The Prime Minister's Office has intervened to bring an end to the standoff between the Custom department and the special economic zone (SEZ) authorities for carrying out inspections of cargo at the International Container Transshipment Terminal (ICTT) at Vallarpadam.

The intervention is expected to offer a solution to the problem and bring an end to the conflict. The two have been in disagreement ever since the ICTT was commissioned. The Customs argues that it should be given the right to inspect transshipment cargo that is not acceptable to the SEZ.

Prime Minister Manmohan Singh has asked various departments to sort of difficulties so as not to hinder the progress of ICTT. The government aims to make ICTT, which is the first of its kind in the country, a global hub for cargo.

The Prime Minister's principal secretary recently chaired a meeting that was attended by officials from the departments of Revenue, Commerce and Shipping to discuss inter-department issues. They agreed that a cordial environment is necessary for the progress.

The Department of Commerce and the Ministry of Shipping have been directed to ensure that the first Container Freight Station (CFS) becomes operational by March 1, 2012 and the Department of Revenue will prepare a proposal to provide Customs officers to work on deputation in the SEZ.