MUR shifts fleet control from SA to Dubai

Red tape forces relocation
LEONARD NEILL
DRY BULK carrier MUR has been forced to relocate its vital international fleet control division to Dubai after continued difficulties with the South African Department of Home Affairs which has refused to grant its specialist group of global shipping experts permits for longer residence than two years. MUR Shipping, a subsidiary of Macsteel International, was once focused entirely on shipping Iscor’s exports, but diversification over the past two decades has seen SA steel drop to 20% of the freight handled. As a result its international division has built up the necessary imported skilled British and Danish experts. It is the position of these workers that has now become the rough road between the company and Home Affairs. The decision by Home Affairs to limit stays in South Africa to a mere two years after which these must be subjected to renewal consideration, flies in the face of the South African government’s recent decision to search abroad for skilled operators in all fields to help grow the economy, contend MUR officials. “We are one of the largest managers in the world of dry bulk carriers in the 16 000 to 60 000 tons range,” said MUR chairman Jack Gerber. “The charter costs of these vessels range from $7 000 to $60 000 per day depending upon size, market conditions, etc so it is critical that you get the positioning and route planning right. “It takes skilled people with up to five European languages and years of experience. We could not simply train local people, so we had to import the skills. When our people applied for renewal of residence they were at first turned down. Weeks later they were told they could have permits for two years only. These people needed longer-term certainty. “Now, after weeks of being held up by Home Affairs, we felt we had to operate somewhere else. Our core SA industrial account and liner business remains fully active in Johannesburg, together with its BEE partnership. The residency problem affects only the people that manage and position our fleet of some 9O-13O vessels.” Gerber has made it clear that the company has a local training programme that has been very successful. But, he says, it takes time for those trainees to fill any of the specialised functions. “We are, in fact, growing faster than we can train.”