customs brokerage, freight forwarding and truck transportation

Truck Surcharges Applicable To Congestion In Montreal

: Transport

Trucking Companies Plan Wait-Time Charges to Counter Congestion Woes in Montreal 2018-02-23

Several Montreal-based CIFFA members have brought concerns to the association about container cartage issues at the Port of Montreal.
Wait time, congestion and terminal dwell have been an ongoing issue this winter at the port.
For the last few months, but most severely in the last few weeks, CIFFA has been hearing from members and from trucking companies about “above-average delays at all terminals on the Island of Montreal.”
Weather has been a contributing factor, along with road repairs across the city, according to some members. But the situation appears to have gotten worse.
One member has reported that container cartage carriers are now working together in order to increase their charges to compensate for the waiting time in the terminals and the daily traffic congestion.
Some trucking companies have advised their forwarders that, as of March 1st, they will start charging for waiting time in the terminal after one hour. Some are putting in place a congestion surcharge per container for each pickup or delivery.
In some cases, there has been a doubling of delivery charges or extra charges for container drops for local delivery, not seen before.
Pre-pull surcharges are also being applied in some cases. If truckers start applying additional surcharges, many forwarders have indicated they have little choice but to recover costs by adding on to drayage charges.
CIFFA has requested an update and statement from the Port of Montreal and will keep members apprised of any new information.
The Port Authority plans to start construction on a new container terminal in the South Shore town of Contrecœur in 2020. The initial phase is scheduled to be completed by 2023.
The new terminal will increase the container capacity of the port by a third, in anticipation of future needs. The port’s current growth rate is pegged at 3.9%, but traffic has grown faster than that over the past two years, the port’s vice-president of operations, Daniel Dagenais, told the Montreal Gazette recently.
The Port of Montreal can currently handle the equivalent of 2.1 million containers a year; the new terminal will add 1.15 million containers to that capacity.

Source: CIFFA


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