Reduce custom delays detrimental to exporters-FIZMA
The Free Trade Association Manufacturers Association (FTZMA) has written to the Additional Director General of Customs (Revenue & Services) to reduce custom delays that are detrimental to exporters.
“Despite having a meeting with you a couple of weeks ago to discuss the issues and concerns made by our BOI enterprises on the subject matter, we observe customs related delays on top of the challenges currently being faced by our enterprises due to operational difficulties caused by the maritime industry owing to lack of space and containers.”
President FTZMA Dhammika Fernando said they see constant delays when clearing LCL cargo from LCL cargo warehouses inside the port due to inefficiencies.
“This is stretching for at least two weeks’ time from the day of de-stuffing. Moreover there is a significant delay in de-stuffing of LCL cargo after the arrival of import containers.”
Fernando also said that customs delays through the trade union action of Sri Lanka Customs is over, our importers are yet experiencing undue delays of around 10 to 14 days in clearing goods.
“Customs are now conducting 100% physical inspections on import cargo without identifying the legitimacy of the importer through the authorized economic Operator (AEO) system which was introduced some years ago. They disregard whether imports are raw materials consigned to BOI enterprises or other merchandise for domestic consumption.”
Regardless of the rates being applied in accordance with the ACTDO tariff, truckers / Trucking companies are increasing transport rates haphazardly due to on-going delays in the ports.
“Exporters are finding difficulty in getting containers for exports due to prolonged delays in clearing import cargo clearance thus leading to a scarcity of containers needed for exports.”
Given the congestion in ports, shipping lines are rolling over or not accepting export cargo bookings.
“We also observed that ocean freight rates too have been drastically increased, adding up to an additional USD 4,000 to 5,000 per TEU.”
Lack of “can-do attitude” of Customs and Port officials except a few, majority of officers both at Customs and SLPA are very lethargic and have a “not to make things happen” attitude as they are highly resistant to persuasion.
“Most of them are often becoming utterly rude and an absolute disgrace to their homeland. We know that attitude change is a difficult thing but it can be done and takes time too.”
These issues are disrupting flow of goods in and out through the supply chain, causing bottlenecks and hindering the movement of products from suppliers to customers.
“We therefore would earnestly request you to address these concerns promptly to mitigate further disruptions and financial burden faced by all stakeholders as a result of increased storage costs and tying up working capital.”
The post Reduce custom delays detrimental to exporters-FIZMA appeared first on DailyNews.