With a container backlog looming at Riyadh dry port, the concerned authorities have swung into action to solve the crisis as soon as possible. The Saudi Railways Organization (SRO) has assigned a team to clear up the mess and return the port to smooth functioning. They have been tasked to provide support to the new company that has just won the contract for the management and operation of the dry port. Over 7000 containers have stockpiled at the port and the situation has been worsening day by day. Many traders have expressed immense concern over their perishable goods and the demurrage charges they will have incurred. According to the dry port sources, handling and movement of goods from the port has been delayed for more than 45 days. This has been attributed to laxity on the part of port authorities to find a quick solution to the crisis, Al-Riyadh newspaper reported. However, the SRO sources have attributed the crisis to the recent decision to change the company who manage the operation of the port. A number of local and international companies presented their tenders in a public bidding. The new contract was awarded to Bass International in partnership with the International Ports Services (IPS), which, in turn, has been working with Ningbo Port Company of China for the last 10 years. Commenting at the prevailing mess at the port, Musaed Hamad Al-Sayyari, chairman of the national committee for customs clearance at the Council of Saudi Chambers of Commerce and Industry, said “There has been a delay in taking charge of the new port by the new company and this has resulted in the piling up of goods. Al-Sayyari said those who are in charge of customs clearance at the port have lodged a complaint with the SRO chairman about the loss incurred to them due to the poor handling of the situation. “They noted that the new company is yet to start procedures for the clearance of containers.” He added that there are many trucks stuck at the port courtyard waiting for the completion of clearance procedures. According to Al-Sayyari, there is no proper equipment available at the port to carry out inspection of the goods as per terms of the contract, and the equipment in operation is obsolete and unfit for use. He said the situation has resulted in huge material and losses to the firms handling customs clearance. “This crisis has prompted many traders turn to various sea ports instead,” he said. Naif Al-Sabr, a Saudi dealing with customs clearance, said that the new company has yet to employ workers to handle containers at the port. “This has resulted the inevitable delay in offloading vacant containers as well as loading containers with goods!”
