In an important development, the Ministry of Commerce has directed to release hundreds of consignments of luxury items stuck on the Karachi Port for the last two months in the aftermath of the ban on import of luxury items.

The government through SRO-598 had imposed a ban on the import of luxury items in a bid to curtail the outflow of dollars and import bill. The decision of one-time release of consignments was taken after protest of importers whose consignments were on the way and they had made payments prior to the ban.

Issuing an office memorandum on July 22, the Ministry of Commerce directed to release the consignments that reached either on seaport or airports from May 19 to June 30. However, the ministry ordered to levy a 5 percent surcharge on those consignments that landed in Pakistan after two weeks of May 19, and 15 percent surcharge on the consignments reaching subsequently.

Though former president FPCCI hailed the government’s decision, he expressed concern over the delay as importers are forced to pay surcharge as well as demurrage to the shipping companies to the tune of Rs1 million to 1.4 million per container. He added that the high cost of production would destroy businesses.

To a question, he said that as many as 1,000 consignments containing crockery, furniture and food items were stuck on the port, causing shortage of space on the port.