Egypt - Customs Fines For Shortage - Containers

September 2003

In the past, the carrier has been held liable under Customs laws and regulations in Egypt for shortage in the contents of containers even if the container was discharged and delivered in an apparent good condition and the seal was intact. Potential criminal liability was also involved.

This attitude was generally agreed to be unreasonable and contrary to international practice. After intensive efforts, the Egyptian Customs authorities decided to refer this subject to their Legal Counsel for his opinion.

The Customs' Legal Counsel has now issued his report in which he states his view that the carrier should not be liable for any shortage in the contents of containers if the container was delivered in sound condition and the seal intact. 

Customs have already started to apply this recommendation. There should, therefore, be fewer claims by Customs in respect of shortage in the contents of containers. The opinion should also be helpful in defending claims by cargo interests since such claims used to rely upon the Customs regulations to show that the carrier is liable for shortage in  contents of containers even if the seal is intact.

 Related document: Translation of Egyptian Customs' Legal Counsel's opinion

With thanks to Eldib Advocates for supplying this information.