Govt urged to approach shipping lines for demurrage waiver like India

LAHORE: The business community has appealed the government to approach international shipping lines and ask them to waive the detention cost (demurrage) in Pakistan, in line with the exemption of detention fee announced in India because of the lockdowns.

In a letter to Maritime Affairs Minister Syed Ali Haider Zaidi, Friends of Economic & Business Reforms (FEBR) President Kashif Anwar pleaded that like the waiver of detention fee in the neighbouring country, Pakistani government should also write to all the ‘Agents’ of ‘Master Shipping Lines’ in Pakistan, convincing them to waive of detention cost because of lockdown.

These shipping companies should provide the same facility to the Pakistani importers, which they had announced in other countries including India in view of the lockdown position, he added.

Anwar further stated, “We want to bring into your kind notice that the Mediterranean Shipping Company (MSC), the Principal shipping line through their agents MSC Agency (India), has circulated an advisory note, dated 30th March in India, clearly mentioning that MSC understands the lockdown has had a cascading effect on the import cargo clearance. As a gesture to our esteemed clients, in this time of crisis, MSC shall extend free time on detention charges for all MSC Import Boxes lying un-cleared from March 22nd till April 14th 2020. The free time for stated period shall be applicable to shipments discharged on or after March 5th, 2020 at any Indian Port and the free time shall be over and above the contracted free time at the time of booking.”

The FEBR president said the importers like other communities have the right to be facilitated. “They want to release their consignments but are stuck due to financial crunches, so keeping in view the incentive packages announced for the trade and industry the government should also instruct all port authorities not to charge demurrage until the lockdown is over.”

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