CREEL SAYS U.S. FMC FLOODED WITH CONTRACTS

   The U.S. Federal Maritime Commission received almost 15,000 confidential contracts in May and June, compared to 3,400 during the same period last year, FMC chairman Hal Creel said in a speech before an industry meeting in Baltimore on Wednesday.
   Referring to the confidential contract surge under OSRA, Creel said
carriers and shippers are "making extensive use" of their new-found
authority to keep their shipping arrangements private. But, so far, very
few of the new contracts cover global services, he said.
   The FMC chairman also said his agency has found some defective carrier tariff systems, which are not easily accessible or accurate. "We also have our spotlight on the level of charges carriers are imposing for
accessibility" to tariffs, he said. "We have identified certain situations
that appear to be out of line."
   Creel expects to see more industry consolidation through mergers and
alliances, an increase in discussion agreements and further erosion of
liner conferences.
   Carrier antitrust immunity "will be in the center spotlight," he said,
noting House Judiciary Committee chairman Henry Hyde’s concerns, and a recent paper from the Organization for Economic Cooperation and Development.
   Concerning the pending Sea-Land acquisition by A.P. Moller, Creel said the FMC is mandated "to protect against practices that create unfavorable conditions for shipping in U.S. trades generally, not just to look out for U.S. carriers. Maersk has indicated there will be no loss of the U.S. flag. So it is presumptuous and erroneous to conclude that the commission will be less active in this area."