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TERMINAL OPERATORS UNDER FIRE AT INDIAN PORT
Date:2019-01-21 Readers:
The Competition Commission of India (CCI) has ordered A.P. Moller-Maersk and DP World to withdraw customer advisories which it says could hamper growth at Jawaharlal Nehru Port Trust (JNPT).

This withdrawal order, which is detailed in a document which Reuters stated it had seen, follows an investigation ordered by CCI last year into suspected antitrust violations by DP World DPW.DI and Maersk units at the terminals they operate at the state-owned port.

CCI took action after a complaint filed by Singapore’s PSA International Pte Ltd, which alleged the rival duo had created barriers to hinder the growth of PSA’s terminal by colluding on certain charges they levy at the port, reported Reuters.

Though the terminal operators handle each other’s containers to help boost the port’s efficiency, PSA had alleged that DP World and Maersk last year issued advisories aimed at discouraging port users from sending PSA’s containers to their terminals.

In an interim order issued by the CCI on 15 January but not made public, Maersk and DP World units were ordered to withdraw those advisories, saying it “smacks of anti-competitive” conduct.

The advisories, if not withdrawn, would cause “irretrievable damage or losses” not only to PSA, and would not augur well for the port’s development, according to the order.

“This is likely to generate unwarranted uncertainty, chaos, discontent and anxiety amongst shipping lines and customers,” the CCI said.

https://www.portstrategy.com/news101/world/asia/terminal-operators-under-fire-at-indian-port

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