Rice consignments: Kenya Port Authority agrees

Kenya Port Authority (KPA) has agreed to waive port demurrages on Pakistani rice consignments, stuck at the Kenyan seaport due to cancellation of license of two harbour yards.The rice consignments of over 1,300 containers carrying 37,000 tons rice cargo have been held up at Kenyan seaport since January 20, 2016 as license of two port yards namely Auto Ports Container Freight Station (CFS) and Portside CFS have been cancelled and release of rice consignments linked with 100 percent examination.Exporters said the abrupt closure of two CFS yards disrupted the normal cargo clearance at Mombasa Port. Accordingly, the delay in the release of the cargo forced the Rice Exporters Association of Pakistan (REAP) to intervene and safeguard the interests of rice exporters of Pakistan.The value of rice consignments is approximately$13 million and all local taxes and duties have already been paid.Representing the rice exporters, Rafique Suleman, Chairman FPCCI Rice Export Committee and immediate past chairman REAP is currently in Kenya to resolve the issue. On behalf of REAP, Suleman is making efforts for early release of rice containers without examination.Rafique Suleman toldBusiness Recorderover the phone from Kenya that Pakistan High CommissionNairobi has arranged urgent meetings with several port officials to ensure the timely release ofconsignments."I together with Amir Mohyuddin Commercial Counselor met Madam Catherine Muturi, Managing Director, Kenya Port Authority (KPA), Soodi KIFWA, Operation Manager, KPA and Eric Gitonga, Chairman, KIFWA Mombasa at KPA MD's office Wednesday and discussed the issue in detail," Suleman said.During the meeting, it was agreed that KPA will waive all demurrages and storage/re-marshalling charges that may have accrued due to the policy change, however, the waiver will be given only to the container, details of which will beprovided by REAP.Accordingly, KPA has asked REAP to provide the details of Bill of Lading along with container numbers of the consignments lying at the KPA, Suleman said.He said another meeting was held with Robert - a representative of Kenya Revenue Authority (KRA) stationed at KPA, to outline the procedure for releasing and removing the balance containers of Pakistani rice exporters. Meetings with KPA and KRA representatives were very fruitful and created a way forward to clear the held up cargo that was nominated to the closed CFSs, he added."We have also asked for a deadline of 15th March, 2016 for removing the balance rice consignments from KPA without any storage or additional charge and KPA officials are almost agreed to it," Suleman said. He said Eng. Khurram Dastgir KhanFederal Commerce Minister has also taken promptaction and approached the top Kenyan authoritiesto resolve the issue on an urgent basis.Suleman also appreciated the efforts being made by Raza Bashir Tarar, High Commissioner of Pakistan at Nairobi, Amir Mohyuddin and Ministryof Foreign Affairs, TDAP and for their active involvement to resolve this critical issue in the larger interest of survival of rice export industry.Meanwhile, Khurram Dastgir in a letter sent to Amina Mohamed cabinet secretary ministry of foreign affairs and international trade Kenya, has requested early release of Pakistani rice consignments without additional charges.Dastgir has also asked for withdrawal of 100 percent examination condition imposed on stuck rice consignments.News SourceNews Collated byPAKISSAN.comCourtesy Business Recorder