Eight major shipping companies have been accused of colluding to fix cargo rates, with South Africa's Competition Commission referring the case to the Competition Tribunal, reports Greater Durban's East Coast Radio.
Eight major shipping companies have been accused of colluding to fix cargo rates, with South Africa's Competition Commission referring the case to the Competition Tribunal, reports Greater Durban's East Coast Radio.
The firms under investigation are Maersk South Africa, Mediterranean Shipping Company, CMA CGM, Pacific International Lines, Mitsui OSK Lines, Evergreen, Cosco Shipping and "K" Line.
The commission alleges the companies, all global container shipping liners, coordinated charges under the General Rate Increase, a fee applied to customers moving general cargo between South Africa, Asia and West Africa.
Investigators found identical rate increases applied on routes from Shanghai, Ningbo and Shekou to Durban, from Durban to Hong Kong, and from Qingdao to Durban.
Officials say dismantling what they believe to be a cartel will cut the cost of imports and reduce export expenses, boosting the competitiveness of South African products in global markets.
Investigators allege the carriers engaged in cartel conduct prohibited under the Competition Act, including coordination of rates, surcharges and tender responses on roll-on/roll-off and container trades. The practices occurred largely outside South Africa but directly affected domestic import and export lanes.
Commissioner Doris Tshepe said dismantling the cartel would lower import prices and reduce export costs, boosting competitiveness of South African goods. Some carriers have approached authorities under the leniency programme, though no liability findings have yet been made.
The case mirrors international enforcement actions, with regulators in the EU, US, Japan and South Korea previously fining RoRo carriers for price-fixing. South Africa's referral covers routes used for automotive exports and manufactured imports through Durban, Gqeberha and East London.
The automotive industry, accounting for about 14 per cent of national manufacturing output, relies heavily on RoRo shipping. The Commission said inflated costs undermine competitiveness, though it did not quantify impacts.
The referral comes amid wider freight logistics reform as port congestion, rail bottlenecks and declining performance at Transnet raise costs. The Tribunal will review evidence and decide on penalties, which could reach 10 per cent of annual turnover. The shipping lines have not publicly commented.
