Straightforward: Umno: Doomsday in sight?
YB, why no more comment at this blog?
Monday, November 17, 2008
Monday, June 2, 2008
Press Release By SFFLA
Further to members' request, SFFLA have issued press release to the major newspaper in Malaysia pertaining to several issue, the main one highlighting the effect of shortening of storage period and highhandedness of some carriers pertaining to their business.
For the publication in The Star, go here and here.
Just in case the link is deleted, we reproduce herewith the same articles for the benefits of members who are not sure how to visit those links.
Monday June 2, 2008 (The Star)
Association tells members not to pay deposits for DO
SELANGOR Freight Forwarders and Logistics Association (SFFLA) will take legal action against shipping lines and container operators that were recently found demanding deposits from freight forwarders to release the delivery order (DO) document.
According to the association, this violated the guidelines set by the Port Klang Authority (PKA) in 2001.
The guidelines only require a forwarder to issue a letter of undertaking which guarantees that the forwarder or its consignee will pay for any detention charges or damages to the container when returned.
A detention charge is a penalty for late return of the empty container to its owner, the shipping lines or agents. It will take effect after five days. Freight forwarders collect DOs from shipping agents in order to release laden containers from the port.
Vice-president Alvin Chua said SFFLA had informed its members not to give any deposits to shipping lines and container operators.
“This is in view of the current scenario where a couple of shipping lines have been demanding deposits of about RM300 per container,” he told a press conference recently.
Chua said these shipping lines had also ignored PKA's instructions to release the DOs.
“Now they are asking for the consignees or importers to clear their goods at the port.”
The association said in a statement that forwarders refused to give any deposits to avoid any abuse by shipping lines that usually came up with reasons to retain the deposits.
“The usual excuse made by shipping lines is that it's for washing and cleaning fees that vary from RM10 to RM200.
“They also often demand compensation for damages that are obviously not made by forwarders or their consignees, including compensation for container floor boards and rusted parts,” it said.
“How can consignees and forwarders be responsible for all these damages when we only keep the container for an average of two days?,” Chua said.
Monday June 2, 2008 (The Star)
Forwarders worry over free storage period
Stories by SHARIDAN M. ALI
SELANGOR Freight Forwarders and Logistics Association (SFFLA) is concerned over the industry's readiness for the reduction in free storage period for containers at Port Klang.
The free storage period for import and export containers, currently five and seven days respectively, is scheduled to be shortened to three days by July 1.
Last year, the implementation of the Government-approved gazette was postponed from Jan 1, 2008 to July 1 by both Westports (M) Sdn Bhd and Northport (M) Bhd.
Under the new instruction, port operators will have to start imposing storage fee for the space rendered from the fourth day onwards. Shipping lines will also charge demurrage fees for the containers used by importers.
SFFLA president Tan Ah Beng said the reduction in the free storage period should be postponed further until all parties in the logistics chain changed their standard operating procedures to accommodate the new rules.
“If not, exporters, importers, forwarders and ultimately, consumers, will have to bear the brunt of absorbing the storage and demurrage fees.
“Why should they be penalised following any delays made by other parties along the supply chain due to the shorter storage time? I don't understand why the new rules have to be implemented so urgently as both ports are not congested,” he told a press conference recently.
Tan said only ports and shipping lines would benefit from this new ruling.
“Based on the average of 3.5 million import and export containers handled at Port Klang annually, and the increased storage fee that will be collected as a result of the new rules, both ports are expected to gain extra income of about RM35mil each,” he said.
As far as freight forwarders as concerned, Tan said, they were prepared for the shorter storage period but the concerns were raised because some players in the supply chain were not ready.
“This is based on the input from our members that deal with almost all players along the supply chain,” he said.
According to Tan, shipping agencies, Customs and other related Government agencies are seen as not being ready for the implementation of the three-day free storage period.
In a statement, SFFLA said shipping agents sometimes failed to submit inward manifests to the Customs or Free Zone Authority within the stipulated time due to early vessel arrival, especially those from the Asean region.
“Hauliers also require a 48-hour notice to ensure that containers will be delivered and taken within the free storage period. Dutiable goods that need Customs' release and goods that require inspections by other Government agencies also take time to complete the process,” it said.
