UK port operator Peel Ports will increase steel handling and storage fees at the Port of Liverpool from 1 April, multiple market sources told Argus today.
The port cited an increase of around 10pc in its operational expenditure, alongside some other drivers, for the hike. The port said it has invested in two new indoor storage sheds exclusively for steel and metals, in addition to its existing two sheds, nine and ten, and that it remains committed to achieving net zero emissions by 2040.
Storage rates for coil are increasing by around 10-20pc, sources surveyed by Argus said. The fee paid by trading firms, which drive the increase in volume into Liverpool, varies depending on the amount they take into the port — larger traders with higher volumes secure cheaper rates, while smaller trading firms face higher fees, to the chagrin of new entrants. Those paying lower prices will see a 20pc increase from April, while those with higher prices will have a 10pc rise.
Some will be paying over £9/t for coil handling after the increase, at a time of depressed margins for the whole of the supply chain. Those paying over £9/t would be paying the Port of Bristol around £7/t, and less at Newport.
Liverpool offers four weeks of free storage before quay rental charges kick in. Those will rise to £1/t per week for some. Other ports offer eight weeks of free storage.
"As a responsible business we always aim to achieve the right balance of providing competitive rates to reinvest in our facilities. Our charges reflect the multiple pressures the business is experiencing, such as higher inflation and changes to the fiscal regime including National Insurance, business rates and vehicle taxes," a Port of Liverpool spokesperson said.
