Panamanian government approves toll hikes, per box rate unchanged

THE Government of Panama has approved toll increases on the Panama Canal following the recommendation from the Panama Canal Authority (ACP) though protests from containership owners appear to have had some impact.

Expecting more money per ship as an expanded canal can take double the number of vessels of more than twice the size, there has been no increase on a per container basis, the canal authority said.

But the ACP will increase tolls for general cargo, dry bulk, tankers, chemical tankers, LPG carriers, vehicle carriers and ro-ro and others.

"The remaining segments will not be adjusted at this time, nor will the price per TEU for containers carried onboard a vessel," said a statement from the canal authority.

"The new tolls structure was conceived in accordance with the commercial value that the route offers its users," said Panama Canal Authority administrator and CEO Alberto Aleman Zubieta.

"We look forward to working alongside the industry to continue offering a reliable and competitive service," he said.

Toll increases take effect in October and a year later in October 2013 before the full expansion is complete in 2014.

"The new structure offers price stability to the Panama Canal clients during the next two years, while the approved tolls remain below the value it offers as a safe, reliable and efficient route," said Mr Aleman Zubieta.

The new structure increases the number of segments from eight to 10. It also breaks down the tanker segment into three distinct segments and incorporates the roll-on/roll-off vessels into the vehicle carriers. The Panama Canal market segmentation structure includes the following: (1) full container, (2) reefer, (3) dry bulk, (4) passenger, (5) vehicle carrier and ro-ro, (6) tanker, (7) chemical tanker, (8) LPG, (9) general cargo and (10) others.

The container/breakbulk segment, which was included in the original proposal, has been eliminated.

The ACP is the autonomous agency of the Government of Panama in charge of managing, operating and maintaining the Panama Canal.