Anti-free trader empowered to reform US container shipping

US Congressman James Oberstar, chairman of the House Transportation and Infrastructure Committee, who has consistently opposed free trade measures over the years, has announced that he wishes to widespread reform of American shipping.

Mr Oberstar, a member of the Minnesota Democratic-Farmer-Labor Party, did not vote for Free Trade agreements with Singapore and Chile and earlier opposed the North American Free Trade Agreement, according to Wikipedia, which added he also considers the "free trade offers little or no economic opportunity for American workers and producers".

Among the measures he seeks are the removal of carrier antitrust immunity, tighter rules on surcharges, new mechanisms to resolve customer service disputes, equal access for third-party containers and penalties for bumping cargo from scheduled vessel arrivals, reported American Shipper.

Mr Oberstar said he also wants to crack down on the practice of imposing surcharges at any time as a way to raise revenue outside the negotiated service contract.

"So we have to clarify that authority on surcharges, that they have to do it in advance, they have to explain what it is, there has to be a process so that shippers and consumers will not be disadvantaged," he said.

New shipping rules are needed "if we're going to compete effectively in the international market," Mr Oberstar told the National Industrial Transportation League's conference in Arlington, Virginia.

Mr Oberstar said he wanted to end the antitrust immunity included in the 1998 Ocean Shipping Reform Act that allows carriers within approved discussion agreements to share general economic data and discuss suggested guidelines for base rates, surcharges and services. Individual companies are then at liberty to adopt or modify the benchmark prices as they choose.
(Source:www.schednet.com)