Staff Reporter
Karachi
The Karachi Chamber of Commerce & Industry (KCCI) has expressed its dismay and concern at the helplessness of the importers and exporters who are being exploited by shipping lines operating to Pakistani ports by taking advantage of lockdowns of over two months and charging hefty amounts of container detention charges and penalties from consignees.
Due to the long period of lockdown and closure of industries as well as transport, importers were unable to obtain clearance from Customs and take delivery of their imported cargo well beyond the allowed free time.
Consequently, the agents of shipping lines are recovering penal charges which may range from $150 to $250 per container per day, in addition to other charges and penalties at their discretion. Moreover, in total disregard of the foreign exchange regulations, the conversion rate of Rupee to Dollar is taken as Rs.167 to Rs.168 during April and early May 2020 against the official rate of Rs.159 to Rs.161 to a dollar.
It is noteworthy that Pakistani ports are the most unregulated in the region with lax rules having no clear guidelines, regulatory framework or specified tariffs for container detention, Terminal Handling Charges (THC) and other miscellaneous charges outside the THC which are unjust and illegal. Ministry of Maritime Affairs has hardly paid any attention in the last two years of present government to regulate the activities of shipping lines and their agents.
To some extent Statutory provisions in the Customs Act 1969 and relevant Rules, confer powers to the customs authorities to regulate the functions of shipping lines and monitor their charges. But in the present unprecedented crisis of COVID-19, FBR and Customs Preventive have also failed to come to the rescue of importers and protect Pakistan’s economic interests in the face of immense clout and ability of the shipping lines to circumvent any such leverage by Customs.