Tan said this was due to the mainly manual processes still being practised in Port Klang.
“Different parties in the supply chain use diverse systems that do not interact online or automatically with each other.
“The new rules should be postponed until the proposed National Single Window, that will connect all players under one system, is introduced; a thorough study is done on the matter; and all related players in Port Klang improve the operating procedures,” he said.
He added that the association also regretted the fact that the Port Klang Authority had advised the Transport Ministry to approve this change without having conducted an in-depth consultation with the industry.
For the publication in The Star, go here and here.
Just in case the link is deleted, we reproduce herewith the same articles for the benefits of members who are not sure how to visit those links.
Monday June 2, 2008 (The Star)
Association tells members not to pay deposits for DO
SELANGOR Freight Forwarders and Logistics Association (SFFLA) will take legal action against shipping lines and container operators that were recently found demanding deposits from freight forwarders to release the delivery order (DO) document.
According to the association, this violated the guidelines set by the Port Klang Authority (PKA) in 2001.
The guidelines only require a forwarder to issue a letter of undertaking which guarantees that the forwarder or its consignee will pay for any detention charges or damages to the container when returned.
A detention charge is a penalty for late return of the empty container to its owner, the shipping lines or agents. It will take effect after five days. Freight forwarders collect DOs from shipping agents in order to release laden containers from the port.
Vice-president Alvin Chua said SFFLA had informed its members not to give any deposits to shipping lines and container operators.
“This is in view of the current scenario where a couple of shipping lines have been demanding deposits of about RM300 per container,” he told a press conference recently.
Chua said these shipping lines had also ignored PKA's instructions to release the DOs.
“Now they are asking for the consignees or importers to clear their goods at the port.”
The association said in a statement that forwarders refused to give any deposits to avoid any abuse by shipping lines that usually came up with reasons to retain the deposits.
“The usual excuse made by shipping lines is that it's for washing and cleaning fees that vary from RM10 to RM200.
“They also often demand compensation for damages that are obviously not made by forwarders or their consignees, including compensation for container floor boards and rusted parts,” it said.
“How can consignees and forwarders be responsible for all these damages when we only keep the container for an average of two days?,” Chua said.
Monday June 2, 2008 (The Star)
Forwarders worry over free storage period
Stories by SHARIDAN M. ALI
SELANGOR Freight Forwarders and Logistics Association (SFFLA) is concerned over the industry's readiness for the reduction in free storage period for containers at Port Klang.
The free storage period for import and export containers, currently five and seven days respectively, is scheduled to be shortened to three days by July 1.
Last year, the implementation of the Government-approved gazette was postponed from Jan 1, 2008 to July 1 by both Westports (M) Sdn Bhd and Northport (M) Bhd.
Under the new instruction, port operators will have to start imposing storage fee for the space rendered from the fourth day onwards. Shipping lines will also charge demurrage fees for the containers used by importers.
SFFLA president Tan Ah Beng said the reduction in the free storage period should be postponed further until all parties in the logistics chain changed their standard operating procedures to accommodate the new rules.
“If not, exporters, importers, forwarders and ultimately, consumers, will have to bear the brunt of absorbing the storage and demurrage fees.
“Why should they be penalised following any delays made by other parties along the supply chain due to the shorter storage time? I don't understand why the new rules have to be implemented so urgently as both ports are not congested,” he told a press conference recently.
Tan said only ports and shipping lines would benefit from this new ruling.
“Based on the average of 3.5 million import and export containers handled at Port Klang annually, and the increased storage fee that will be collected as a result of the new rules, both ports are expected to gain extra income of about RM35mil each,” he said.
As far as freight forwarders as concerned, Tan said, they were prepared for the shorter storage period but the concerns were raised because some players in the supply chain were not ready.
“This is based on the input from our members that deal with almost all players along the supply chain,” he said.
According to Tan, shipping agencies, Customs and other related Government agencies are seen as not being ready for the implementation of the three-day free storage period.
In a statement, SFFLA said shipping agents sometimes failed to submit inward manifests to the Customs or Free Zone Authority within the stipulated time due to early vessel arrival, especially those from the Asean region.
