Sri Lanka Port Strike Ends

February 5, 2019

Photo courtesy of Sri Lanka Port Authority
Photo courtesy of Sri Lanka Port Authority

Sri Lankan customs officers on Tuesday called off a strike that left 6,000 containers stranded at the country's main port and put pressure on food prices, after the government agreed to reinstate their boss for three months.

The strike by thousands of officials began a week ago in protest at the sacking of Director General P.S.M. Charles, who authorities blamed for a drop in customs revenue last year.

It was not immediately clear how long the backlog of containers would take to clear after unions said late on Tuesday that the strike had ended.

About 1,000 of the containers hold perishables such as onions and potatoes and any price increases would be passed to consumers, Hemaka Fernando, spokesman for the Essential Food Commodities Importers and Traders Association, said earlier.

The strike has cost the government nearly 20 billion rupees ($113 million) in lost revenue, finance ministry officials said, and any spike in food prices would be likely to accelerate inflation which has held below 5 percent since September.

Nearly 500 food importers have closed operations in Colombo's main market and demanded faster processing of containers.

Customs revenue fell by 146 billion rupees ($820 million) in 2018, missing its target by 13 percent, officials have said.

Unions have blamed the drop on a political crisis that was triggered in October when President Maithripala Sirisena removed Prime Minister Ranil Wickremesinghe and dissolved parliament. Wickremesinghe returned as premier weeks later but the relationship between the two men remains tense.

($1 = 178.1500 Sri Lankan rupees) 

(Reuters, Reporting by Shihar Aneez and Ranga Sirilal; editing by Mayank Bhardwaj and John Stonestreet)

Logistics News

Bangladesh Issues Tender to Buy Additional 50,000 Tons of Rice

Bangladesh Issues Tender to Buy Additional 50,000 Tons of Rice

bound4blue Lands $44m From Investors Eyeing Wind Power as a Scalable Solution

bound4blue Lands $44m From Investors Eyeing Wind Power as a Scalable Solution

Lloyd’s Register, Latsco Chart New Digital Course for Ship Classification

Lloyd’s Register, Latsco Chart New Digital Course for Ship Classification

Advanced Polymer Coatings Signs Deal to Coat Two Methanol Tankers with Fratelli Cosulich

Advanced Polymer Coatings Signs Deal to Coat Two Methanol Tankers with Fratelli Cosulich

Subscribe for Maritime Logistics Professional E‑News

Bangladesh has issued a new tender for the purchase of 50,000 tons rice, traders claim
USDOT: Passengers affected by A320 software updates are not entitled to compensation.
CANADA-CRUDE-Discount on Western Canada Select at widest point since March