It would be a desperate move and one that has already alienated the Ports of Auckland’s council controlled board and its major customers as one of New Zealand’s major ports fights to stay profitable.

But, something has to be done to resolve the festering dispute soon as shipping lines – at least two major lines Maersk and dairy product export giant Fonterra so far – have opted to direct traffic away to other ports such as the Port of Tauranga.

Board members have chosen to oppose the contracting out move and at least one, Michael Wood, board member for Puketapapa told the New Zealand news media he feels the dispute is getting out of hand. In a joint statement, 28 board members have urged the port to drop its contracting out plans and return to good faith bargaining. However, port customers have given overwhelming support to Ports of Auckland plans.

The sixth strike – for 24 hours from 7am January 31 – “will do nothing to end the dispute,” says Ports of Auckland Chief Executive, Tony Gibson, “other than to strengthen our resolve to sort this out once and for all.” He calls the latest strike notice “highly irresponsible” and added the port would try to stay operational during the shutdown by using non-union staff.

The port’s collective labour contracts expired September 30, 2011 and there has been turmoil ever since. The Maritime Union of New Zealand has claimed Ports of Auckland was planning to jettison the collective agreements long before they expired and switch to contract labour as does its more profitable rival, the Port of Tauranga, which lauds the flexibility and economy of its contract labour system.

The Ports of Auckland standoff has spiralled out of control says Maritime Union boss Garry Parsloe, who terms it a “political stoush.” Parsloe says the latest strike action is aimed at getting information out to the wharfies in a special meeting about the port’s plans. “They have a right to know their jobs are taken off them,” says Parsloe. “They have a right to know that if they go back they’ll be on inferior conditions.”

The Customs Brokers and Freight Forwarders Federation of New Zealand has left no doubt where it stands and says the dispute has escalated into a bitter, acrimonious labour stoush. It warned that the labour union might be losing sight of its goal. Parsloe concedes there’s some truth to that sentiment, but the consensus is the union and the port are “still miles apart”. The latest six-hour mediation session earlier in January failed to resolve the standoff.

The Ports of Auckland troubles have been a surprise bonus for the Port of Tauranga which has so far gained $47 million of trade from Maersk and Fonterra because of the dispute.

Technical experts will assess the infrastructure and operations at Banten Port and provide guidance on how Pelindo II can develop the facilities to maximise the economic opportunities.  This will include assessments of operational efficiency and the bulk materials handling system (MHS) including the design concept, system, plant selection and associated electrical, mechanical and structural concepts.

Johnny Tjea, President Director of PT BMT Asia Pacific Indonesia comments: “Whilst the rest of the world is feeling the effects of the global financial crisis, Indonesia experienced over 6% GDP growth last year making it one of the fastest growing economies in Asia.  The Government has quickly recognised that investment in port infrastructure is a key ingredient to drive economic growth.  We are excited to be working with Pelindo II and playing an integral role in an important strategic project.”

BMT has over 20 years’ experience in helping to assess, develop, optimise and maintain port facilities and has supported several coal mining companies and port operators in the region.  This project is instrumental to ensuring that Pelindo II can deliver best in class port operations and reap the economic benefits that exporting bulk materials can bring to the region.

In results announced today at the SCPA’s regular meeting, December saw a slight increase in Charleston’s box volume, with a 2.4 percent uptick in container traffic. Charleston handled 109,472 20-foot equivalent units (TEUs) last month, compared to 106,866 TEUs in December 2010. Despite continued weakness in the economy, container volume for calendar year 2011 was up 1.2 percent from 2010.

Midway through the fiscal year that began July 1, container traffic is off slightly, with volume down less than one-third of one percent from the same six-month period last year.

“We are continuing to experience a flat economic environment here in the U.S.,” said Jim Newsome, president and CEO of the SCPA. Industry analysts predict continued weakness in retail imports until spring while exports, particularly agricultural products, are expected to grow throughout 2012.

Breakbulk pier tonnage in Charleston and Georgetown was up 26.8 percent in December and up 54.9 percent in calendar 2011 over 2010 figures.

In the fiscal year to date (July through December), total breakbulk at the two ports was up 59.2 percent. Charleston’s non-container tonnage rose 21.5 percent in the first six months of the fiscal year (from 339,693 tons last year to 412,847 tons in FY12), while tonnage at the Port of Georgetown has grown more than threefold. Georgetown handled 268,147 pier tons in FY12 to date, up from 88,175 tons in the same period of FY11.

“Our sales team has made great strides to further diversify our business, including growing the non-container side,” said Newsome. “And we are continuing to be creative and aggressive to increase business opportunities in the Port of Georgetown.”

In addition, last year saw several advancements with the Charleston Post-45-Foot Harbor Deepening Project, currently in the feasibility phase. The Corps of Engineers and the SCPA are cost-sharing the feasibility study, with a commitment from the Corps’ South Atlantic Division to get to the construction phase as soon as practical. Meanwhile, big ship traffic in the port increased in 2011, including the first call by a 9,200-TEU ship in July. Each week, Charleston handles four post-Panamax vessel calls.

“There is no greater priority for our port than the harbor deepening project,” Newsome stated. “The Southeast region needs a true post-Panamax port to handle trade demand and the size of ships calling the East Coast in the years ahead, and Charleston is poised to be that port.”

Also at the meeting the SCPA Board approved projects totaling $5.2 million in capital improvements, including construction of a new, $3.05-million, 100,000-square-foot warehouse at Columbus Street Terminal to serve growing customer demand. This comes on the heels of major investments totaling $23 million to improve the terminal. Columbus Street Terminal serves the Port of Charleston’s non-container segment, including BMWs manufactured in the South Carolina Upstate.

The automaker announced last week that the facility located in Greer, S.C. will add the X4 production while increasing the plant’s capacity to 300,000 vehicles annually. About 70 percent of the plant’s production last year was exported.

The contract has been signed by Mr W van der Velde, Chief Technical Officer of Seaway Heavy Lifting, and Mr AA Kromhout, Managing Director of IHC Offshore Systems. The NMS-6900 is a useful addition to the large existing rental fleet of IHC Merwede’s Hydrohammers®, handling tools and piling templates, which have been serving offshore installation contractors for many years. The contract includes site assistance throughout the whole project – IHC Offshore Systems service engineers will monitor all functions and support with the operation of the system. By June 2012 the NMS-6900 will be operational on location in the North Sea.