Freeport stevedores refuse to pay new tariffs

There is one thing that unites Chamber for Small and Medium Enterprises (GRTU) and the government, despite failing to see eye to eye over the effect of new cargo handling tariffs - the fact that they both see the issues that separate them as petty.

Yesterday, Competitiveness and Communications Minister Censu Galea and GRTU director general Vince Farrugia both said the issues at hand could easily be resolved.

They were asked to comment in the wake of action taken yesterday at the Freeport by stevedores, represented by the GRTU, who are refusing to pay the new tariffs until the issue is cleared up. As a consequence no containers for the local market or for export were processed.

The dispute was sparked off last Saturday when Mr Farrugia, reacting to the tariffs introduced by the Malta Maritime Authority, said the new regime was unclear and that as far as they could tell, it would lead to a massive rise in costs.

The authority's chairman Marc Bonello has rebutted the claim, saying shipping agents would no longer be involved with cargo handling so they would not be levying any charges.

"I really cannot understand why the GRTU is taking such a stand on this issue," the minister said yesterday. "These are matters that can easily be resolved."

Similarly, Mr Farrugia said it was a pity to see the Freeport practically grind to a halt over such "petty" issues, which could be ironed out with good management and consultation.

The shipping agents too have complained that the new system is unclear to them and want it to be explained.

Mr Galea said he hoped the whole matter would be cleared up in a meeting with ship agents scheduled for today.

The GRTU is also objecting to the fact that the Freeport wants the stevedores to pay their dues at its office in Birzebbuga, saying this would lead to added fuel costs.

The minister said he had not expected the GRTU to order such a serious strike over such a matter.

But Mr Farrugia lamented the fact that in spite of Malta's achievement in IT, the Freeport, now privatised, did not have an online paying system.

"It is unacceptable that a company in a monopoly position is left to do as it pleases," he said.

"Essentially the root cause behind all of this petty ordeal is that the government didn't consult with us and the other stakeholders before introducing any changes. I really cannot understand this even because this government is usually available for consultation."

The Federation of Industry yesterday called on the government to clarify the new tariffs regime but also criticised the GRTU for the action.