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Fewer barrels for Christmas - 11 per cent drop in domestic cargo
published: Wednesday | November 12, 2008

Customs brokers are reporting that there has been an 11 per cent drop in domestic cargo since August.

The shipment of barrels, alone, for this Christmas season has declined by some 35 per cent when compared with last year, said Christopher Kennedy, president of Customs Brokers and Freight Forwarders Association.

"Business this year for customs brokers is probably the worst we have seen in many years," he added.

Kennedy said the absence of the usual rush at the wharves in Kingston at this time of the year was evidence.

Global financial crisis

He attributed the downturn in business to the global financial crisis that is mainly rocking the United States, where the majority of barrel shipments originate.

Other contributory factors for the decrease, he said, were the devaluation of the US dollar and an increase in duties being charged locally.

"In terms of customs duties and port charges, there would have been some increase of about 20 to 30 per cent over last year's cost," he said.

However, the customs brokers are hopeful that business might improve as December 25 draws closer.

"Maybe in another two weeks, we project we will see an increase, but we are sure it won't reach the number in previous years," Kennedy said.


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