Lynn criticized maritime ports' wharfage fees system

Uriel Lynn, president of the Federation of Israeli Chambers of Commerce addressed last week a letter to Mr. Shaul Mofaz, Israeli Transport Minister, criticizing the port's wharfage fees system.
 
Imports to Israel are subject to a wharfage fee of 1.02% of their c.i.f. value and exports to a wharfage fee of 0.2% of the f.o.b value.
 
Imports, according to the ports' tariff system, are subsidizing exports for the use of ports. In addition, the fees do not appear to reflect the real costs of the service, as they are only linked to the value of the traded goods.
 
Lynn noted that the ports' ad-valorem charging system contradicts the GATT agreement which calls upon members states to reduce import barriers such as port levies.
 
Lynn called upon the Minister to set up a committee to study and recommend a new alternative charging system which will be based on the weight of the cargo and which will reflect the true costs of providing port services.
 
Lynn added that the present system heavily discriminates imports by charging imported cargo with higher port fees compared to exports. This, according to Lynn, opposes the present government economic policy which does not allow the discrimination of one sector in favour of another.