Long Haul for Ever Given Indian crew

Egypt seizes Ever Given with 25-member Indian crew, demands $900 million compensation

The Suez Canal Authority said the amount was calculated on the basis of ‘losses incurred by the grounded vessel’ along with ‘flotation and maintenance costs’.

EGYPT ; The Suez Canal Authority on Tuesday said it has seized the Ever Given, a container ship that blocked the waterway for nearly a week, on an Egyptian court’s orders till the vessel’s owners pay $900 million (approximately Rs 6,758 crore) as compensation, reported AFP.

The cargo vessel with a 25-member Indian crew was seized as the Japanese owner of the ship said “they do not want to pay anything” and contested 90% of the compensation sought, Suez Canal Authority chairperson Osama Rabie was quoted as saying by state-run newspaper Al-Ahram.

Rabie said that the compensation was calculated on the basis of the “losses incurred by the grounded vessel” along with “the flotation and maintenance costs”.

An unidentified official told AFP that the negotiations related to damages for the blockage caused by the vessel were under way between its owners, Shoei Kisen Kaisha, insurance companies and the authorities of the waterway.

The 400-metre long cargo vessel Ever Given was set afloat on March 29 evening (Indian time). The ship became jammed diagonally across a southern section of the canal in high winds early on March 18, halting shipping traffic. Authorities lodged a tedious excavation operation, with diggers working to remove parts of the canal’s bank and expand dredging close to the ship’s bow to a depth of 18 metres. At least 369 vessels were waiting to transit the canal when the blockage was cleared. The ship is currently at the Great Bitter Lake.

Maritime data company Lloyd’s List said the blockage held up cargo approximately worth $9.6 billion, or over Rs 72,193 crore, between Asia and Europe each day it was stuck. Egypt also lost between $12 and $15 million (nearly Rs 90 crore-Rs 112 crore) in revenue for each day the canal was closed, according to the Suez Canal Authority.

Source : Scroll.in