Sri Lanka: Two consignments stuck at Colombo Port, foreign companies claim demurrage fee
Mar 18, 2022
Colombo [Sri Lanka], March 18 : The Sri Lankan government failed to clear USD 42 million worth two consignments of jet fuel and diesel which is presently docked at the Colombo port and due to the delay in clearance, the foreign company is now claiming a fee for demurrage, the Daily Mirror reported.
The two consignments consisting of 22,000 metric tonnes of diesel and 22,000 metric tonnes of jet fuel has been docked at the port for five days awaiting payment.
The Sri Lankan government's failure to clear the shipment which led to the shortage of diesel in the market.
The Sri Lankan President's office on Thursday said that the uploading and distribution of domestic Liquefied Petroleum Gas had started after people got frustrated with the lack of gas available in the market.
Meanwhile, local primary gas suppliers of Sri Lanka, Litro Gas Lanka and Laugfs Gas were forced to stop their operations due to the unavailability of stocks.
Airline operations are working smoothly and no shortage of jet fuel is reported but if the present shipment of jet fuel is not cleared soon, then airline operations can be affected, according to Daily Mirror citing the sources.
Earlier, the Sri Lankan Finance Minister met Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman and Foreign Minister S Jaishankar as Sri Lanka sought financial aid from India.
India has stepped up to help the island nation to overcome dire financial constraints caused by external debt payments and a lack of US dollars in the country for business.
Sri Lanka on Thursday signed USD 1 billion credit line with India for procurement of food, medicines and other essential items.
"Neighborhood first. India stands with Sri Lanka. USD 1 billion credit line signed for the supply of essential commodities. The key elements of the package of support extended by India," Jaishankar tweeted.
Sri Lanka's financial crisis began with the Easter Sunday attacks in 2019 and the situation deteriorated when the tourism rate fell and the government granted 25 per cent tax breaks to investors.
