Ashdod Port: NIS 30m profit in first year since port reform

The Ashdod port company released last week a summary of its activity for 2005. The financial summery indicate a profit of NIS 30 million in its first year of activity since the Israeli port industry was reformed
 
In a press release the Ashdod port management said that the port posted NIS 852 million in revenue since the port reform was carried out in February 2005.
 
Operational profit reached NIS 258 millions out of which NIS 228 millions were paid to Israel Port & Assets Co (IPC) in the form of user fee.
 
The statement noted that the financial summery is very much based on estimates. Final results will be published only after IPC will submit its 2004 results for the year 2004.
 
In addition, a few financial aspects which according to the port were crucial to the financial statement were still under consideration together with IPC, hence, some changes will take place.
 
Ashdod port chair Mrs. Iris Shtark criticized the extremely high level of port user fee paid to IPC, which accounts to 30% of the port total revenue.
 
She argued that if the system of calculating user fee is not changed, the port will pay as much as 37% of its revenue in the near future. Shtark added that the international accepted level pf user fee is between 7% - 15% therefore a 50% discount must be granted by IPC.