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Ministry takes notice of non-provision of demurrages, detention relief to importers

Ministry takes notice of non-provision of demurrages, detention relief to importers

LAHORE: In the result of continuous voice-raising by Friends of Economic and Business Reforms   (FEBR) Engineering Development Board of Ministry of Industry and Production Tuesday recommended that until the removal of hardships of COVID-19 at the Ports, the industry should be provided free demurrages and detention charges relief time till the situation normalises.

It was said in view of the representation of FEBR merit consideration is recommended for provision of proper relief from the waiver of detention and other charges as requested by FEBR.

As per the letter issued by  Engineering Development Board of Pakistan, Ministry of Industry and Production with reference of Ministry’s letter No. 1(3) /2020-(IF-) along with the representation of FEBR dated 22.04.2020 regarding  the issue regarding of special relief from demurrages & detention at ports has been examined  in the prevailing circumstances of COVID 19 and EDB is of the view that this pandemic has affected the business community severely.

Specially, due to the Lock Down, the transportation of goods from ports to their relevant destinations has become very critical. Which resulted in piling up of imported shipments at ports and extra charges were claimed from the importers who are already fighting for their survival & living.

Although, Federal Board of Revenue, Karachi Port Trust (KPT) and Ministry of Maritime Affairs vide their letters / notifications dated March 31, 2020, April 22 & 23, 2020, respectively (copies enclosed) have provided relief from payments of detention charges. However, as informed by FEBR, in their presentation, that the relief is not extended at all the ports/ terminals and relief period is also very short where as Corona impact is increasing day by day.

In view of above the representation M/s FE&BR merit consideration and is recommended for providing proper relief from the waiver of detention and other charges as requested by FEBR.

It is also recommended that till the removal of hardships of COVID 19 at the Ports the industry may be provided relief till the situation normalizes.