CRTA Chief calls for firm retention of all-inclusive freight regulation to safeguard national competitiveness and export integrity

Thursday, 10 July 2025 00:04 - - {{hitsCtrl.values.hits}}

CRTA Chairman

Harin de Silva

In a decisive show of unity and resolve, Colombo Rubber Traders’ Association (CRTA) Chairman Harin de Silva yesterday extended the Association’s unprecedented support to the continued enforcement of the all-inclusive freight regulation first introduced in 2013, calling on the Government of Sri Lanka to uphold the regulation in the face of renewed lobbying

efforts to dismantle it.

He warned that repealing the law would threaten transparency, distort freight pricing, and severely undermine the competitiveness of Sri Lanka’s vital export sector. He further stated that revoking the regulation would reintroduce hidden surcharges—once numbering up to 44 separate fees—leading to anti-competitive practices, price distortions, and an eventual transfer of costs to the end consumer.

The all-inclusive freight regulation, introduced via the Gazette in 2013 under the administration of then-President Mahinda Rajapaksa, was the culmination of nearly two decades of advocacy led by trade and shipping councils. The regulation mandates that all freight charges, including terminal handling charges (THC), must be transparently bundled into a single, negotiated freight rate, eliminating ambiguity and arbitrary pricing.

The CRTA, representing one of Sri Lanka’s Natural Rubber sector, reiterated that freight costs form a critical component of pricing competitiveness in international markets. “Our members depend on clear, predictable logistics costs to price their products competitively. Without the regulation, we risk returning to a dark period where exporters were blindsided by opaque, un-negotiated charges that stripped away margins and undermined buyer confidence,” said de Silva.

He further added that dismantling the regulation would be especially damaging for small exporters who lack the bargaining power to challenge freight agents or foreign buyers, offloading costs onto them. He called for structured consultation with industry players before any legislative change. Policy must be made with insight from those directly affected and not anyone else.

The CRTA fully endorses the continued enforcement of the all-inclusive freight and calls upon the Government to firmly reject attempts to dismantle the regulation. As a leading voice of one of the country’s legacy export sectors, the CRTA stresses that transparency in freight pricing is essential not only to protect exporters but to uphold national credibility in international trade.

“We urge the Government to recognise that this is not merely a technical rule—it is a safeguard against exploitation, a pillar of fair trade, and a protector of Sri Lankan competitiveness,” the Association stated.

“The freight regulation must be defended—not just for today’s traders, but for the future of Sri Lanka’s export economy. We stand united with our peers in the logistics, apparel, and export communities in saying: this law must stand.”

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