Maersk to continue Charleston calls

Maersk to continue Charleston calls
   Maersk Line said Thursday that it has reached an agreement with the South Carolina State Ports Authority to maintain services in the Port of Charleston beyond the conclusion of the current 2010 contract.
   “This agreement brings a close to several months of negotiations and represents a reversal of Maersk Line's decision to depart Charleston announced late last year. The agreement establishes a new contract through Dec. 31, 2014, and places Maersk Line's cost structure in Charleston on a level playing field with other ocean carriers who use the port,” the Danish carrier said.
   The port said Maersk had approached it last year seeking to reduce operating costs, and the port had offered to let Maersk either reduce its footprint at its terminal and turn back some equipment, or move its operations to a 'common-use' area where state employees perform stevedoring work rather than employing members of the International Longshoremen’s Association. The port said last year Maersk elected to move to the common user gate operation, but the ILA rejected the change, saying it was being asked to give up jurisdiction under its contract and had not been brought into the negotiations.
   Maersk said under the agreement announced Thursday it will now offer services from a smaller, dedicated portion of the Wando Welch Terminal.
   Maersk's decision last year to pull services from the port was followed in January by the resignation of Bernard S. Groseclose Jr., the port authority’s president and chief executive officer, who had faced criticism that Charleston was losing ground to East Coast competitors, especially Savannah.
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