GPEI Rejects Local Charge Imposed By Shipping Company

MEDAN – Indonesian Exporters Association (GPEI) North Sumatra rejected international shipping company MSC Mediterranean Shipping Company S.A. plans on imposing local charge with no apparent reason.

Chairman of the Joint Indonesian Exporters (GPEI) North Sumatera Khairul Mahalli confirmed its members would refuse any kind of fees charged by shipping companies since exports from Indonesia have been using the FOB terms of delivery.

“Exporters are already using FOB terms of delivery. Those who rent ships are foreign buyers. So who is responsible for all costs incurred are them, instead of exporting companies,” he told Bisnis, Monday (4/7/2014).

According to him, all exporters use FOB terms of delivery, in this case those who rent the ship to the shipping company is the buyer. He said the buyer is responsible for the ship from the local to the destination country.

Previously, M.S.C Mediterranean Shipping Company SA which is mediated by PT. Perusahaan Pelayaran Nusantara Panurjwan will impose new tariffs for local charge, with no apparent reason.

If there’s any local cost to be borne by the exporter, Khairul said this should have been regulated by the government as it concerns international trade. “The local charge from the shipping company is illegal,” he said.

http://business.bisnis.com/business/read/20140407/97/26827/gpei-rejects-local-charge-imposed-by-shipping-company

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