WTSA recommends $50 per FEU hike in wastepaper rates

WTSA recommends $50 per FEU hike in wastepaper rates    Transpacific container lines in the Westbound Transpacific Stabilization Agreement said Friday they have recommended a $50 per FEU increase in U.S.-Asia wastepaper rates, effective Sept. 1, as part of an ongoing effort to address rising cargo handling and equipment positioning costs in Asia.
   In a statement WTSA said: 'the action reflects both the high volume of wastepaper moving in the U.S.-Asia container trade, as well as the unique characteristics and routing of the cargo. Wastepaper accounts for more than 20 percent of total cargo moving in the westbound transpacific market. Shipments grew 13.3 percent in 2005, to some 426,000 FEUs.
   'Containers loaded with wastepaper typically incur high cleaning, maintenance and trucking costs in Asia after the cargo is delivered, in order to reposition them for eastbound loading. These cost impacts are multiplied by the high volumes at which wastepaper moves,' the WTSA said.