Edible oil importers: FWO Jetty accused of overcharging

17 Oct, 2010

The Pakistan Vanaspati Manufacturers Association (PVMA) has accused FWO Jetty-Liquid Cargo Terminal (LCT)--of overcharging edible oil imports from Malaysia. In a letter to the Minister for Industries and Production, Hazar Khan Bijarani, Secretary General, PVMA, Zafar Hamid Hashmi, said that the jetty''s "hegemonic role" should be eliminated.
The Association complained that the Liquid Cargo Terminal (FWQ Jetty) which was established in 2009 is charging $2.32 (Rs 200) per ton as handling fee on import of edible oils, whereas at Marginal Wharf (MW Berth No 1) port handling charges are charged @ Rs 47 per ton.
The edible oil importers were getting their consignments unloaded at the MW1 but all of a sudden the Port Qasim Authority (PQA) has directed that consignments are now to be unloaded at the FWQ Jetty only. Hashmi has requested the Minister for Industries to issue necessary instructions to the (PQA) and allow them the option to get their consignments unloaded either at the Berth MW-1 or the Jetty of the FWO.
PVMA currently boasts of 94 member units which manufacture vegetable ghee/cooking oil in all the four provinces and the federal capital. The major component of vegetable ghee produced in Pakistan is the RBD palm olein, RBD palm oil imported from Malaysia. Imports of Malaysian palm oil are around 1.8 million tons annually. The member units of the PVMA are contributing around Rs 40 billion annually to the government exchequer in the form of various duties, taxes and tariffs for the utilities, etc.

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