Jordan Times
Monday, August 10, 1998
Jordan wants Egypt to lower Suez Canal fees to boost the competitiveness of
Aqaba port
AMMAN (J.T.) — Transport and Telecommunications Minister Sami
Gammoh emphasised in a press statement that preliminary studies confirm that the cost of
importing grain through the port of Aqaba is lower by between $2.5 and $5 per tonne
compared to neighbouring ports. The minister explained that the cost of importing to Amman
through Aqaba is $38 per tonne compared to $40.5 through Haifa, $41.9 through Beirut and
$42.6 per tonne through Lataki. He indicated that the total volume of grain imports (corn,
fodder, flour, wheat, sesame and barley) during the first eight months of this year did
not exceed the loads of about 500 trucks.
Gammoh stressed that the Ministry of Transport is following up continuously on the imports
through Aqaba and other ports and is also conducting studies to ensure the competitivity
of the Jordanian port. He said that by upgrading the performance at the port and
minimising costs, the ministry seeks to make Aqaba a competitive port to others in the
neighbouring countries and to encourage businessmen to continue to import through this
national port.
The minister indicated that there is a committee entrusted to follow up the charges and
the handling costs of various goods at neighbouring ports in cooperation with the Aqaba
port officials. He said that the committee presents periodic reports to the board of
directors of the Ports Corporations to take suitable and quick measure to preserve the
competitivity of the Aqaba port.
“Our trade through the port of Aqaba is competitive to any trade through any other
port in the region,” Gammoh said, adding “the Jordanian authorities are exerting
all the efforts to maintain Aqaba the main outlet to all our external trade.” He
noted that a number of small traders imported few hundred tonnes of grains to the Kingdom
through other ports but, the minister stressed, such a matter would not represent any
burden on the Jordanian economy in general and especially on the port of Aqaba which he
described as “still better by all standards and specifications.”
Gammoh revealed that intensive efforts are under way to contact the Egyptian authorities
to lower the Suez Canal crossing fees in order to make imports through Aqaba better,
cheaper and easier. He emphasised that there are no worries over the competitivity of
Aqaba as large investments are being put into the port to make it the most attractive in
terms of performance and service.
Meanwhile, the committee mentioned earlier has recommended studying the service charges
for unloading grains at Aqaba as it is $1.3 per tonne higher than the charges at Haifa
port. The committee also recommended that trucks coming from Israel be checked for weight
to conform with the axial load applicable in Jordan.
“If the two mentioned recommendations cannot be implemented to maintain the
competitivity of Aqaba, the matter should be reviewed again to restrict the import of
foodstuffs to Aqaba with the exception of the imports of the Ministry of Supply of such
products,” the committee requested.