KARACHI: Federal Minister for Maritime Affairs Ali Haider Zaidi has committed to FPCCI President that demurrage/detention charges incurring over the extended Eid holidays/lockdown will be waived.
A delegation led by President FPCCI Mian Nasir Hayat Magoon, who called on the Minister; along with Khurram Tariq Sayeed, Founder President of Pakistan Foreign Investors Forum (FIF) and Sheikh Sultan Rehman, SG FIF.
Mian Nasir Hayat Magoon emphasised that the shipping companies only allow limited days of free storage from the date of arrival of the cargo; and, due to the banks being closed over the extended Eid Holidays/lockdown, the documents would not be cleared within stipulated period and that will expose the cargo to hefty demurrage/detention charges.
Furthermore, FPCCI President said that the Carriage of Goods by Sea Act and Bill of Lading Act have been languishing in the Parliament for over 15 years now; and, the PTI Government must make sure that these Acts are passed without further delay. Resultantly, the various charges, including shipping company charges can be streamlined once and for all. He further stated that presently the sector is being governed by hundreds of years old law, whereby steam ships and containers are still referred to as sailing ships and crates.
Mian Nasir Hyatt Magoon also appreciated Ministry’s vision under Ali Haider Zaidi’s leadership in formulating new shipping policies related to Transhipment and Deep Sea Fishing; which, once promulgated, would make Pakistan a very attractive transhipment market; aid in export of value-added seafood; and generating foreign exchange inflows to Pakistan.
President FPCCI also raised the issue of non-inclusion of FPCCI nominee on KPT Board; on which the Minister assured the President FPCCI that one nominee of the apex representative business, industry, and trade body of Pakistan will be inducted in the KPT Board.
Khurram Tariq Sayeed highlighted the issue of high energy cost in Pakistan and drew attention of the Minister - who also happens to be a member of the Cabinet Committee on Energy (CCoE) - to the fact that, on one hand, Federal Government is not letting Wind & Solar Projects of 617MWs, which were awarded lowest tariffs in country’s history at an average of US Cents 3.64/Kwh (Pak Rs5.9/Kwh), from moving forward and materialising. But, on the other hand, they are signing a new project of 1263MW on imported RLNG that will produce much expensive energy between US Cents 6/Kwh to 11/Kwh (Rs9.7/Kwh to Rs17.8/Kwh) and will also add to circular debt and import bill in foreign exchange. Zaidi assured that he will take up the matter with relevant authorities.
The Minister was ably assisted by Nadir Mumtaz Warraich, Chairman Karachi Port Trust (KPT); Mahmood Moulvi, Advisor to Ministry of Maritime Affair; Rizwan Ahmed, Federal Secretary Ministry of Maritime Affairs; while Adnan Asad, Ex President American Business Council was also present during the meeting.
President FPCCI Mian Nasir Hayat Magoon thanked the Minister for taking speedy and immediate decisions for the benefit of business community of Pakistan.—PR
Copyright Business Recorder, 2021
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