TAMP asks DP World to file a proposal on the new DPD and bulk fees at the Vallarpadam terminal
The Tariff Authority for Major Ports (TAMP), the tariff regulator for major Union government-owned ports, has asked DP World, India Gateway Terminal Pvt Ltd (IGTPL), to file a proposal before it to collect new charges on direct port delivery (DPD) and bulk container movement, an issue that has shaken up the import-export trade (EXIM) in the port of Cochin.
India Gateway Terminal, the entity that manages the International Container Transshipment Terminal (ICTT) at Vallarpadam in Cochin Port Trust, had issued a commercial notice to levy 800 for a 20ft container and 1,200 for a 40ft container. .
Separate commercial notice
The terminal operator has also issued a separate business advisory stating that if a container freight station (CFS) does not move its designated containers as a bulk movement, all containers delivered to that CFS will be charged a CFS displacement of 800 for a 20ft container and 1200 for a 40ft container.
Also, if a CFS that has opted for best-pick / en-bloc delivery requires a container to be delivered on a non-best pick basis, then a travel charge of 2,705 for a 20ft container and 4,058 for a 40ft container container will be billed to CFS for that container, DP World said in the trade notice.
“These charges are not included in the headings of the IGTPL fee schedule approved by TAMP,” a source said. “Therefore, IGTPL was requested to submit a proposal in this regard and have it approved by TAMP.” DP World’s decision to collect the new charges has drawn the attention of trade bodies calling for their implementation to be postponed due to the pandemic and its debilitating effects on the industry.
“Arrive at an amicable solution”
K Ellangovan, Secretary of Industry in the Government of Kerala, alluded to TAMP’s lack of approval of the new charges, in a letter to Mr. Beena, Chairman of Cochin Port Trust. “We learn that the fees currently collected are already included in the terminal handling fees charged by shipping companies, and therefore these fees add to the exorbitant increase in the cost of trade,” he wrote in a commentary. letter of October 5.
“From what I understand, the handling charge at IGTPL / Cochin port terminal is quite high and is almost double the rate applicable in Tuticorin or Chennai. Under these circumstances, all exporters and importers using the Port of Cochin find it difficult to maintain their business, ”Ellangovan wrote in the letter, requesting intervention from the Chairman of Port Trust to“ address industry / customer concerns. trade in general and reach an amicable solution in the best interest of the EXIM profession ”.