BULK cargo handler NW Trading has seen turnover fall 15% as the recession has caused a marked reduction in port activity.

The company, which is based at Birkenhead’s Cavendish Wharf and also operates from Hull, Goole and Southampton, has managed to remain profitable despite this fall in work.

In a reduced accounting period, for the six months to June, 2009, the dry bulk firm’s turnover was £15.8m, against £37.1m for the full year to December, 2008.

However, its pre-tax profits increased to £379,000 from £240,000.

NW Trading chairman Colin Littler said: “The period has been one of expenditure control while the economy is in recession. The economic downturn, which began in the third quarter of 2008, has had a significant impact.

“Turnover has decreased by 15% as a result of lower chemical commodity prices and a reduction in port activity.

“There has been a slight increase in gross margin of 0.5%, caused by a change in the mix of income activity.”

The firm did see a fall in work from outside the UK, to 1.5%, from 6.3% in 2008.

Port companies have been embroiled in an ongoing row about backdated rate bills being levied.

Mr Littler said: “The maladministration by the Government is still under debate and businesses involved in port operations continue to lobby the Government to reconsider the position.”

NW Trading has a contingent liability of £470,000 for rate charges which are under review. Its accounts include a provision of £1.05m for the expected rates charges.

The group acquired two terminals in Goole last year and said it “will actively develop and seek new opportunities to strengthen its position in the future.”

Mr Littler added: “The directors’ outlook for the group going forward is optimistic.

“The nature of the products in the business areas that the group operates in will provide a buffer against the worst of the recession.”

ALEX TURNER