SUEZ CANAL, EGYPT
Egypt is to raise its tariff for ships passing through the Suez Canal by three per cent from January 1, 1985.
SUEZ CANAL, EGYPT
1. GV Port Said canal entrance. 0.06
2. LV & CU Freighter passing radar control traffic management system. (3 SHOTS) 0.17
3. GV & LV Bottle-neck of ships at entrance to canal. (2 SHOTS) 0.31
4. SV PULL BACK TO LV French mine-sweeper. 0.51
5. LV & SV US mine-sweeping helicopter using mine detecting device. 1.08
6. LV & AV USS Shrevesport. (2 SHOTS) 1.21
7. AV Oil tankers in canal. 1.27
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Background: SUEZ CANAL, EGYPT
Egypt is to raise its tariff for ships passing through the Suez Canal by three per cent from January 1, 1985. The worldwide slump in oil prices, the mining of the Red Sea and the Gulf of Suez, together with the escalation in the war between Iran and Iraq have combined to make Egypt nervous about one of her most important revenue earners... the Suez Canal. By raising the transit tariff, Egypt hopes to meet a goal of one billion dollar's revenue from the waterway. She will also be regulating the passage of certain ships to ensure the safety of the canal itself. Twenty per cent of the world's trade passes through the Canal. During the past few years Egypt has incurred heavy expenditure in installing a radar-controlled traffic management system and widening and dredging the canal in anticipating of super tankers. So far the lack of such tanker tariff has not justified the cost. Since eleven ships bound for the Canal have been damaged by mine explosions in the Red Sea and Gulf of Suez, some shipping companies are using older vessels to make the sensitive Straits of Hormus run because they are reluctant to expose their newer and more valuable ships to the counter-attacks between Iran and Iraq. The Suez Canal Authority has made it well known that such ships will be charged a higher rate for using the Canal after being given a rigid safety inspection. In addition, it will be mandatory for older tankers and freighters to be pulled through the Canals by tugs.
Source: REUTERS - MOHAMED FAHMY