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| Sunday, 27 June 2004 |
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Inadequate space affects Lankan exports by Hiran H.Senewiratne Sri Lankan exports have been affected in the recent months as ships calling colombo do not have the adequate space to take the cargo. This has resulted in a slow movement of outbound cargo from the Colombo port, states ports sector analysts. According to the Port Authority source, although there has been a steady increase of vessels calling at the Colombo port, from Far East to Europe and USA, movement of Colombo outbound cargo has dropped. Sources say that loading of South Indian cargo from Colombo is also a reason for Sri Lankan exporters to face the problem of space. "Sri Lankan exporters have been encountering a major problem of obtaining space for their cargo which results in cargo getting accumulated and they cannot fulfil the buyers deadlines. This situation might even result in our exports being rejected," a leading exporter said. A leading ship agent said that at present only 100 TUs for a month have been allocated, which is not at all adequate for local exporters. "Our local exports have been effected due to the reduction of space at the port," another ship agent said . While some analysts said that it is economical for vessels to sail empty rather than load cargo from Colombo. Secretary to the Ministry of Port and Aviation Ariyaratne Hewage, said that this issue had not been brought up for discussions at any meeting. Chairman of the Institute of Chartered Ship Brokers, Maxwell de Silva, said that this problem arised recently as the Colombo port was busy with vessels that came from Far-East countries to Europe and USA. de Silva said the reason for the increase in the number of vessels calling at the Colombo port was due to the lowest port charges in the region. He said that due to this rolling situation at the port, a large number of export cargo has been stuck at the port premises because of the slow movement. "The non- existence of a liner system for the country and the slow function of the Ceylon Shipping Corporation (CSC) are adding insult to this injury," he said. CSC should take a vibrant role to promote Sri Lankan exports by expediting the movement of export cargo, he noted . Immediate Past Chairman of the Association of Clearence and Forwarders Agents, M.S.M. Niyas said that despite the number of ships call being maintained consistently at the port, it has been found that due to higher prices fetched for freight available from the next port of call, the Colombo outbound cargo cannot command space availability. General Manager Greenlanka Shipping Lines, H.Y Sally, said that this being a peak season coupled with the economic boom in the Far-East region it has effected the local exports. He said that this was temporary problem and it would be solved within the next few months. International Marketing Manager Ceylon Tea Service Ltd (CTSL) (a subsidiary of MJF Group), Roshan Tissarachchy said that company's exports were effected in April.He said that they have tried to export 10 containers of tea , but were able to send only five of them while the other containers were shut out.Now we have been able to sort out the problem due to the goodwill we maintain with the shipping companies. Another leading exporter in the country said that local exports have become un competitive due to the high logistic costs.(60 per cent to 70 per cent). He added that local exports have been severely effected due to the lack of space in the ships calling Colombo. The most affected are the LCL Cargo. Some businessman said that this may be due to a sabotage by some elements to bring discredit to the UpFA Government. |
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