New Statute Formed to Regulate Shipping Agent Charges

A new regulation has been formed to regulate the charges taken by shipping agents and to eradicate the culture of imposing additional charges on clients.

Published on Gazette last week, the announcement states that the shipping license will only be given to 100 percent Maldivian companies or partnerships. The amendment to regulate the charges is expected to bring immense changes to the current perception of how shipping agents operate.

- Advertisement -

Shipping agents have received much criticism due to the unfair charges that they have imposed on their clients. Investigative reports show that some agents have charged for USD 400 for deliveries when the actual rate for some of these is between USD 50 to 70.

According to the new regulations, shipping agents can’t impose charges that are not previously agreed nor stated on the agreement.

Delivery Order charges can be taken as follows:
– Full Container or the CBM of the shipment is more: MVR 771
– Less than a full container: MVR 385.50
– For goods that is not included in the act (shaviyani) (1 and 2): MVR 385.50
– Amendment charges: MVR 385.50

Any violation of the regulations could be faced with a fine according to the regulations under act (haa):
– First offence: MVR 1000
– Second offence: MVR 10,000
– Third offence: 100,000

The new regulations under the maritime shipping act was brought forward after businesses raised concern on the matter to the Maldives Transport Authority.

The regulations on shipping agency services was formulated to raise the standard of service given to cargo ships entering and leaving Maldivian ports, and to ensure shipping agencies operate at a professional level.

- Advertisement -