TOWAGE provider Svitzer Australia is lifting rates by an average of 5.2%, effective 1 April 2024.

In a letter to customers obtained by DCN, managing director Videlina Georgieva noted the company reviews its public tariff rates annually, guided by several factors including CPI (inflation), internal costs and forward investment profile.

“With the above factors in mind, Svitzer’s public tariff increase for 2024 has been retained to an average of 5.2%, effective from 1 April 2024. Please note, there are variances in the final public tariff increase dependent on port location and licence regime,” Ms Georgieva said.

While Svitzer remained focused on mitigating costs as far as possible, and inflation reduced to 4.1% for the last quarter of 2023, the company said its real cost increases in the maritime sector remained high.

As contributing factors it cited:

  • Labour (crew cost) increases of greater than 5% per annum with a new 4-year Enterprise Agreement secured (labour cost escalation was effective from 1 January 2024)
  • Significant vendor cost increases including double digit increases in CAPEX and OPEX costs. For example, on average: Docking cost increases (~15-20% increase YoY)
  • Contractor cost increases (~20% increase YoY)
  • Landside lease cost increases of ~CPI +3%
  • Cost increases associated with meeting enhanced emergency response crewing requirements.

“We remain committed to managing ongoing cost pressures and the impacts to our customers,” Ms Georgieva said.

“Please note we welcome vessel owners and operators to discuss the benefit that a direct towage agreement with Svitzer has to offer and the opportunity to tailor an agreement that best meets your needs.”

A full set of the 2024 public tariffs is available at

Svitzer is in the process of being spun off from parent AP Moller-Maersk and assuming shareholder approval of the de-merger at an extraordinary general meeting on 26 April, will begin trading on Nasdaq Copenhagen on 30 April as Svitzer Group.