“Hauliers also require a 48-hour notice to ensure that containers will be delivered and taken within the free storage period. Dutiable goods that need Customs' release and goods that require inspections by other Government agencies also take time to complete the process,” it said.
Tan said this was due to the mainly manual processes still being practised in Port Klang.
“Different parties in the supply chain use diverse systems that do not interact online or automatically with each other.
“The new rules should be postponed until the proposed National Single Window, that will connect all players under one system, is introduced; a thorough study is done on the matter; and all related players in Port Klang improve the operating procedures,” he said.
He added that the association also regretted the fact that the Port Klang Authority had advised the Transport Ministry to approve this change without having conducted an in-depth consultation with the industry.
Wednesday, May 21, 2008
COLLECTION OF DEPOSIT BY IRISL
Its been a month that my containers are still in the port and the problem yet to be solve.We hv meeting last week with LPK and Boustead Shipping about Deposit cheque before issuing of D/O.
In fact I was very disappointed that this problem hv draged for a month and it seem that we are not strong enough.We always said that we should prctice our right and legality not to give blank cheque as well as a deposit to shipping Co.Well should we stay united to pull thru about my case?My suggestion is to go to the press cos I hv not other alternative way to solve my problem.Lets exprees our grievences in the Logistic Industries dont let the Shipping Company or the NOVCC do what they wanted to do without consenses.First it was agreed by all patry that L/I should be accepted,provided that a deposit of cheque for those who owe them monies.
I am really sorry and regreted to say that hv lost fate with the Association.
Disappointed
Tony
In fact I was very disappointed that this problem hv draged for a month and it seem that we are not strong enough.We always said that we should prctice our right and legality not to give blank cheque as well as a deposit to shipping Co.Well should we stay united to pull thru about my case?My suggestion is to go to the press cos I hv not other alternative way to solve my problem.Lets exprees our grievences in the Logistic Industries dont let the Shipping Company or the NOVCC do what they wanted to do without consenses.First it was agreed by all patry that L/I should be accepted,provided that a deposit of cheque for those who owe them monies.
I am really sorry and regreted to say that hv lost fate with the Association.
Disappointed
Tony
Tuesday, May 20, 2008
When Morons Are In Charge
In my line of works, the human factor are very much at play. Each corner, each step we do, it involves human, as in person (or not so humanlike, as the case may be) At times, you wonder at the sheer stupidity or/and inconsideration of some frontline staffs who manned the work.
Just today, I was available and there was one urgent document (Delivery Order) that I needed. I volunteered to my staff to collect this document since the customer wants it urgently and that my despatch boy is not back yet.I went over to the shipping company, waited patiently for them to give me the Delivery Order.
After waiting for more than 20 minutes, nothing happened. I am beginning to get grumpy and ask the counter girl what are taking them so long? In my company, if the client have to wait for more than 10 minutes, I would sound my girl already. Then the counter girl went to check with the person in charge. Only then they have the cheek to tell me that they need deposit cheque for the release of this said D/O.
First and foremost, the collection of deposit is not part of the deal where D/O is concerned. I was fuming because of two things :-
1) they did not inform me they needed the deposit, made me wait for like 20 minutes without knowing what is happening.
2) they wanted to collect charges for services not rendered yet and which are not allowed by our community, association and the authority.
I called our association people and asked them if it has been agreed and that we should pay? Apparently, they are doing it without the authority's sanction and trying to sneak it in to make it an industry practice. After some strings pulling, with the authority stepped in, I managed to get the said D/O without paying the deposit.
I called the person in the authority and thanked him but at the same time I told him, it will not do to settle the problem on piece meal basis. All this monkey business have to stop and someone have to have the ball to crucify the sneaky ones to teach the rest a lesson. I mean, by all means, collect deposit from bad paymaster or bad customers but don't ever impose unnecessary inconveniences on people who follow the rules and are not bad paymaster. We are in the business everyday, not fly by night kind of businesses.
After all is done, I sent the documents to our controversial PKFZ, to one of the operator there. It is very true that the place was built like at a very God forsaken place. But if handled properly, this place should be the centre of activity. I don't know why it is not moving already. I see that most of the facilities is in place already.
