The Freeport was close to complete inactivity yesterday morning with a long line of trailers waiting outside the main gate due to an action taken by cargo haulers who refused to enter the port and claim their containers.

The haulers are insisting on the re-opening of the Marsa payments office and clarification on the new clearance charges, which they allege have risen from Lm213 per container to Lm309 as from 1 July.

“Those who are stating that charges for the clearance of containers have gone down simply do not know what is going on in the ports,” Chamber of Small and Medium Enterprises Director General Vince Farrugia said yesterday.

But Competitiveness and Communications Minister Censu Galea yesterday told The Malta Independent that the GRTU is not correct to say that the charges have increased. As for the Marsa payments office, the minister said that an online system will soon be introduced and therefore the going and coming to Birzebbuga will be eliminated. It is a matter of time, Mr Galea said.

It is rather strange, he commented, that a port reform had taken place in the Valletta harbour but the GRTU chose to take action at the Freeport in Birzebbuga. Asked whether such action will have a negative effect, Mr Galea said that industry would suffer the consequences if the action persisted.

Speaking at a press conference in front of the Freeport main gate in Birzebbuga yesterday morning, Mr Farrugia said that that the chamber had nothing against foreign operators but it was now becoming clear that the main arteries of the country (ports and the airport) were slowly being strangled to suit the needs of the foreign companies and not the local economy.

“It is not a coincidence that new charges have gone up as from 1 July as it was specifically stated in the Freeport contractual arrangement that the charges that used to be taken by Cargo Handling for the operation of the Freeport would now pass over to them. We are talking of an amount varying between Lm800,000 to Lm1 million a year and this is no joke.”

Mr Farrugia said that notwithstanding this “bonanza”, the Freeport had decided to close its Marsa office with the result that cargo haulers had to come and go to Birzebbuga up to five times a day to clear their containers. Additionally he said that the charge up to the end of June for clearing a container was Lm213 and as from 1 July this had shot up to Lm309.

“Our members are refusing to clear their containers until the Marsa office is re-opened and the question on charges is settled. The cargo haulers have now also been refused credit so they have to pay considerable sums upfront and then have to chase their business clients for payment and the latter will undoubtedly question this hefty increase.”

Mr Farrugia called on the government to settle this issue once and for all as the cargo haulers cannot continue operating in this manner. He said that the Freeport Regulator, Dr Mark Portelli should either ensure that the situation was solved or else should resign from his position.

Mr Farrugia said that the Public Audit Committee in parliament should seriously examine the Freeport and Valletta Port contracts to ensure that the local operator is not being short-changed. He said that the Office for Fair Competition remained continuously inactive and had not even pronounced itself on this issue.

In a statement, the Malta Federation of Industry said that it has been assured by Minister Galea that a reduction of costs at the sea ports will be implemented but charges will temporarily remain the same as the levels of those registered up to last month. The minister also promised to look into any claims of higher costs currently being charged, the FOI added.

“Therefore, any FOI member who has been presented with a higher bill than that which was previously charged, are encouraged to inform the FOI Secretariat and submit documentary evidence. These claims will then be forwarded to government authorities to take up the issue.”

The federation said that it is in direct contact with the Malta Maritime Authority, the Ministry for Competitiveness and the various service providers to ensure that clarity as to the new domestic tariffs is achieved without further delay.

“As to the stoppage of containers from being released or allowed to enter into the ports, the FOI objects to the GRTU's attitude and must remind it that these actions cause great disruption to industrial activity and will lead to economic and social repercussions. In fact, the federation has been advised by several of its members that the shortage of raw materials (which are currently stranded at the Malta Freeport) will inevitably lead to the halting of company operations in the coming days and that the delays in export orders can also have serious repercussions on customer service and future orders”.