Unlawful Surcharge implemented by Consolidators

22nd December 2020

The Sri Lanka Shippers' Council was made to understand that some co-loaders and consolidators are implementing a COST RECOVERY SURCHARGE per HBL sighting constraints in the Colombo Port due to Covid-19.

Council is of the opinion that this is a clear violation of the Structure of Charges (surcharge) Gazette Extraordinary No. 2041/10 dated 17th October 2017 where charging surcharges are not allowed by law and all costs should be included in the all-inclusive freight rate negotiated and confirmed between contracting parties.

Chairman would like to inquire whether any of our members have received such information connected to the above cost recovery surcharge by Sri Lankan Consolidators, Co-loaders or forwarders and also any member have paid such surcharge to a service provider.

Further, please be guided by below message from Director General of Merchant Shipping (DGMS) on the same subject matter.

Dear All,
Please be informed that this office (Merchant Shipping Secretariat) has not granted any freight forwarding company/association the approval for any cost recovery surcharge. For the import shipments, Service providers are not allowed to charge any cost recovery surcharge in addition to Delivery Order (DO) fee. If it is found that any service provider charges cost recovery surcharges, irrespective of the licensing regulations & guidelines issued, the actions will be taken to immediately cancel/suspend licenses of such service providers .
Kindly inform your members to complain this office with proof of documents, for necessary actions.

Thank You.
S S Roshini
Director (Licensing)
For Director General of Merchant Shipping

Contact Details:

Merchant Shipping Secretariat
Ministry of Ports & Highways
1st Floor, Bristol Building,
43-89, York Street,
Colombo, 01

Tel: +94 112 438930/ 2441429 / 2435127/2435127
Email: [email protected]

Mr. A W Senevirathne
Director General of Merchant Shipping (DGMS)

As stated above, please provide the details of such unlawful charges to the DGMS with a copy to the Secretariat of the SLSC.

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