The fastest way to get this place to become a center of business activity is to shift a big portion of the logistics business operators, who are scattered all over Klang Town into this place. Some carrots and sticks approach are to be taken. If Sepang can make their cargo centre a place for people to work, no reason why PKFZ should not have at least the same volume. Just some minor tweaking will create the mass needed to mobilise the activity in this place. If only the power that be are not so myopic.Well, let's see how it turns out. I don't mind to get a place there if there are some incentives and activities to be had that, that can contribute to our bottom lines. Trust me, it would and it can be a bustling logistics centre, IF only our power that be are smart enough to know who are the movers of the logistics chain and to move them into this area.
Posted by Thomas Mok at 4:35 AM
Shipping Lines/Agent Demand for Deposit Cheque for Import Containers
From: Secretary General - Sffla
RE: Letter of Undertaking from SFFLA members
The impact of the past couple of years is rather obvious by now! It is sure cash whenever things are permitted to seek their levels of ' implosion'. Now the Association is being asked to guarantee payments. I thought in the real world of 'normal' business, risks have been an accepted factor in all dealings. If we are to give such undertaking , who would give our members get their undertaking?
It would appear that the concept of Malaysia Boleh has actually got into all of us!
When we talk of dispute between two parties, it is obvious that the parties could not come to term over whatever differences they have. To resolve the dispute, both parties would then present their facts or documents to substantiate their claims.
Here we are facing with a new approach to business relationship, one party on its own wants immediate payment of his claim notwithstanding if such claim has any substance! I believe we have seen too much of such claims to say the least.
In fact , I have just helped one of our members rejected a list of claims which were totally 'bullshitting' because the damages on the containers were because of wear and tear; with rust at every corner. And the box owner was asking the consignee to pay for the repairs caused by rust!
I believe to ensure the smooth flow of the logistics industry in Port Klang, rules and regulations must be set and the Klang Port Authority must set minimum required standards on the quality of containers before they are permitted to enter Port Klang to carry goods for both import and export purposes.
Otherwise, we gonna have all kinds of 'dealers' in town putting up all kinds of claims which they would demand for immediate actions.
Wee, Hon Secretary General
RE: Letter of Undertaking from SFFLA members
The impact of the past couple of years is rather obvious by now! It is sure cash whenever things are permitted to seek their levels of ' implosion'. Now the Association is being asked to guarantee payments. I thought in the real world of 'normal' business, risks have been an accepted factor in all dealings. If we are to give such undertaking , who would give our members get their undertaking?
It would appear that the concept of Malaysia Boleh has actually got into all of us!
When we talk of dispute between two parties, it is obvious that the parties could not come to term over whatever differences they have. To resolve the dispute, both parties would then present their facts or documents to substantiate their claims.
Here we are facing with a new approach to business relationship, one party on its own wants immediate payment of his claim notwithstanding if such claim has any substance! I believe we have seen too much of such claims to say the least.
In fact , I have just helped one of our members rejected a list of claims which were totally 'bullshitting' because the damages on the containers were because of wear and tear; with rust at every corner. And the box owner was asking the consignee to pay for the repairs caused by rust!
I believe to ensure the smooth flow of the logistics industry in Port Klang, rules and regulations must be set and the Klang Port Authority must set minimum required standards on the quality of containers before they are permitted to enter Port Klang to carry goods for both import and export purposes.
Otherwise, we gonna have all kinds of 'dealers' in town putting up all kinds of claims which they would demand for immediate actions.
Wee, Hon Secretary General
Saturday, May 17, 2008
SFFLA's AGM on 23 May 2008
Dear all members,
Our AGM will be held on 23th may 2008 at 3.00pm at Wsima SFFLA.
If you have any subject to bring up during the AGM, this is the time
to do it
Our AGM will be held on 23th may 2008 at 3.00pm at Wsima SFFLA.
If you have any subject to bring up during the AGM, this is the time
to do it
Foundation in Freight Forwarding
Our next intake of student will be from 15 - 30 June 2008
Please call Amy at Sectrariat for registration -
Please call Amy at Sectrariat for registration -
Welcome to SFFLA's News blog
Today, SFFLA create another feature for sharing the news and problems we faced in our industry
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