Govt instructs shipping lines to waive container detention charges
The Department of Shipping yesterday instructed foreign shipping lines and their local agents never to impose container detention charges on the import containers as a result of the coronavirus pandemic.
It also asked them to come back the charges that have already been collected.
Your choice came in a gathering with stakeholders chaired by Syed Ariful Islam, director general of the Department of Shipping.
Representatives of the Bangladesh Containers Shipping Association, the Bangladesh Garments Manufacturers and Exporters Association, the Federation of Bangladesh Chambers of Commerce and Industry, foreign shipping lines and local shipping agents attended the meeting.
Detention charges include the money that merchants purchase the utilization of container within the terminal beyond the free period and the cost that merchants pay for the utilization of container beyond the terminal or depot beyond the free period.
Usually, containers can stay from five to 21 days without incurring any charges according to the contracts with shipping companies. From then on, $5 to $120 are charged for a container each day in detention charges.
Importers have been demanding the waiver on the container detention charges given that they had to pay a large amount for holding the import containers beyond the agreed period as they could not be studied from the port during the shutdown.
On April 29, the DG Shipping issued a notice advising the shipping lines not to impose the detention charge for March 26 to May 5. Later, the overall holiday has been extended to May 30.
The global shipping lines and their local agents refused to comply, saying the sector is bleeding because of the pandemic.
The World Shipping Council on, may 5 sent a letter to the main secretary to the prime minister and the executive chairman of the Bangladesh Investment Development Authority requesting removing the advisory.
Since the shipping agents continue steadily to accumulate detention charges, the Department of Shipping convened the meeting.
"Every sector has been hurt in this pandemic and all of the stakeholders of the export-import activities have to make sacrifices," Islam said.
The agents would inform the foreign shipping lines, who will be the authorities to impose or waive the detention charges, about the results of the meeting, said Ahsanul Huq Chowdhury, chairman of the Bangladesh Shipping Agents Association.
