Force Major notification for Major Ports, All Icd & Cfs, Shipping Lines w.e.f 22/3 to 3/5
To
Chairperson & CMD
All Major Ports
Sub: Issues at Major ports relating to:
- Exemption/ Remission of charges
- Force Majeure
Due to COVID 19 Pandemic and lockdown measures in several countries, the logistic chain has been severely disrupted and associated production & consumption centres have been affected. The logistic chains are going through an unusual and massive shock from the disruption on the supply-side as well as the demand side. The logistic chain related businesses including traders, importers, exporters, port operators, shipping lines, transporters are facing huge challenges in maintaining their businesses due to lower trade volume as well as cash flow issues. Therefore, it is required that some relief measures are taken to support and rebuild the logistic chain.
2. Ministry of Home Affairs, Government of India has issued order No 40-3/2020-DM-I (A) dated 24.03.2020 and subsequent order dated 14/04/2020 along with its amendments to impose lockdown from 22nd March to 3rd May 2020 (hereinafter “Lockdown Period”) to contain COVID 19 Pandemic in the country. The Lockdown measures and associated disruptions in logistic chains have impacted the Indian ports and port users. There is an impact in the form of drop-in imports & exports volumes, delay in evacuation of cargo, cash flow issues, etc. resulting in the inability of port users, concessionaries and other stakeholders to fulfil their obligations to port authorities and banks/lenders. In view of this extraordinary situation and after considering the representations received from various stakeholders, all Major Ports are directed that:
3. Remission of charges to Port Users
(i) Storage Charges: Ports shall allow free storage time to all ports users for the Lock-down Period.
(ii) Lease rentals, licence fees related charges: Ports shall allow deferment of April, May and June months, annual lease rentals/licence fees on pro-rata basis, without any interest, if requested by lessee/licensee. This shall be applicable only for the annual lease rentals/license fee to be received by the port for the year 2020.
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