Lebanon Businessnews News

Government to distribute
transportation subsidies
Support aimed at regain
exporters’ competitive edge
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Farmers and industrialists are now benefiting from the Government’s subsidy that covers the cost of transportation through roll-on-roll-off (RO-RO) ferries.

The total subsidy allocated is $14 million. It will be separated by the Investment Development Authority in Lebanon (IDAL) directly to the ferries that are registered and classified according to its standards.

IDAL said that three ferries will be shipping to Duba port and Al-Aqaba port in Jordan. Subsidies will be paid when the shipments return to the country and the first subsidy will be paid this week.

Each truck, including local agricultural or industrial products, will benefit from a $2,170 subsidy. The total cost of the Ro-Ro’s trip is $6,500, so farmers are required to pay $4,430, as well as the cost of the truck, which starts from $1,500 for regular trucks and goes up to $2,500 for refrigerated trucks.

Available RO-RO ferries are provided by the private sector. Three RO-RO’s are now available, each can host 53 trucks and a new ferry will be provided within weeks that can host up to 150 trucks.

Ibrahim Tarshishi, Chairman of the Association of Bekaa Farmers, said: “Farmers will greatly benefit from this support, especially farmers specializing in grape, apple, citrus, banana, and iceberg cultivation.” Agricultural exporters will be more competitive in the regional markets, increasing their profit margins. “We will be able to restore the customers’ trust and our position in the exporting markets,” Tarshishi said.

The subsidy will support around 6,500 trucks and will be sufficient until February 16.
Reported by Rania Ghanem
Date Posted: Oct 09, 2015
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