By Chrissy Nkumba

LILONGWE-(MaraviPost)-The Commercial Division of the High Court of Malawi is set to hear a contempt of court case in which Fuel Tankers Operators Association (FTOA) has dragged to court National Oil Company of Malawi (NOCMA) as the first respondent and Hellen Buluma as the second respondent.

FTOA took an injunction against the use of the delivery duty unpaid (DDU) incoterm in the importation of fuel into the country in April, 2021.

The court order restrained NOCMA from importing fuel into the country using the DDU system.

Under the delivered duty unpaid (DDU) system the seller delivers the goods to the buyer, not cleared for import, and not unloaded from arriving means of transport at the set destination.

It meant that the seller bears all costs and risks involved in bringing the goods to the named place apart from duty.

The buyer is the one responsible for payment of all customs and duties with taxes.

Due to the injunction obtained by FTOA, NOCMA was supposed to be importing fuel using the ex-tank incoterm whereby the seller’s obligations are minimal while the importer takes ownership of the fuel from the tank at the port and is responsible for transportation, insurance, and all other transactional costs of bringing fuel into the country.

By virtue of being the Acting Chief Executive Officer of NOCMA Buluma is also dragged to court as a decision maker at her institution.

The case is brought before Justice Malonda and will be heard on March 2, 2022 in Lilongwe

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