Steep fall in Customs revenue at ICTT

KOCHI: A sudden drop in business volumes at the International Container Transshipment Terminal (ICTT), Vallarpadam, has dealt a severe blow to the Customs in terms of revenue. The net revenue recorded  from February to December 2011 was Rs 2,033.07 crore, as compared to `2,636.28  earned during the corresponding period last year.“The container operations were shifted from Willingdon Island to Vallarpadam in February 2011, and the steep fall in revenue was noticed from July 2011 onwards,” Deputy Commissioner of Customs S A S Navas said."The revenue in September 2011 was Rs 104.51 crore against Rs 313.15 crore in the previous year. During October, November and December, the revenue stood at Rs 104 crore, Rs 96.54 crore and Rs 80.31 crore respectively, as against Rs 260.45 crore, Rs 247.02 crore and Rs 209.72 crore in the previous year.”“Lifting of 5 per cent special customs duty on petroleum products is one of the reasons for the fall. However, the major reason is the introduction of terminal handling charges (THC). “The Customs has initiated certain business-friendly measures to simplify transshipment procedures with a view to boosting the business at the ICTT. From January 7, all applications can be filed online by steamer agents,” Navas said. However, DP World, which operates the terminal, said the THC levied were not exorbitant. “We levy THC from shipping lines, not customers,” said DP World authorities.There have also been drop in the volume of cargo. “If traders and shipping lines keep off Kochi, the adamant stand of Customs in certain issues is also a reason,” said a key official of DP World.“Our statistics show that there is an increase in the volume of cargo by 10 per cent this January, as compared to that of last year,” he said.