DAMMAM: The acting director general of Dammam's King Abdul Aziz Port has denied press reports about threats by foreign shipping companies to boycott Saudi ports if the ongoing crisis at the port is not resolved.
"This is not correct. The Kingdom's ports, including Dammam port, have been employing highly advanced systems and procedures as well as equipment for loading and unloading cargo just like other major ports in the region," Abdullah Al-Hamad said in a letter to Al-Riyadh Arabic newspaper.
He added that around 4,000 tons of cargo is unloaded at the port every day.
"The number of cargo ships visiting the port has shot up. There is also a relative jump in the average amount of cargo that is unloaded each day from 2,000 to 4,000 tons," he said.
"The port management is keen to follow up on the functioning of the port, especially the loading and unloading of cargo from ships. Our working team is closely watching the movement and handling of goods and other services offered at the port," he said.
Referring to press report about a drop in the unloading of packaged goods at the port, Al-Hamad said this only constitutes less than five percent of the total volume of goods that reach the port.
He attributed the delays to the inability of a new contractor assigned to undertake operations at the general goods depot to hire employees.
"The new contractor was not in a position to hire a sufficient number of workers to unload cargo," he said, adding that the authorities will take appropriate punitive measures against the contractor for the delay.
Meanwhile, the Chamber of Commerce and Industry in the Eastern Province has accused shipping agents of deliberately delaying the unloading of cargo at the port.
Waleed Al-Ghaithar, chairman of the Customs Clearance Committee at Asharqia Chamber, said shipping agents are responsible for the delays that have led to long queues of trailer trucks, which have been waiting to offload their empty containers and take new cargo since Wednesday, Al-Riyadh newspaper reported.
"The shipping agent is the first beneficiary of the crisis. They can charge SR100 per container for each day that cargo is delayed after the allowed time which is 15 days for ordinary containers and 10 days for refrigerated ones," he said.
He added that the long queues are not a result of delays in loading containers but delays in clearing empty containers from trucks following delivery of containers to warehouses in the eastern and central regions.
"There are 14 shipping agents engaged in unloading and loading shipments at the port. Even though these companies handle about 65 percent of the entire operation of shipping companies at the port, they have done nothing to improve efficiency," he said, adding that they continue vying for contracts.
Al-Ghaithar attributed this to the absence of rules that would force them to pay compensation to traders or importers due to delays in delivery of cargo.
"Some trucks had to wait from 8 a.m. until 3 p.m. to clear their empty containers while others had to remain in queues for a second day as counters close at 5 p.m.," Al-Ghaithar said.
He added that there have been no problems or delays in clearing customs.
"The Customs Clearance Committee at Asharqia chamber had earlier presented several proposals to solve the problem. These included designating separate wharves for goods for import and export as well as for parcels and vehicles," he added.
A source close to the shipping agents played down the allegations, saying that things are normal at the port. He declined to comment on Al-Ghaithar's comments.
Traders and those who work closely with the customs at the port, however, said the situation was exacerbated deliberately by vested interests.
© Arab News 2010
