Miami terminal agreement takes effect this week

The Federal Maritime Commission is allowing a cooperation agreement between two marine terminal companies at PortMiami to more forward.    An agreement between two marine terminal companies located at PortMiami – South Florida Container Terminal and the Port of Miami Terminal Operating Company – will go into effect Dec. 31.
   The Federal Maritime Commission (FMC) voted Thursday not to prevent the “Miami Marine Terminal Conference Agreement” from taking effect.
   The agreement permits the terminals “to seek cooperation and commonality in both business and operating matters,” the FMC said. “Under the terms of their agreement, the companies may establish a variety of common rates, rules and practices, as well as to meet to discuss these matters.”
   FMC Chairman Mario Cordero said, “These two facilities are located in very close proximity to one another, and allowing the entities that operate them the ability to communicate on a number of different topics creates an opportunity to achieve efficiencies that potentially can benefit both the Port of Miami and the shipping public more broadly.”
   While discussion agreements among ocean carriers are commonly filed at the FMC, the agency noted that agreements between terminal operating companies have been less common to date. However, recent marine terminal discussion agreements include the Northwest Seaport Alliance formed in 2015 between the ports of Seattle and Tacoma, and the “Global Ports Group Agreement” proposed by five large terminal companies and the Port of Rotterdam Authority earlier this month.
   In an article in the January 2017 issue of American Shipper, “PortMiami upgrade 2.0,” Kevin Lynskey, deputy director of the port, said his agency is acquiring rubber-tired gantry cranes that can be used in both terminals.
   “Vessel and container efficiency would be further increased if the terminals were merged into one large operation, but whether the private operators decide to participate in some sort of shared facility remains to be seen,” the article reported. “Nonetheless, the layout will be designed so that the RTGs can operate as one contiguous system if the two yards wish to merge the physical real estate, Lynskey said.”