Colombo Port clearing backlog
View(s):The Colombo Port is working on clearing its backlog even as exporters insist their problems are yet to ease off.
Sri Lanka Ports Authority (SLPA) Chairman Gen. Daya Ratnayaka told the Business Times on Thursday that they will be clearing the backlog within a week.
Ceylon Association of Shipping Agents Chairman Iqram Cuttilan asserted that the congestion at the Colombo Port is continuing as berthing delays are likely to take about a week to 10 days to ease off and transferring of cargo between terminals can take about three weeks to ease.
He noted that currently authorities are trying to ensure that transshipment cargo meant for India could be picked up from the Colombo International Container Terminal (CICT) and South Asia Gateway Terminal (SAGT) terminals. This could ensure space is created for the transshipment cargo destined for Europe and the US since most of those vessels call at CICT and SAGT terminals.
Mr. Cuttilan pointed out that the three terminals are trying to work together but observed that the one operations room concept was not working to expectations.
Meanwhile this week’s cyclone impact on Sri Lanka has also resulted in spells of work stoppage as a precautionary measure since the gantry cranes cannot operate due to strong winds.
Certain vessels bound for Colombo are now heading directly to other ports without coming to Colombo and have scheduled their routes accordingly, he explained.
Exporters indicated that they were still observing vessels bypassing Colombo Port as a result of which they would be delayed in getting their raw material by one month as these vessels cannot be delayed by a couple of hours that could cost them a slot at the next port of call.
Mlesna Founder and MD Anselm Perera said that though imports were delayed, exports were not.
He noted that they have been capable of shipping their goods without an issue adding that “there are slight delays and that is understandable” as there are packaging materials import delays.
Port congestion has impacted on apparel exporters as well as immediate past Chairman of Sri Lanka Apparel Exporters Association Rehan Lakhany stated that this had a major impact as vessels were bypassing and those coming from China had been unloaded in other ports.
This would mean that it would take about two to three weeks in getting them shipped back to Colombo as a result of which orders would either get cancelled or they would have to be air freighted, increasing costs to the exporter.
Clearing of full containers have reached near normalcy following the intervention of the President, Mr. Lakhany said.
But import items like accessories and fabrics that arrive on loose cargo will go through other ports due to berthing delays and as a result once they are unloaded there is still an issue with warehouse space, he explained.
Meanwhile the East Container Terminal (ECT) is currently being processed by a Cabinet appointed Negotiating Committee and a Technical Evaluation Committee.
It is learnt that these committees are coming up with the draft of the concession document following which negotiations will commence with India’s Adani Group on the running of the ECT. (SD)