working to develop trade union responses to automation under both the ‘competition’ and ‘trade union rights’ themes of the POC Campaign.

RECORD SIZE FOR CONTAINER SHIP

Maersk has introduced its new generation ‘E’ class ships with a view to gaining unprecedented economies of scale.  The Emma Maersk can stow 22 box rows across and although its nominal capacity has been officially declared at 11,000teu, experts suggest that it can load around 13,500teu.  Giving an indication of the implications that the introduction of such ultra large container carriers can have for ports, Maersk Line has warned that the vessel would avoid the UK until it was confident ships that large could be turned around in the right time frame.  The reason given was that shipping lines cannot risk delays for vessels of this size as it would wipe out their economies of scale.  UK port operators have defended their productivity record.

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