Calls are continuing to make for controllers to probe the business practices of the vessel shipping assiduity, with the association representing European freight forwarders getting the rearmost to demand that the EU Competition controllers come involved. Criminating the ocean shipping carriers of profiteering and taking way to drive out independent freight forwarders, the association writes in a letter to the EU Commission saying that the practices are disadvantaging shippers and end-consumers because of defined choice of services and advanced rates.
Addressing EU Commissioner for Competition Margrethe Vestager, the European Association for Forwarding, Transport, Logistics, and Customs Service (CLECAT) calls on the Commission to urgently probe under the EU competition rules the impact of issues including perpendicular integration, connection, control of data, and the performing request dominance. In particular, they cite the vaticinations of over$ 200 billion in gains for assiduity, saying the EU needs to come involved to remove illegal and discriminative rules.
CLECAT cites the “massive freight rate hikes over the last 18 months,” which they contend “have led to dangerous affectation and increases in the EU’s costs of living.” In their letter to the manager, they said that carriers are using their capacity operation strategies performing in profiteering and permitting the carriers to acquire farther request power to vertically integrate, increase rates, and drive out independent freight forwarders in the downstream request.
They’re calling on the European Commission to urgently use its powers of disquisition to establish the degree of attention, connection, collaboration, and cartelization in the upstream vessel liner shipping services requests serving the EU, and the downstream requests for freight forwarding services
.“ CLECAT notes that the combination of these factors has enabled the carriers to cherry-pick the loftiest- volume shippers for longer-term contracts and relegate the others to the spot request where they will pay multiples of the rates offered to the favored many,” writes the association.
“We lament that the Commission has so far ignored the important dispatches from numerous stakeholders who depend on a healthy maritime vessel logistics supply chain,” says Nicolette van der Jagt, Director General of CLECAT. “We continue to call for new rules of the game, with further governance and oversight of carriers in agreement with normal competition rules,” she wrote saying it was critical to helping one party from having an illegal advantage or trying to use an advantage to drive the other out of business.