Malaysia - Abandoned Cargo Advice
What are the main reasons for abandonments in a certain country? Do the reasons differ for certain ports?
- No proper import permits
- Wrong declaration (fraud cases)
- Cargo shelf life overdue and not fit for consumption (perishable cargo)
- Trade dispute between consignee and shipper
- Local authorities will interfere after shipping line advise the abandoned containers after 120 days
- Authorities involved are: Free Zone Authority (PKA), Customs Preventive, Malaysia Quarantine and Inspection (MAQIS), Department of Health (DOH), Department of Environment (DOE) and Terminal/port opeartor.
- FZA - as Free Zone Authority.
- Customs / Preventive - any taxable declarations, import permits & mis-declared
- MAQIS - mainly involved for food items, import duties.
- DOE - authority for DG permits and scheduled wastes cargo.
- DOH - import permits and perishable shelf life for meats and similar products
- Based on local regulations and the relevant Authority involved and as per their advice, either to salvage, dispose or return to port of origin.
- By monitoring and constant follow up with the Authorities for faster release of cargo and containers.
- Cargo can be auctioned or disposed of -
- Based on condition of the cargo with approval from relevant Authorities - can be salvaged / auctioned with proper documentation or declaration (to be borne by the new buyer) or disposed off.
- Local regulations - either dispose off locally or return to port of origin
- We need to inform FZA and Other Government Agencies (OGA) for inspection with Terminal representation.
- Based on inspection of cargo, OGA to advice next course of action. to either allow for salvage or if non-salvageable condition, to be disposed
- All documentation required are furnished, and payment of Custom Duties/Government Charges, Port Charges and other costs are settled
- This process will take at least 4 to 8 weeks. or more based on the Authorities advice
- For Salvage cargo - all storage will be borne by the new buyer of the cargo.
- For disposal - Westports - Only storage charges is partially waived.
- Northport - No waiver given, but a small discount (partial) if requested in writing
- For reefer cargo, no waiver at all for electricity on the Reefer Monitoring Charges
Spica Services
You may also be interested in:
The Covid-19 pandemic continues to dominate the headlines around the world
Members are advised from 20 February 2022 the procedure for paying claims related suppliers for claims on European Economic Area (“EEA”) risks is changing. The change applies only to risks written by UKNV.
Australia: COVID-19 Update
20/09/2021
The Club would like to draw Members' attention to the latest update dated 20.09.21 below from the Club's Legal Correspondents Cocks MacNish, Australia; previous updates from the correspondents on this subject may be accessed below this latest update.
We are constantly monitoring the current situation and with the help of the Club's local correspondents we are providing updates on the current operational status of ports