News

Thousands of vehicles jammed in Colombo port

Importers may have to pay about Rs. 1 million more
By Chris Kamalendran

Four ships carrying more than 2,000 vehicles including cars have been anchored in the outer harbour of the Colombo Port for more than two weeks due to lack of space to unload the cargo, officials said yesterday.

The situation has been aggravated as car importers have delayed clearing the cars which have already been unloaded in the Colombo port due to the huge increase of vehicle prices after a tax increase enforced from April 01.

Sri Lanka Ports Authority (SLPA) spokesman Nalin Aponso said some 1,400 cars already unloaded had not been cleared after the tax increase. “In addition we are also expanding the road network within the Port limiting the area for parking,” he added.

The delay in unloading of the vehicles from the ships is also forcing importers to pay demurrage to the shipping lines, further raising car prices which have already been increased after the tax revision.
All four ships have arrived from Japan.

Vehicle Importers’ Association President Lanka Sampath Merenchige said some of the car importers and individuals were finding it difficult to clear the vehicles imported as the price hike due to the taxes, currency fluctuation and delay charges amounted to more than Rs. 1 million.

Meanwhile, on Friday a discussion was held among vehicle importers, the SLPA, the Customs and shipping line representatives to find a solution. The vehicle importers had requested that the state authorities provide a solution within the next two weeks to prevent vehicle prices rising further.

During the discussion, officials had pointed out that they could overcome the problem by unloading the vehicles in Hambantota harbour from May 31.

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