Competition creates ship congestion

That was one of the key messages from the company's procurement and shipping officer Manraj Chatha in a weekly market report, shared to YouTube, when speaking about WA port congestion, in particular the Kwinana Bulk Jetty (KBJ).

"There's a specific kind of ship which meets the criteria from a quarantine requirement point of view," Mr Chatha said.

"Everyone's competing for the same ships in the Middle East, so there's a lot of competition to get the right ship to come into WA."

CSBP Fertilisers general manager, Ryan Lamp, echoed Mr Chatha's comments this week when talking to Farm Weekly, saying shipping congestion along the WA coastline had increased over the past month and could continue to be an issue for the foreseeable future.

"In Kwinana, CSBP is closely managing its supply chain and is not experiencing or expecting material impact to its import program," Mr Lamp said.

"However, a recent forum held by the Fremantle Port Authority (FPA) advised users to expect a 15-day delay in unloading vessels at the Kwinana Bulk Jetty (KBJ)."

Mr Lamp there were also delays at regional ports.

"In terms of regional ports across WA, we are observing delays in Geraldton that are 15 plus days long," Mr Lamp said.

"These delays are caused by the increased demand from port users combined with surge tide events that prevent vessels from being unloaded.

"To maintain the reliability of supply to customers in the Mid West, we recently cancelled two port calls in Geraldton and diverted the ships to Kwinana.

"The fertiliser was unloaded and then trucked from Kwinana to Geraldton to ensure that farmers' requirements could continue to be met."

Mr Lamp said planned works at the State's regional ports have also had an impact on shipping.

"Recent maintenance shutdowns in Esperance and Albany also caused some delays for port users," he said.

"Another shutdown in Esperance is planned for July, and we are working closely with Southern Ports to ensure that our fertiliser vessels can be accommodated during the shutdown period."

Assisting Kwinana neighbour, Nutrien Ag Solutions, following recent fire damage at its nearby depot, is another factor in Kwinana according to Mr Lamp, but he assured customers the company was on track to meet seasonal requirements.

"Following the fire that affected Nutrien Ag Solutions' facility in February, we are continuing to support them by receiving their imported products into our Kwinana works and despatching this fertiliser to Nutrien and its customers," he said.

"Our high-capacity team and facilities have enabled us to provide this support at a crucial time of the season, with seeding now underway across the State.

Mr Lamp urges WA growers to review their forecast requirements for the balance of the season and said time is running out to contract nitrogen fertiliser volumes for June collection.

"Timing of application is critical to the profitable and efficient use of nitrogen fertiliser," he said.

The regular CSBP market updates started appearing online in March and are presented by sales and marketing manager Grey Johnston.

In the most recent update, Mr Johnston is joined by sales strategy and reliability manager Ben Sudlow where they discuss issues impacting fertiliser markets locally and globally, as well as freight rates and pricing.