Sunday, June 11, 2023
HomeHeadlinesEgypt Introduces Measures to Help Clear Backed Up Ports


To our FREE newsletter
Get all the latest maritime news delivered straight to your inbox.

Egypt Introduces Measures to Help Clear Backed Up Ports

Egypt’s finance ministry has put in place a package of measures to clear a backlog of goods piled up in port, a ministry statement said on Tuesday.

A severe shortage of foreign currency in Egypt over the last six months has sent banks and importers scrambling to pay for the letters of credit needed to get their cargo released from customs. Factories and retailers complain that production and sales have been hurt due to a lack of inputs.

The foreign exchange crisis was triggered by the Ukrainian war and interest rate hikes by the U.S. Federal Reserve.

The package, to be implemented “in the coming days”, is designed to help reduce commodity prices paid by Egyptian citizens, Finance Minister Mohamed Maait said in the statement.

One measures will allow cargoes that have completed their customs procedures and are awaiting the “Model 4” financing to leave ports within “the next few days”, the statement said.

Model 4 is a pledge issued by commercial banks to pay the foreign exporter, according to a 2017 central bank directive. Banks over the last six months have often lacked the foreign currency needed to issue the pledge.

Fines imposed on importers and investors for being late in completing customs procedures will also be suspended if caused by a lack of documents from concerned authorities.

This measure will reduce the financial burden on importers and discourage them from passing on higher prices to consumers.

In addition, shipping agents will be allowed to remove cargo from customs zones and place it in outside warehouses provided they pledge not to release it before they have received permission. This is to relieve investors and importers from the additional cost of storing cargo inside port warehouses.

Source: Reuters

Related Posts


Finance & Economy
Shipping News

Trafigura publishes 2023 interim results showing a strong performance

Trafigura, a market leader in the global commodities industry, released its 2023 Interim Report today for the six-month period ended 31 March 2023. The results...

Globus Q1 results hit by weak dry bulk market

Globus Maritime Limited, a dry bulk shipping company, reported its unaudited consolidated operating and financial results for the quarter ended March 31, 2023. Revenue $8.6 million...

BW LPG appoints new CFO

BW LPG announced that it has appointed Ms Samantha Xu as Chief Financial Officer (CFO), effective 1 September 2023. Ms Xu has over 20 years...

Frontline Posts Highest First Quarter Results Since 2008

Frontline plc reported unaudited results for the three months ended March 31, 2023: Highlights Highest first quarter profit since 2008 of $199.6 million, or $0.90 per...

Diana Shipping posts slightly lower Q1 profit; takes out $123m in loans

Diana Shipping reported net income of $22.7 million and net income attributed to common stockholders of $21.3 million for the first quarter of 2023....

Celestyal Participates In Promotion Of The Tourist Destination Of Central Macedonia

Celestyal, the award-winning, number one choice for travellers to the Greek Islands and the...

Capesize, panamax gains drive Baltic index higher

The Baltic Exchange’s main sea freight index rose for a fourth straight session on...

Baltic rises to over 3-month peak on firm demand for larger vessels

The Baltic Exchange’s main sea freight index rose on Wednesday to scale its highest...

Baltic index logs best day in nearly 3 months

The Baltic Exchange’s main sea freight index posted its biggest single-day gain since mid-March...

Taiwan Shipping Firms Set to Hand Out Bumper Bonuses Again

Taiwanese shipping companies are handing out bumper mid-year bonuses despite a slump in global...

Iraklio port tender set for another delay

The opening of the binding financial offers for 67% of Iraklio Port Authority had been scheduled for Thursday, but this is no longer expected...

APM Terminals extends concession of Kalundborg container terminal

APM Terminals has reached an agreement with the Port of Kalundborg to extend the concession of Kalundborg container terminal by 10 years to 2033. In...

US West Coast port workers shut terminals in showdown over pay

The employers of more than 22,000 dock workers at U.S. West Coast seaports on Friday said the union representing those laborers “is staging concerted...

DP World Completes Terminal Expansion Project Vancouver Port

DP World has completed the AED954 million ($259.78 million) Centerm expansion project, increasing container throughput at the Port of Vancouver by 60 percent. The terminal...

DP World completes AED 954 million Vancouver port expansion

DP World and the Vancouver Fraser Port Authority have celebrated two historic events – the completion of the Centerm Expansion Project at DP World...