Tanzania Daily News (Dar es Salaam)

22 November 2012

Tanzania: TPA Defends Italian Firm Over Contract

THE Italian shipping liner, Ignazio Messina, still has a concessional of 25 per cent stevedoring deal that expires next year , Tanzania Port Authority (TPA) said.

The authority said despite the expiring of 50 per rebate for self-handling for on and off loading containers from ships that ended November 10, 2012, Messina has a valid contract to allow them carry on with business.

TPA's Corporate Communications Manager, Mr Franklin Mziray, said the Messina issue was handled by the management before forwarding it to the board of directors before approval as the rebate reduces TPA's revenue. "We are working on the issue, but we need time as we have to convince the board over 50 per centre rebate," Mr Mziray told the 'Daily News'.

He said they respect the existing concessional agreement and Messina could continue self handling their Ro-Ro ships using the 25 per cent rebate that expired next year while the port works on 50 per cent.

Mziray also said the delay has been caused by TPA board's de-solution by Transport Minister Dr Harrison Mwakyembe and new members were appointed but are yet to resume duties until inaugurated this week. Dr Mwakyembe was scheduled to meet with the board yesterday in Tanga in a formal inauguration since appointment a fortnight ago.

"We will enter into a bond with the new board and once they fail to deliver, I will show them the door. We have to run as there is no time to waste," Dr Mwakyembe told journalists during the EU delegation tour of the port last Tuesday.

Last year, TPA management adjusted rebate paid by the company from 25 to 50 per cent in a deal which was due for renewal last week. But almost two weeks now since the expiring of the rebate and effort by Messina to write to TPA nothing tangible came forward.

"The extended 50 per cent arrangement comes to an end on November 10, 2012. We hereby tender our request for another extension at similar rates," Messina's Regional Managing Director, Captain Giuseppe Fedele said in the letter to TPA acting Director General. Messina operates, jacks-of-all-trades Ro-Ro ship fleet, which have special equipment capable of rolling on and off cargo of all kinds, cars, unitized and break-bulk cargo. Liner is the second largest Ro-Ro container operator in the world.

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