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27th April 2020

Payments by Importers/Exporters to Freight Forwarders for Logistics Services

As you may be aware, logistics service providers underpin the local supply chain and play a pivotal role in ensuring that both production lines and consumers are not affected by the dire circumstances of any crisis.

Being conscientious professionals, I am pleased to say that the members of SLFFA have always supported the importers and exporters by providing equitable logistical solutions, continuously offering credit and adjusting themselves to suit the demands.

However, the winds brought forth by the COVID-19 pandemic are unprecedented and both as individual freight forwarders and SLFFA as an association are encountering multiple difficulties. With airlines closing down, others grounding aircraft and governments imposing various restrictions on movements both within and outside countries, there has been a drastic decrease in capacities and even market demand. Given the magnitude of the epidemic, its impacts are felt globally and many of our counterparts and partners are struggling to continue with their business activities across the globe.

In this light, I wish to bring to your kind attention that our members have been providing long credit terms and even enduring delayed payments by importers and exporters even over the last month and a half. Needless to say, our members are unable to secure similar benefits from the lines, port terminals and other partners. While we strive to support local businesses as much as possible, the situation leaves us with no option but to kindly request all importers and exporters to abide by the credit terms offered.

Accordingly, we humbly appeal to you, to request all importers and exporters connected with your esteemed establishments, to make their payments to freight forwarders/logistics service providers, strictly within the period of credit granted.

Whilst thanking you in advance for your kind understanding and support, we wish you and all the staff of your organization good health and safety in these virulent times.

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