SOUTH AMERICA

Solution to Buenos Aires concerns?

8 years ago

Following a referral to Argentina’s competition authority, Comisión Nacional de Defensa de la Competencia (CNDC), for “conduct and restrictive acts of competition in the Port of Buenos Aires”, where Maersk, Hamburg Süd and APM Terminals effectively dominate container trade, local online press resource iProfesional has reported that Maersk has put forward a solution to the problem.

Maersk has seen its market share at the Port of Buenos Aires increase from 22% in May last year to 30% this year Photo: DanDeLuca/flickr/CC BY 2.0

This would see its Terminal 4 operation at the port roll back its cargo volume to May 2017 levels.

In response, its main accuser, Terminales Río de la Plata (TRP), which is the concessionaire of Zones 1, 2 and 3 at Puerto Nuevo, said it would withdraw the complaint made to the CNDC.

Maersk has seen its market share at the port rise from 22% in May 2017 to 30% this year.

In the same period, TRP’s market share has fallen from 20.7% to 13%, prompting it to put forward the complaint of unfair business practices and hinting that it might not be able to continue operating at the port.

The imbalance of trade had also threatened to spark off labour protests by port unions, citing job instability, thereby undermining the government’s longer-term plans for the port that aimed to establish legal security, economic stability and trade union peace.