Exporters are in trouble due to steep hike in ocean freight rates: CICU

Ludhiana, Aug 16 (KNN) The Chamber of Industrial & Commercial Undertaking’s (CICU) on Monday said that exporters are in panic due to a steep hike in ocean freight rates. 

The matter came up during a meeting today which was conducted by CICU's export committee to discuss the issues such as Drawback and IGST refunds, MEIS, RODTEP Rates, Steep Hike in Ocean Freight Rates, GST Audit and IGST Audits and other matters related to export.

S Upkar Singh Ahuja, President, CICU said that the Export Promotion Committee is working to resolve the issues of members regarding export with DGFT, Ministry of Commerce, Customs and Banks.

''Nowadays exporters are in panic due to a steep hike in ocean freight rates. He also mentioned that all the issues will be take-up and a representation will be sent to the DGFT, Ministry of Commerce to resolve the issues speedily,'' he added.

Pankaj Sharma, General Secretary, CICU highlighted there are numerous issues, in which exporters are going through. The shipping companies are charging huge amounts and exporters are forced to pay that amount, because they don't want to lose their customers.

Ram Lubhaya, Convener of Export Promotion Committee said that a training will be organized for the exporters on how to file GST return and other services related to the export.

Sarvjit Singh, Co- Convener of Export Promotion Committee said that nexus between shipping lines top officials and some freight forwarders is the reason behind steep increase in ocean freight rates.

''If the practice continues for more time, exporters will have to face closure of business or huge losses. Presently the ocean freight rates have gone up to 250 per cent which is pressurizing exporters to delay or hold the shipments,'' he added.