The 30 percent increase is the upper limit; shipping companies may implement 10 or 20 percent depending on the outcome of their consultations. It will be gradual,” he said. He emphasised that the adjustment would not come as a shock to the economy, noting that some shipping companies had already commenced consultations.
The NSC boss also disclosed that earlier tensions were partly linked to the actions of the chief executive of a particular shipping agency, which irked freight forwarders. He further explained that while shipping companies had proposed increases ranging between 150 and 200 percent, the Council settled for 30 percent to strike a balance between industry sustainability and economic stability.
“Shipping companies argued that 30 percent is too low given inflation and rising operational costs, but we determined it was sufficient to avoid overburdening the economy,” he said. According to him, the Council considered prevailing economic realities, including recent wage adjustments in the sector, before approving the increment.
He reiterated that tariff adjustments are not intended for excessive profit-making but to ensure the sustainability of the sector without placing undue pressure on the wider economy. “We need shipping companies to operate efficiently, but we cannot allow increases that could strain the entire system.