Cargo operations at Male’ Commercial Harbour are facing delays after a surge in vessel arrivals, disrupting port efficiency and affecting vessel operators. These continued delays could impact the economy in the coming days.
According to Maldives State Shipping (MSS), the surge in ship arrivals has led to congestion at the harbour, slowing unloading activities. MSS noted that cargo movement between Sri Lanka and the Maldives has also been badly affected. The company is working to identify the causes and minimize the impact on customers.
The delays occurred shortly after a major policy change was introduced on January 25, when Maldives Ports Limited (MPL) granted uninterrupted access for foreign vessels to enter Male’ Commercial Harbour, combined with the seasonal surge in traffic for Ramadan.
According to industry professionals, the buildup of cargo also increases the cost and freight rate. They noted that the government needs to do more to enable the port to function 24 hours a day. Both in cargo operations and clearance, to help keep costs down.
Container vessels have been idling at Male’ port for days before the discharging commences. Ship operators end up bearing the heavy cost due to the delays caused by the inefficiency of the port operator. This chain reaction causes the liners to pay heavy storage charges as the port retains the containers for days without loading them back. The end result will be that the vessel operators and the container lines will have no choice but to increase the freight rates to compensate for the losses.
With Ramadan approaching fast, now the importers fear that their cargo will not arrive in time for Ramadan. If that happens, the goods cannot be sold and may face huge losses for them. According to many importers and traders, the costs, and therefore the prices, will skyrocket during the coming couple of months.
If the corrective measures are not taken immediately, the situation may continue for some time. The shipping companies might take drastic measures for their survival, and ultimately, the consumers will have to pay the price.
