Matson raises westbound Hawaii rates by $125 per container

Matson raises westbound Hawaii rates by $125 per container    Matson Navigation Co. said Thursday it will raise its rates for the company’s Hawaii service by $125 per westbound container and $75 per eastbound container, effective Jan. 1.
   Matson estimates the increase will raise rates an average of 3.9 percent.
   'This rate increase will help offset rises in contractual operating costs and support a number of investments in our Hawaii service,” said James Andrasick, Matson president and chief executive officer, in a statement. “Given the essential role ocean transportation has in supporting the state’s economic activities, Matson has made its fleet replacement program a top priority in recent years. Since 2002, Matson has invested over $500 million in new containerships that will serve Hawaii, as well as Guam and China. This rate increase is consistent with our longstanding philosophy of implementing modest, incremental increases annually in order to continue to reinvest in our Hawaii service.”
   The flat-fee, per-container rate increase, which Matson implemented in 2003, recognizes that increases in costs and investments tend to be on a per container basis regardless of the commodity that is in a container, the company said. Percent increases result in customers shipping higher-rated commodities to bear the greatest cost burdens.
   The company will also increase its terminal handling charge by $60 per westbound container and $30 per eastbound container, also effective Jan. 1.
   Matson’s terminal handling charge is a separate line item that appears at the bottom of the company’s freight bills. The charge helps Matson recover a portion of its terminal handling costs, which comprise about 40 percent of Matson’s total operating expenses. The current terminal handling charge is $265 per westbound container and $135 per eastbound container.