Import delays threaten soaring costs for consumers as importers near heavy losses

Thursday, 16 January 2025 02:53 - - {{hitsCtrl.values.hits}}

Major importers yesterday revealed that they are facing increasing costs due to delays in releasing over 1,000 containers, with additional expenses exceeding Rs. 100 million.

These containers include essential food items, raw materials, and other critical goods. The delays are causing importers to incur extra costs of over Rs. 100,000 per container, with some facing expenses as high as Rs. 300,000 due to increased transportation charges, port delay fees, and additional staffing needs.

The situation has raised concerns about a potential rise in the prices of goods, as importers warn that the added costs will inevitably be passed on to consumers.

As per the importers, this financial burden is beyond their control as the delays are linked to inefficiencies at the Colombo Port rather than any fault on their part.

Sri Lanka Logistics and Freight Forwarders Association (SLFFA) Chairman Channa Gunawardena highlighted that container transport vehicles are now spending over three days in port queues. “Each day of delay adds Rs. 50,000 to Rs. 100,000 to the cost borne by the importer, with further increases for prolonged delays,” he added.

The delays have also impacted logistics at a larger scale with reports suggesting that 30 cargo ships have bypassed due to the crisis, raising concerns about supply chain disruptions.

Separately, Sri Lanka Customs Media Spokesman and Additional Director General Seevali Arukgoda stated that all taxes on the delayed containers will be collected before release. However, around 600 boxes still await clearance, adding to the mounting strain on traders.