Port mishandling costs traders millions of riyals

Port mishandling costs traders millions of riyals
Updated 22 September 2013
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Port mishandling costs traders millions of riyals

Port mishandling costs traders millions of riyals

More than 500 textile and garment dealers have incurred losses of up to SR300 million in the last three months owing to delays or rejection of the imported containers at the Jeddah Islamic Port.
In addition, bureaucratic hassles and the lack of a clear mechanism for the inspection of goods hindered the timely delivery of containers.
Muhammad Al-Shihri, chairman of the Textiles Committee at the Jeddah Chamber of Commerce and Industry (JCCI), said that the committee had filed a complaint with local bodies, including the Saudi Customs, pointing out the lack of a clear mechanism for the inspection of merchandise and the delay in delivery to dealers.
“The committee has set out a time frame for goods being delayed at the ports for up to a month only and up to three months in extreme cases. This was based on the condition that the goods should not lie on the floor of the port for more than three days,” said Al-Shihri.
He demanded that unified methods and mechanisms be implemented at all checking points.
“We have asked for a change in the personnel authorized to handle samples. We pointed out the many mistakes made in the procedures owing to lack of awareness in this area,” he said.
Al-Shihri said that workers at the Saudi Customs divisions needed to improve their qualifications as well. They would be trained to see disparities in the specifications of ready-made garments, the variations in testing methods and their results.
Mistakes often occur while handling shipments and samples. Workers may lose track of the data or randomly transfer samples into garbage bags instead of putting them into special plastic bags as is the practice in other countries.
“The committee has submitted the demands of the merchants to the Saudi Arabian Standards Organization. The organization will develop a draft for the unified specifications of garments and textiles, according to international standards,” he said. He added that these specifications are to be updated every three years.
In an earlier meeting, the committee demanded the endorsement of the laboratory certificate of the shipment’s country of origin.
Al-Shihri said the crisis escalated when big shipment companies refused to transfer their goods to the Jeddah Islamic Port owing to the long delays at the port.
Losses aside, the delays of shipments of garments and dresses mean that the merchandise will be out of fashion. “At this point of time, it has either to be resold at a loss or sold at a discount in local markets,” he said.