India containerships hit by tax to sustain 'useless' light houses

2008-7-11

India will be hit with a national light house tax proportionally higher than ships which keep most cargo below decks, because two thirds of its cargo is carried above deck containerships visiting, reports The Economic Times of India.

Almost all ships that call on Indian ports will have to make the extra payment for every visit because most of them have a monthly rotation, said the newspaper.

"For example, if there were 45 berthing windows in a week at Jawaharlal Nehru Port, each ships berthing there would have to pay US$2,200.

These taxes are charged by the Director General of Light Houses and Light Ships (DGLL) to keep up 169 light houses in the country. But new technology has put lighthouses into disuse. "Why do we need to continue with such a system," asked one unnamed coastal operator.

"We have written to DGLL, the directorate of shipping and the ministry," said Captain Dinesh Gautama of Forbes Sea Consortium. "At a time when inflation is running at 11.5 per cent another 0.5 per cent got added just like that."

"As such ports in India are costly and increasing light dues will only make port operations much more costly for its users," said another industry player, the newspaper reported.

Source: Schednet
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