Jaffna cargo Association requests to waive GST
[04 Jan 2001]

Owners of Jaffna bound ships have requested the government to waive the Goods and Services tax (GST) on peninsula bound cargo and allow more entrepreneurs enter the Jaffna-Colombo haulage business, sources reported.

The freight rate has dropped from US$ 45 per freight tonne to US$ 30, after a new player Valliable Lanka Pvt Ltd. entered the trade from this month, stated the Clombo-Jaffna Shippers Association Secretary S.Gajamugalingam.

The Association has requested the Minister of North Development, Rehabilitation and Reconstruction and Tamil Affairs Minister Douglas Devananda to intervene in seeking a waiver of GST on Jaffna bound ship cargo.

" The Minister has agreed to look in to the possibilities of starting a Colombo-Jaffna ship service by chartering vessels through Rehabilitation and reconstruction Authority of the North with a view to bringing down freight charges further," Gajamugalingam said.

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