These container rates are 'loss leaders'
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HIGHLY COMPETITIVE EUR SERVICES
TO ROTTERDAM AND DUNKIRK by John Darker II After only a month of operation, European Unit Routes Ltd., a member of the P and 0 :Troup, is to increase the frequency of its iailings between Tilbury and Rotterdam to Dire-a-day from each terminal. •k regular .hrice-weekly service to Dunkirk is; to start xi April 17.
Announcing this at a Press conference at Tilbury last week, Mr. W. M. Lang, managrig director of EUR, commented: "The demand for space on our ship has been so great that we have switched to a daily service earlier than anticipated. The Dunkirk service ,s a logical complement to the Rotterdam one, enabling us to take containers to distribution :errninals suitable for any part of the 7,ontinent."
Mr. Lang said that hired tonnage would be used for the time being but EUR's parent company, the General Steam Navigation Co. Ltd., was currently looking into Hover:raft possibilities. The company had also lone considerable tank testing of catamaran:ype craft—it wanted to be first in the field with a second-generation craft designed far the container age. Because of the heavy investment involved a new ship should be 'right" for 10 or 15 years.
The freight rates charged on the Tilbury to Rotterdam and Dunkirk services will be E25 for standard ISO 20ft containers irrespective of contents and inclusive of all Former wharfage and port charges. Thirty'oot containers will cost £31 and 40ft containers, £35. A turnover rebate is offered in addition to forwarding agents' commission mounting to a maximum of 10 per cent. EUR's Rotterdam service has been launched from berth 43 in the Tilbury Docks containerport. Berth 43 is a common-user berth—though EUR are the only operators now—but if "delicate negotiations" now under way are fruitful EUR may have their own exclusive container berth at Tilbury.
Mr. Lang said Felixstowe had been considered as the EUR terminal but the company had decided that the growth element at Tilbury would give it decisive advantages. The catchment area for exports and imports was unrivalled and road mileage shorter than for Felixstowe.
Mr. R. H. Butler, deputy docks manager, Port of London Authority, said the Freightliner terminal at Tilbury would be completed in May or June this year. Containers arriving by rail would be moved by tractors and trailers to various berths. Rail services to conventional berths would be terminated when the Freightliner operations commenced.
It was emphasized during questions that EUR as such would not quote door-to-door rates from inland collections points to Continental destinations. Forwarding agents, British Rail or road haulage firms, however, would be able to do this using the EUR terminal-to-terminal operation.
There is no doubt that the highly competitive container rates quoted by EUR—and admitted to be "loss leaders" to encourage a rapid build-up of traffic—will embarrass some operators of short sea services from Britain to the Continent. Roil-on/roll-off rates have been sharply reduced in recent months from 4s 10d to the equivalent of 3s 9d a sq ft. on Transport Ferry Service vessels. TFS rates are now assessed on a linear foot basis and they range from 30s (FelixstoweRotterdam) to 42s (Tilbury-Antwerp) services for trailers containers or flats. On both TFS services there is a reduction of 3s
for self-propelled vehicles and a substantial reduction for empty vehicles or unladen containers. On any reckoning, £35 for a 40ft container movement from Tilbury to Rotterdam or Dunkirk looks an exceedingly good buy.
Freightliners for exports
• British Railways is working towards the eventual groupage of all export sundries from the Greater London area for dispatch by Freightliner to Merseyside.
Export sundries from London are already being carried by Freightliner to Liverpool from three collection centres (Paddington, Bricklayers Arms, and East Croydon) and BR has now announced new through services from Sheffield, Glasgow, Edinburgh, Newcastle (Gateshead), Leeds, Cardiff and Manchester via London Freightliner terminals to the London, Victoria and Albert depot.
Another service is from Glasgow and Cardiff to Liverpool's Canada dock via Garston Freightliner terminal.