Korea/ South Asia Rate Restoration on 1 September 2000

Arising from a recent review, Member Lines of the South Asia Rate Agre
ement (SARA) have agreed to implement a rate restoration with effect f
rom 1 September 2000. The Lines will restore freight rates by USD100/2
00 per 20'/40' container for shipmetns from Korea to Chennai, Calcut
ta, Chittagong, Mongla, Haldia, Visag, Karachi and Mumbai/Nhava Sheva.
Lines have no option but to increase rates as the current rate levels
are too low to support the investment being made as well as the opera
ting costs in the Trade. The economic conditions in both South Asia an
d the Far East regions have become increasingly positive and trade vol
umes are expected to be buoyant during the later half of the year. Hen
ce, the Lines are fully confident that customers will support this rat
e restoration which is absolutely necessary for Lines to continue meet
ing the high standard of service required of them. SARA Member Lines a
re APL Co Pte, Maersk Sealand, Mitsui Osk Lines, Nippon Yusen Kaisha,
P&O Nedlloyd, United Arab Shipping Company.