In March 2024 the Sri Lanka Port Authority (SLPA) proposed a tariff increase that met sharp resistance from the private sector. Businesses say the timing is bad: ports are already running with operational problems and the economy is tight. The consultative process broke down, and that failure is what really worries traders and importers.
This page collects what we published that month and explains why the dispute matters to companies, supply chains, and everyday people who rely on imports, including medicines and supplements.
A higher port tariff is more than a line item on an invoice. It raises shipping costs, which quickly flow into higher prices for goods. For businesses with thin margins, a tariff increase can force price hikes, delays, or cuts in service. For the health sector, even small extra costs can change when and how medicines arrive, affecting availability at pharmacies and hospitals.
The failed consultation is also a red flag. When authorities and industry don’t talk, decisions miss practical details. Ports work best when operators, shippers, and regulators plan changes together. Without that, you get surprises: disputed bills, longer dwell times, and legal back-and-forth that slow cargo movement.
If you run imports or manage supply chains, start with quick, practical moves. First, run a cost impact check. Model a few tariff scenarios and see how they affect your pricing and inventory needs. Second, talk to your logistics partners—freight forwarders and carriers often have short-term fixes or alternative routings. Third, increase visibility: track goods more closely so delays don’t turn into stockouts.
Trade groups and small businesses should document operational problems and share them with regulators. Clear examples—like repeated berth delays or missing equipment—make consultations more concrete. Ask your industry association to push for a formal re-opening of talks with SLPA and to demand a phased or conditional tariff plan tied to performance improvements.
For pharmacies and clinics: check critical medicine stock levels and consider modest buffer stock for non-perishable items. Negotiate contract terms with suppliers to cover sudden tariff changes or seek short-term price protection clauses.
We’ll keep watching the story. If you’re affected, follow updates and share real examples of delays or extra costs. That helps build a stronger case for better negotiation and clearer rules. For ongoing guidance on how supply chain changes affect medicines and supplements, stay tuned to PharmaRight for practical tips and updates.
Posted by Patrick Hathaway with 0 comment(s)
Mar
Sri Lanka's private sector voices strong opposition to the Sri Lanka Port Authority's planned tariff hike. This comes at a time when businesses are already grappling with operation inefficiencies and a tough economic climate. The failure of the consultative process with the SLPA underscores the urgent need for meaningful dialogue.
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