System failure at the Ports: Outdated Customs algorithm causes massive delays, costing billions

Immediate reforms critical to keep economy ticking

- 

SRI Lanka imports nearly 500,000 containers annually, with volumes rising at an average of 10% year-on-year. Despite this heavy traffic and critical dependence on maritime trade, the country's customs risk management system remains cripplingly outdated, driving unnecessary port delays, skyrocketing costs, and paralysing economic activity.

Customs is not just broken — it’s actively working against trade efficiency and national interest.

The price of dysfunction: Rs. 200 billion in economic losses

Containers that should clear in hours are now taking up to seven days, piling up at port terminals and incurring an estimated $ 600 million in demurrage fees annually. An additional $ 30 million is burned on container yard charges, while Customs' 24/7 port infrastructure goes grossly underutilised due to limited examination and clearance hours.

The real tragedy? These costs are directly passed to businesses and ultimately, to consumers, inflating the prices of essential goods across the country.

High risk or high incompetence?