Lines quitting Port Timaru due to poor returns

The shipping company, Maersk, said its decision and that of Hamburg Sud to pull out of Port Timaru is based on poor financial returns, which it could no longer sustain, reported Radio New Zealand News.

Maersk and Hamburg Sud will stop calling at Timaru from September 17.

The Timaru company, PrimePort, says that means the town will no longer have a container port and many permanent and casual staff are likely to be affected.

The Maersk Line country manager, Julian Bevis said unfortunately Timaru is a victim of being a small port during tough financial times.

He added that the Timaru decision reflects a world-wide financial downturn for container shipping.