Container congestion shows no sign of easing off: Will it impact food imports?

• CNL Reporter
• January 28, 2025
• News
• Container congestion shows no sign of easing off: Will it impact food imports?
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With congestion in the release of import containers at Colombo still showing no sign of easing off any time soon, there is fear whether it will trigger an impact on essential food items being imported.

An official of the Sri Lanka Ports Authority (SLPA) said a large number of import containers are stuck at the port.

Earlier, Sri Lanka Customs, at a meeting with President Anura Kumara Dissanayake agreed to work 24 hours to clear a backlog of import containers. The official said the congestion stemmed from the moves by Sri Lanka Customs to physically examine import containers marked for green-channeling.

“This is one reason which triggered the congestion initially. Sri Lanka Customs started doing so since contraband were found inside some containers. For example, there was a vehicle inside a container declared as spare parts,” he said.

However, the Ministry of Transport, Highways, Ports and Civil Aviation said that the daily target of clearing and gating out containers had not yet been met, and congestion had aggravated as a result. According to the Ministry, at least 1,500-2,000 containers should be gated out daily to ease off the congestion, yet the number handled falls far below the target. The government is at a loss to take tough action against customs workers, fearing any trade union action by them will lead to a major crisis, according to a source.

A Ministry source said that there is a lack of cooperation from Customs workers in dealing with the crisis. A 5-acre plot is now earmarked in the Bloemendhal area of the port for storing containers pending investigation, as a step to address the current crisis.

Asked for a comment about the possible impact on food imports, a spokesman for the Essential Commodities Importers’ and Traders’ Association said perishable food items are released without any hassle, but there is a delay- a day or two- in gating out containers with dry items.

He said the delay involves payment in terms of demurrage charges.

“There is no major crisis at the moment. If it worsens, it may impact wholesale and retail prices,” he said.

DMN