RIYADH: A group of traders and customs clearance offices have threatened legal action against Saudi Railways Organization (SRO) for delayed container shipments from Dammam to Riyadh.
They unveiled plans to file a complaint with the Court of Grievances seeking compensation from SRO for losses they say they incurred from the delays.
Musaed bin Hamad Al-Sayyari, chairman of the National Committee for Customs Clearance at the Council of Saudi Chambers of Commerce and Industry, claimed SRO's failure in the prompt shipment of containers was the major reason for the current food shortages and price rises in the capital, Al-Riyadh Arabic daily reported on Wednesday.
Al-Sayyari also said that the railway's perceived incompetence had created chaotic situations, forcing businessmen to pay more than they should through no fault of their own.
"Traders and owners of goods were forced to pay a huge amount of money in fines caused by the delay in clearing goods from the warehouse facilities at King Abdul Aziz Port in Dammam and the Dry Port in Riyadh," he said.
"We held several rounds of talks with SRO officials in our bid to remove hurdles and facilitate smooth transportation of goods from Dammam to Riyadh. All these meetings have produced no concrete results. Hence, we have decided to approach the Court of Grievances."
Al-Sayyari announced plans to seek compensation from SRO for all the fines that those affected have had to pay, in addition to the additional charges imposed on them by SRO and international cargo companies.
"We had to pay all these extra expenses only because of the delay on SRO's part in the delivery of our goods," he added. "The current shortage of food and subsequent increase in their prices, especially when the fasting month of Ramadan is only three weeks away, is their fault."
He added that nearly 3,000 containers of foodstuffs and medicines, which he claimed would help stop prices increasing further, were stuck at Dammam port.
Al-Sayyari said his committee also visited ports and railway stations to end the current stalemate by working out a joint plan. "But all these efforts ended in failure."
Al-Sayyari noted that SRO earlier had received directives from Minister of Transport Jabara Al-Seraisry to improve its efficiency as well as to ensure power supply to refrigerated containers in goods train carts.
"However there have been no steps taken by SRO officials in Riyadh and Dammam to implement these directives," he said.
Al-Sayyari also blamed SRO for its inaction and improper maintenance of railway stations, railroads, trains and goods wagons in both Riyadh and Dammam.
"Traders are the biggest losers. One trader incurred losses of SR700,000 due to the delay in transporting goods from Dammam to Riyadh Dry Port and improper stocking of goods," he said.
Al-Sayyari urged Al-Seraisry to intervene and put an end to the crisis and take action against officials at SRO who he claimed were responsible for the crisis.
"When I contacted Hamad Al-Abdul Qader (an SRO official in Dammam), he said the shortage of railway carts was the reason for the delay in the transportation of around 3,000 containers to Riyadh," he said.
He noted that SRO had promised to arrange for trucks to transport the goods. "This would cost traders too much money, in addition to putting heavy pressure on the roads between Dammam and Riyadh," Al-Sayyari added.
Officials at SRO have hit back at Al-Sayyari's claims, saying that traders failing to clear food stocks from railway stations were to blame.
"There has been no response from traders to the directives given by the Ministry of Transport and SRO to clear the stocks accumulated at the railway station yards," one of them said. The officials expected the crisis to last for about six days.
Al-Abdul Qader, who is SRO's deputy chairman for operations, also refused to allow SRO to take full blame.
"Our operations involving the transportation of goods to Riyadh were on schedule," he said.
However, he later admitted that a shortage of railway carts also contributed to the delays.
He confirmed that containers belonging to an international company have been left at railway stations for a long time. "This hampered the prompt delivery of containers that arrived afterward," he said.
© Arab News 2010
