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SOAAG calls for the introduction of terminal handling charges …as shipping lines debunk rip-off allegations

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Shipowners and Agents Association of Ghana (SOAAG), the umbrella body of shipping lines and their local representatives operating in the country, has refuted claims that its members are ripping off shippers with arbitrary fees and charges at the ports.

Addressing journalists in Tema, the leadership of the association emphasized that every shipping line charge or fee is tied to a specific service that has been rendered to the shipper, and that they were legitimate and globally applicable.

According to SOAAG, when a shipper approaches a shipping line, there is dialogue, an offer and conditions that are agreed upon by both parties in contract—including the destination/local administrative charges. 

An executive member of the association, Mr. Adam Imoru Ayarna, indicated that shipping lines were open to the reintroduction of terminal handling charges in Ghana to foster transparency and cohesion in the application of port charges.

“With terminal handling charges, we [shipping lines] can bundle and itemize all the local charges, clearly stating the charges that emanates from origin and destination, respectively,” he said.

“We suggested this sometime ago and it was fought vehemently; but I think it’s high time we reconsidered introducing THCs going forward so we can identify the cost drivers in the consolidated freight that is issued to the shipper, if we want international best practices,” Mr. Ayarna added.

According to him, shipping lines cannot trade with basic ocean freight alone—which is the cost of the ship sailing from origin port to destination port, hence there are add-ons and surcharges to cushion them from other cost variables which they do not control.

“Making allegations about a service charge that you think is not right does not solve the issue because it takes two to tango; besides, these charges are not illegitimate,” Mr. Ayarna further stressed.

On her part, the executive secretary of SOAAG, Madam Perpetua Osei-Bonsu, indicated that it was not right for stakeholders to single out shipping lines for blame with regards to the high cost of doing business in the port.

According to Madam Osei-Bonsu, the media engagement formed part of an ongoing activity to sensitize shipping stakeholders about the business processes of shipping lines as a way of eliminating various misconceptions associated with their dealings with the shipping public.

“We also recognize the need to throw more light on the operations of our members and their immense contributions to the growth of Ghana’s shipping sector,” she said.

She added: “By this media engagement, we anticipate that you will be empowered to provide compelling and impartial reportage on issues relating to the activities of shipping lines in Ghana. It is an opportunity to highlight the relentless commitment of our members to create vibrant businesses in the maritime industry.”

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