Antwerp Hails Labor Deal

The Port of Antwerp hailed a new labor agreement with dockworkers as a major breakthrough in its bid to boost breakbulk cargo volume.

Antwerp is Europe's largest breakbulk hub, but shipments have dropped sharply in recent years, and the Belgian port has lost market share to rivals targeting a cargo sector that creates more jobs and adds more value on the waterfront that most other traffic.

The new labor agreement, which cut the number of dockworkers in a gang and introduced more flexible working conditions, came into effect on Jan. 1.

The accord, which applies to short-sea breakbulk traffic, “is a massive step forward in the modernization of dock labor," the Antwerp Port Authority said.

The agreement also will boost Antwerp's position as a transshipment hub for breakbulk cargo because of the combination of regular deep-sea liner services and more regular coastal services, the authority said.

The accord, struck by unions and port employers, will cut handling costs, not just for breakbulk cargo, but also heavy-lift and general cargo as well as tubes and pipes used in the oil and gas industries.

Antwerp's conventional/breakbulk cargo increased 6.3 percent in 2010 from a year ago to 11.1 million metric tons but was down 34.4 percent from the 16.9 million tons handled in 2008.

Breakbulk traffic also trailed the 16.1 percent jump in container traffic and the 13 percent increase in total cargo throughput.

The relatively poor performance of breakbulk was partly due to the loss of a contract to handle 750,000 tons a year of Brazilian wood pulp to the neighboring Dutch port of Vlissingen.

Antwerp's Chief Executive Eddy Bruyninckx blamed the loss of the contract on Antwerp's high labor costs.

"Conventional/breakbulk is the sector having the greatest difficulty in recovering from the recession," according to the port authority.

Steel products, wood cellulose, paper and fruit which slumped in 2009 "are struggling to get up again."

The port cut harbor dues for breakbulk vessels discharging or loading cargoes in 2010 and the discount will apply through 2011.
(Source:www.joc.com)