The Competition and Consumer Commission of Singapore (CCCS) has advised the government (28 October) to extend the block exemption order (BEO) for Liner Shipping Agreements (LSAs) for another five years, from January 1, 2025, to December 31, 2029. This recommendation, directed to the Deputy Prime Minister and Minister for Trade and Industry, aims to support Singapore’s role as a global transhipment hub by continuing exemptions for vessel-sharing and price discussion agreements under specific conditions.
Following public consultations, CCCS reported broad support for the renewal and identified continued economic benefits for Singapore. The renewed BEO would restrict LSAs to cooperation on goods transport between ports only, excluding inland freight carriage, reflecting current industry norms. CCCS noted that allowing exemptions for vessel-sharing arrangements would improve port connectivity and enhance competitive conditions, while exempting price discussion agreements would bolster feeder service operations.
The CCCS suggests a five-year exemption duration to ensure legal certainty amid upcoming maritime initiatives, including decarbonisation and development of the Tuas Port. Additionally, CCCS proposes a one-year transitional period allowing existing inland freight agreements to benefit from the BEO through 2025.
