Shippers at Kuantan Port say one month not enough to clear bauxite stockpiles

The bauxite stockpile at Kuantan port will take more than a month to clear, according to shipping industry sources in Pahang, Malaysia. They hope the moratorium brings positive results so there will not be further disruption to their business.

A manager in a shipping company that exports the ore to China said the stockpile at Kuantan was over two million tonnes, and shipping it out in time was proving to be a headache. “The one-week timetable allocated to us is unrealistic. At its peak, Kuantan port is capable of loading and shipping out over three million tonnes per month but that is with an all-out effort,” he said.

In addition to the tight deadline, no new Approved Permits (APs) had been issued to export ore and this was causing the stockpile to build up rather than cleared. “We have been told a special AP will be issued by the Natural Resources and Environment Ministry but that it may take some time, possibly a few weeks,” he said.

The manager said some shippers were facing delays because of ongoing negotiations on the ore price. “But the stockpile is not solely our responsibility. The authorities at Kuantan Port need to do their part to ensure everything goes like clockwork,” he said. He said finger-pointing between the shippers and port authorities had also built up tension. “They are accusing us of delaying the operations but they must remember the APs have not been issued and that we have logistical constraints,” he said.

It was reported Kuantan Port Consortium chief executive officer Datuk Khasbullah A. Kadir had told the public not to have high hopes over the clearing of the stockpile. He said the port had been given until February 15 to clear the stockpile.

The ministry had said the port would have one week from the start of the moratorium to clear its central stockpile and that failure to do so would result in punitive action. Another shipping operator said he welcomed the moratorium and hoped all the guidelines outlined would be fully implemented.