Call for port services tenders shortly

The government is to issue a call for tenders for the operation of various port services, possibly bringing to an end the monopoly of Cargo Handling Co. Ltd, port sources told The Times.

The existing contract of Cargo Handling Co. Ltd, fully owned by the General Workers' Union, expires in July 2006.

The government recently made it clear it intended to press on with a port restructuring exercise aimed at reforming current work practices and eliminating obsolete ones, while safeguarding the interest of its workers.

When contacted, Competitiveness Minister Censu Galea, who is spearheading the port reform, would not say whether Cargo Handling Co. would be one of the service providers that would have to go through a tendering process, although sources close to the government and the Malta Maritime Authority said the tendering process was "inevitable" for the GWU-owned company.

Mr Galea said the government was at present examining all options and a decision on the matter would be taken "early next week". As a shareholder of the company, the decision will be immediately communicated to the GWU, the minister said.

A meeting between Mr Galea, GWU general secretary Tony Zarb and ports secretary Manuel Micallef in connection with the port reforms was last held on September 20.

Mr Zarb said yesterday the union was still awaiting an official reply from the government in connection with Cargo Handling Co. but he saw no reason why the company's contract should not be renewed. "If the government wants to reform the ports then we are prepared to play ball, provided everyone else does the same," Mr Zarb said.

However, Mr Zarb denied claims that Cargo Handling was fleecing port operators, saying such allegations were purely based on misinformation.

The Competitiveness Ministry has during the past weeks described as "unauthorised and illegal" an additional and separate charge imposed on importers by a private contractor engaged by the Cargo Handling Company. The charges amount to Lm7 and Lm12 per 20- to 40-foot container respectively.

Mr Zarb said the government should also keep in mind that a total of 140 workers lived off Cargo Handling Co. Ltd and it was, therefore, in the GWU's interest that their livelihood is protected.