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Category: Wirtschaft und Energie/الاقتصاد و الطاقه
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Dear clients,
We are pleased to update you on the current situation in Iraq.
I.) New regulations for MoH shipments
Please note that for all MoH (Min. Of Health) shipments via “land borders” the border
customs offices insist on a dedicated duty exemption letter. This exemption letter
must include: truck number, drivers names, description of the goods, contract
number, and letter of credit number. As we can submit some of the details only once
the cargo is loaded, there is a potential risk of truck waiting time at the border till the
required letters are available at the Iraqi border point (Trebil, Zakho, syr. borders).
II.) Fuel prices / rates of exchange Fuel prices in Turkey, Jordan, Syria, Kuwait and especially in Iraq are still increasing.
For example below the prices scale in Turkey.
11 July 2007 - 2.25 YTL / 1.2804 (currency) = usd 1.757
09 June 2008 - 3.08 YTL / 1.2240 (currency) = usd 2.516
The difference = usd 0.760
Within almost one year, the price increase is 44%. In Iraq we are facing the problem
of fuel shortage and therefore the prices increased. In addition, the Iraqi dinar is
getting stronger and stronger compared to the USD.
III.) Security situation
Below a short report regarding the security situation in Iraq from the operation point
of view:
a.) Northern Iraq
The security situation in the Kurdish Governorates is fine so far. Exceptions are areas
like Mosul or Kirkuk. We are able to reach most of the destination within the Kurdish
Governorates with Turkish trucks (subject that we are using Zakho as entrance point).
Non-Kurdish controlled regions are partly difficult. For Mosul, Kirkuk and all other
destinations in the central or south we have to tranship the cargo in our Zakho yard.
In general we still recommend travelling with low profile escorts/scouts.
b.) Central Iraq
The Western route from Trebil to Baghdad (Sunni districts) is fine so far. Security has
also improved. However, also for this route we still recommend to travel with low
profile escorts / scouts. For Shia controlled destinations we have to take security
measures.
c.) Southern Iraq
Beside a large number of checkpoints now the general traffic-flow is ok again.
Dedicated areas are still difficult. The road between Basrah and Umm Qassr is well
guarded and partly still blocked, in particular during night times.
d.) Umm Qassr port
The port is not very busy right now. Waiting time for vessels is almost zero. Delays
occur due to fuel shortages (e.g. for port equipment, forklifts, cranes etc)
For longer storage periods, we recommend to store the cargo in closed warehouses
inside of the port area with additional guards.
The main roads from Umm Qassr towards Basrah as well as Nassiriyah, Diwaniyah,
Kut, Amara and Baghdad are okay during day time as long as we travel with escort /
scout support.
The port of Umm Qassr, Basrah city and the whole area are still under the control of
the Iraqi National Army, British and American Army.
IV.) Border situation
a.) Al Karameh / Trebil (Jordan/Iraqi border)
Trucking rates from Jordan to Iraq are still increasing. The border situation is okay.
We are able to bring a dedicated number of our Iraqi trucks in to Jordan. Inspite of
the costs, the traffic between Jordan and Iraq is running well. For shipments to
Baghdad we currently recommend this route.
b.) Syrian/Iraqi borders
Iraqi trucks are available in a limited number. Service is running well so far but based
on a low quantity. Still we do not recommend this route for shipments to Baghdad at
the moment.
c.) Habour / Zakho (Turkish / Iraqi border)
As already mentioned, shipments to Kurdish Governorates are running smoothly. The
waiting time for shipments into Iraq is still approx 5-6 days at the Turkish export
border. Empty trucks going back to Turkey have to wait between 6-8 days due to
intensive checks at the Turkish side of the border.
d.) Umm Qassr port
Please see our comments under item IV.) on the second page.
e.) Safwan/ Abdali (Kuwait / Iraqi border)
Due to the current security situation, there is not much commercial traffic via this
border point, except for military convoys / supplies.
Yours faithfully,
M.G. International Transports GmbH