JAAF calls for evidence before Colombo Port charging rules are changed
Apparel industry says a US$50 million forex leakage claim needs to be tested, and that exporters need cost certainty The Joint Apparel Association Forum (JAAF) is calling on the authorities to test a reported claim that Sri Lanka “could be losing” more than US$50 million a year in foreign exchange through Colombo Port charging arrangements […]
The Joint Apparel Association Forum (JAAF) has called for evidence before any changes are made to the rules governing the Colombo Port charging arrangements. This comes after the Ceylon Freight & Logistics Association (CEYFFA) reported that Sri Lanka could be losing over US$50 million annually in foreign exchange through these rules.
CEYFFA's General Secretary, Inam Caffoor, made this claim at a press conference on October 31, 2026, but provided no proof or calculations to back up the assertion. JAAF Secretary General Yohan Lawrence emphasized that apparel exporters plan their costs around the freight charges they receive, and a claim of this magnitude requires investigation.
The four principles outlined in Gazette No 2334/26 of March 31, 2023, ensure fair trading and prevent unjustifiable charges for exporters. These principles include the cost of carriage being all-inclusive, the contracting party paying for the service, goods landing with either "Freight Pre Paid" or "Freight Collect" labels, and only the Delivery Order (DO) fee being permissible outside the freight for imports into Sri Lanka.
Critics argue that CEYFFA's claim lacks evidence and relies on unsupported assumptions. For instance, the port's charges are set by tariff, and the Sri Lanka Ports Authority has been collecting these fees in USD since June 2022, which would be considered an inflow, not a leak. Additionally, the freight rate itself is a payment by shipping lines for transporting cargo abroad during international shipments, and is not inherently unlawful.
JAAF seeks answers to five questions: Who is losing the money? Who is receiving it? Which transactions are involved? What is the legal basis? And finally, how was the figure calculated? The forum supports CEYFFA's call for a consultative mechanism involving all stakeholders, but insists that exporters should have a say in the decision-making process.
Lawrence concluded that if there is a genuine loss, it should be identified and rectified; if not, the public should be informed accordingly.
Written by urgent.news from The Island Sri Lanka's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
