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2009 December 21   12:11

FAS agency highlights high level of competition of Russian ports

The Federal Antimonopoly Service (FAS) of Russian Federation together with the Central Research and Design Institute of Marine Fleet and ASSO-Invest Consulting have analyzed the market of seaborne and river cargo transshipment. There was a high level of competition, the FAS highlighted, as well between the stevedore companies operating at the ports (internal competition) as several Russian and foreign ports (external competition).
As a reminder, in 2007 FAS has suggested  to the government of the Russian Federation to charge Russian Federal Tariffs Agency (FTA) with the assistance of responsible federal agencies to implement coordinated termination of the government regulation of tariffs for cargo-handling by river and sea transport (except for the Far North regions). Market analysis has been accordingly directed to the FTS, RF Ministry of Transport and Ministry of economic development and trade.
In 2008 FAS Russia and the above-mentioned departments agreed on the stage-by-stage termination of government regulation of tariffs for cargo handling at river ports of the Russian Federation, except for the ports located in the Far North region.
The FAS initiative got the go-ahead. On December 4, First Deputy Prime Minister of Russia Igor Shuvalov decides to implement a project, which removes direct government’s price regulation of natural monopolies providing handling services at the Big Port of St. Petersburg.
Further results of tariffs deregulation experiment may show whether to continue the government strategy towards monopolies dominating on the market and providing stevedore services at the Russian ports.
The document is currently being discussed by responsible ministries and leading operators (Association of Commercial Sea Port, Russian Union of Shipowners, Association of Shipping Companies, Association of owners of river transport and ports).

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