SHIPPING | SUNBIZ

Rental Business Feel Pinch Of Shipping Delays, Freight Rate Increase

A rental car business is feeling the pinch of increased freight rates on imported items as the costs for car parts have also increased. Recently shipping companies such as Neptune Pacific Direct Line had announced an increase in its freight rates as the demand for shipping services had increased. The increase was because of unprecedented demand for shipping services from Asia to the South Pacific Islands.
16 Mar 2022 14:00
Rental Business Feel Pinch Of Shipping Delays, Freight Rate Increase
Vehicle carrier Morning Cherry anchored at Suva Port on March 14, 2022.

A rental car business is feeling the pinch of increased freight rates on imported items as the costs for car parts have also increased.

Recently shipping companies such as Neptune Pacific Direct Line had announced an increase in its freight rates as the demand for shipping services had increased.

The increase was because of unprecedented demand for shipping services from Asia to the South Pacific Islands.

 

Businessman Deo Narayan said such increase would impact businesses in Fiji.

Operating over 10 years, Shamals Rentals have been offering services of hiring car rentals.

Lately, Mr Narayan have noted an increase in the price of car parts in local car dealers.

 

“Before, the cost for a car bumper would be between $100- $150 depending on the types of cars you have but now, when I check the price, it has increased $200 – $250.”

“Same thing happening to when you’re looking for the car bonnets which the price has increased.”

“We have car tires that are imported and the price have also increased.”

“These are just some of the items that where prices have increased as we imported these from overseas,” Mr Narayan said.

 

Recently, Mr Narayan had purchased a Toyota Fielder from Japan.

While he waits for the vehicle to arrive in Fiji, he said the shipment was delayed for two months.

“I was told that the vehicle would arrive by end of January but the shipment just kept getting delayed.

Now I was told that the vehicle will be loaded onto the vessel on March 16 so I should be able to have the vehicle delivered by April 4. Adding to this, shipment prices have increased,” Mr Narayan said.

 

Feedback: laiseana.nasiga@fijisun.com.fj



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