The American Chamber of Commerce in Ukraine supports the decrease of seaport dues
The American Chamber of Commerce in Ukraine continues to advocate for predictable, transparent, and fair rules for doing business in Ukraine’s maritime industry. For many years we have been cooperating with the Ministry of Infrastructure, the Ukrainian Sea Ports Authority and other state authorities to help attract foreign direct investment to this sector.
The economic attractiveness of seaports and stevedoring companies largely depends on the size of port dues. A strategic aspect of how to further develop Ukraine’s maritime industry is to ensure its competitiveness and to fulfill the potential of transit sea cargo. The interests of business and the entire port industry should be taken into account during the port dues rates formation.
According to a study by VoxUkraine, an independent analytical platform, with the support of World Bank experts, a 50% discount on port dues generates losses of $ 48.4 million. At the same time, it provides additional tax revenues of $ 167.7 million. This is generated from increasing the profitability of businesses that receive such a discount and contributes to the development of the regional economy.
The American Chamber of Commerce in Ukraine has emphasized and continues to support the policy on reducing port dues. This policy will have a positive impact on Ukraine’s economy, which will lead to an increase in export cargo flows and boost Ukraine’s GDP. The reduction of port tariffs and fees by Ukraine’s Government in 2018 helped to develop the ports industry and boost economic growth.