- Cites revenue generation
- Claims they have to be flexible when required, which is why containers were rerouted through the Customs scanning unit by the DG for the ease of the goods flow during heavy congestion
The Sri Lanka Customs stated that they have a responsibility to facilitate trade in order to generate revenue, and that the release of 323 containers earlier this year, which has since drawn controversy, was carried out as part of this process.
The release of the containers, which took place between July 2024 and January 2025, has sparked serious allegations, including claims that proper procedures were ignored and that some containers may have included dangerous items like drugs or weapons.
Speaking to The Daily Morning, Customs Spokesperson, Additional Director General (ADG) Seevali Arukgoda said that if businesses are delayed due to prolonged container holding, it directly affects their ability to operate and generate income, which in turn impacts the Government’s ability to collect taxes. He added that helping businesses function smoothly is a globally accepted principle and part of the Customs’ mandate.
“Customs has four main objectives: revenue collection, trade facilitation, social protection, and organisational development. We need to support businesses so that they can operate and generate revenue. If people are not able to do business, how can we collect taxes? If we cause delays by holding containers for too long, their operations suffer. When needed, we have to be flexible. That is why containers were rerouted through the Customs scanning unit. It is a system used during periods of heavy congestion to ease the flow of goods.”
Arukgoda also noted that although the system in question can still be used when necessary, there is currently no intention to do so due to the public attention that it has drawn. "This system was not something newly introduced. It has always been within the authority of the DG of Customs (DGC) to decide how freight arriving by sea is handled. If he/she does not make these decisions, there is no one else who can.”
According to a report prepared by a Ministry of Finance-appointed committee to look into the questionable container release, 999 high-risk containers were released without inspection on 13 occasions, between July 2024 and January 2025. The committee states that this action, reportedly taken to ease congestion, broke away from accepted Customs procedures and legal boundaries. The report warned of possible threats to national security, public health, and state revenue due to the release of these containers without proper checks. It also questioned the effectiveness of the congestion relief effort and raised doubts about the accuracy of the risk management system itself.