Companies have started to pay UK forwarder Convoys Ltd to secure the release of timber from Chatham Docks.
Convoys placed a lien on more than 2,300m³ of sawn softwood from Sweden (TTJ February 16) after shipping line Siöwalls Rederi went into liquidation. It is holding the timber against Siöwalls’ debt.
Convoys’ solicitor Simon Edwards said ‘several’ companies had either paid a security deposit amounting to 60% of the value of their goods or a 40% fee for full and final settlement.
The Timber Trade Federation is considering court action to force Convoys to release the wood. The Swedish Timber Industry Association (Svenkst Trä) has offered to provide funds for court action.
TTF product manager Nick Boulton said: ‘Convoys is hoping to spread the loss over the buyers so they do not have to carry the loss themselves.’
He warned that the dispute, which affects up to 18 UK firms, could rumble on for ‘months’.
Unloading began after an arrest warrant was granted to solicitors acting for the seven companies that had already paid for the wood.
