Local exporters forced to import empty containers<\/p>\n
JAKARTA (JP): Indonesian exporters will have to import empty
\ncontainers in order to continue their activities, currently
\nthreatened by a scarcity of containers, a business association's
\nhead has said.<\/p>\n
The chairman of the Indonesian Footwear Association
\n(Aprisindo), Anton J. Supit, said over the weekend that various
\nexport associations would negotiate with the shipowners
\nassociation and request that they bring in empty containers.<\/p>\n
\"The least we can do is import empty containers even if it
\nmeans paying a little more,\" Anton told The Jakarta Post
\nSaturday.<\/p>\n
Anton said he was afraid the shortage would soon hamper the
\ndelivery of goods, if exporters did not ensure the supply of
\ncontainers soon.<\/p>\n
The shortage could force exporters to use airfreight which
\nwould cost much more, or their buyers could impose penalties if
\ntheir deliveries were late due to the lack of containers holding
\nup shipments, he said.<\/p>\n
The exporters could also lose their buyers, he added.<\/p>\n
Many exporting companies, especially textile and shoe
\ncompanies, are currently affected by the shortage in containers.<\/p>\n
The Indonesian Textile Association (API) reported that its
\nmembers were about 150 containers short, or half of the demand to
\nexport about 300 containers worth of garments to Europe last
\nweek.<\/p>\n
The chairman of the Jakarta branch of the Indonesian Exporters
\nFederation (GPEI), Rudi Hermawan, was quoted by Kompas daily as
\nsaying Saturday that there was a demand for about 3,000 more
\ncontainers to export goods.<\/p>\n
Anton said some shoe companies had pleaded for help because of
\nthe undersupply.<\/p>\n
\"This problem must be anticipated soon, before it becomes a
\nbigger problem,\" he said.<\/p>\n
He added that shoe exports needed more containers than other
\nproducts, since shoes take up more space than products such as
\ntextiles.<\/p>\n
Normally, containers are used by shipping companies which
\ncarry imports and exports in and out of the country.<\/p>\n
Since the rupiah's value fell against the U.S. dollar and
\nlocally issued letters of credit have been rejected by foreign
\nbanks, imports have drastically declined compared to exports,
\nforcing many shipping companies to abandon their containers in
\nthe importing countries.<\/p>\n
Liner PT Djakarta Lloyd, for instance, has left about 2,000
\ncontainers at five Australian sea ports because imports from
\nAustralia had sharply fallen.<\/p>\n
Djakarta Lloyd president Muntaqa said his company was in the
\nprocess of gradually returning the empty containers.<\/p>\n
Muntaqa said the cost of carrying empty containers was not
\nmuch different for ones carrying goods: about US$200 from
\nSingapore and between $800 and $1,000 from the United States and
\nEurope.<\/p>\n
Anton said a group of export associations including Aprisindo,
\nAPI, GPEI and the Indonesian Importers Association would meet
\nwith the Indonesian National Shipowners Association next week to
\ndiscuss the matter.<\/p>\n
The export associations would ask for discounts from shipping
\ncompanies for the importation of empty containers.<\/p>\n
\"We do not mind a slight increase in shipment costs, but at
\nleast shipping companies could offer cheaper rates on empty
\ncontainers than they do on full ones,\" he said.<\/p>\n
\"Let us pay at least the overhead fee only, we would not mind
\neven if they raised the price by, say, $100,\" he said, adding
\nthat shipping companies must also be willing to share the burden.<\/p>\n
Shipping companies are likely to cooperate because they also
\nhave less activity now since imports have declined, he said.
\n(das)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/local-exporters-forced-to-import-empty-containers-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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