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US: APM Terminals proposal to run Port of Virginia questioned

The Virginian Pilot is reporting that a bid by APM Terminals Inc. to run the Port of Virginia has raised monopoly concerns among shipping competitors.

APM Terminals and the Maersk shipping line are units of Danish conglomerate A.P. Moller-Maersk Group. Rival shipping lines are contending they will not get a fair shake at the port if the deal - that is valued at about $4 billion over a 48-year period - goes through, according to the report.

The Pilot account includes a letter sent last week to Gov. Bob McDonnell from the managing director of Hanjin Shipping America LLC. Hanjim accounts for the largest volume of import/export traffic through the port, according to the letter.

"This monopoly will clearly be an obstacle to transparency in port operations and competitive, market-based pricing," the letter states.

The state has set a mid-July deadline for competing proposals. Port and state officials told the Virginia Pilot that the concerns will be weighed in the decision making process.

Source: www.dailypress.com

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