Category Archives: Shipping

With an objective of understand the implications of various changes and amendments in the existing Customs Notifications and Tariff/Duty structure announced by the Union Finance Minister while presenting the Union Budget 2022-23 on February 1, the Federation of Freight Forwarders’ Associations in India organised a webinar on the same. The webinar was addressed by eminent Advocate Consultant and also Mentor on Legal matter, empanelled with FFFAI, Joshua Ebenezer provided detailed analysis of the changes/amendments made in the Budget 2022 concerning Customs clearance and tariff. The webinar was also addressed by Shankar Shinde, Chairman; Dushyant Mulani, Chairman Elect; AV Vijayakumar, Immediate Past Chairman; S. Ramakrishna, Past Chairman & Advisor and other office bearers of FFFAI. The webinar was attended by approximately 200 FFFAI members from across the country. Ebenezer analysed the changes and amendments very eloquently and simply with relevant examples for better understanding of the participants. He also made caution about the ambiguities due to self-contradictions betwen different amendments, which according to him, requires further clarifications from the Customs authority. Addressing the gathering, Shankar Shinde thanked all FFFAI Office Bearers, Advisors and members for participating in the webinar. He also appreciated FFFAI members for providing inputs before the Budgeted 2022, which were discussed with the CBIC, Ministry of Finance as pre-Budget discussions. According to the FFFAI Chairman, many of them have been addressed in this Budget and FFFAI would continue the dialogue with the government for further facilitation of Customs clearance as well as foreign trade. Earlier, Dushyant Mulani conveyed that amendments in the Union Budget are always eagerly awaited by Industry. From a customs point of view, it is not only about the changes in tariff but also about …

Pacific International Lines (PIL) will impose a fine of US$30,000 per container for any misdeclaration of the cargo weight, a charge that is already effective from 15 February. Misdeclaration includes but is not limited to incorrect/partial declaration, late declaration, alteration, or omission of such declaration, according to the company’s notice. “A charge of US$30,000 per container globally will be imposed as part of PIL’s tariff upon the shipper and/or consignee making any misdeclaration of the cargo weight which in effect exceeds the maximum payload of the container used for the carriage,” said the Singapore-headquartered carrier in a statement. In addition to this charge, amongst others, the shipper and consignee will be held liable and responsible for all corrective measures, claims, fines, liabilities, losses, delays, damages or expenses arising in consequence of such misdeclaration, according to the notice. Failure to properly declare cargo weight constitutes a breach of contract which violates the applicable law, endangers lives and adversely affects the operations of the entire supply chain, according to PIL, which said, “we focus on making continual improvements to our safety practices to protect our crew, ships and cargo.”

Adani Ports & SEZ Limited (APSEZ) has outlined plans to develop a country-wide network and infrastructure, especially in the hinterland. The company which reported a 22 percent growth in cargo volume during the first nine months of the current financial year has outlined its expansion plans on the lines of ‘Maritime India Vision – 2030’. The vision document has proposed an investment of over Rs 3 lakh crore, which would generate more than 20 lakh jobs and unlock annual revenue potential for major ports worth over Rs 20,000 crore. As per policymakers, the estimated cost of development of the Indian ports alone will lead to an annual cost savings of about Rs 7,000 crore for foreign traders. The potential for mega capacity ports has been identified particularly in Gujarat, Maharashtra, Odisha, and West Bengal. “APSEZ’s evolution as a transport utility with an integrated mix of logistical capabilities is in line with the PM Gati Shakti – National Master Plan and has far-reaching benefits. Providing end-to-end logistics solutions in a transparent and efficient manner creates a unique value proposition for the customers and contributes to the Company’s distinctive positioning as a trusted brand.” said Karan Adani, CEO and Whole Time Director of APSEZ “Most importantly, the presence of comprehensive supply chain solution provider strengthens the country’s supply-chain structure, enhancing trade competitiveness,” Adani added. A significant player in the Indian Maritime Sector, APSEZ handles close to 30 percent of the country’s total cargo across its 12 operating ports. The company brings a fresh approach, dumping the earlier method of port operators who primarily set their eyes on core operations while outsourcing in-land logistics to other players.

Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal, flagged off the maiden voyage of barges with a consignment of 1798 MT of finished steel products of Tata Steel Limited from Haldia to Pandu ( in Assam) through the Indo-Bangladesh Protocol Route (IBP Route) in the presence of Shantanu Thakur, MoS for Ports, Shipping and Waterways. This maiden voyage alongside showcasing the multimodal movement of cargo also harnesses the power of river – sea combination. The Tata Steel ltd consignment arrived at Haldia Dock Complex through the Railway mode; and were loaded onto barges [DB ABDUL KALAM and DB KALPANA CHAWLA chartered by SMPK] at berth no. 11 operated by TMILL who have organized movement of the cargo and loading at their berth. With an on-priority slip from the customs, the barges will complete the voyage with the help of operator Ocean Whale Services. Flagged off and moved from Haldia to IWAI Pandu terminal in Assam, the said barges will move along NW-I – Indo-Bangladesh Protocol Route – NW-II. On the trip back the barges will be carrying coal provided by Fuel Sources India Pvt. Ltd. where LSC Solutions is providing ground logistic support along with last mile delivery, and is destined for unloading at SMPK, Kolkata.

APM Terminals Pipavav is delighted to cater to the largest container vessel ever to arrive at the port. MV Express Athens from Hapag Lloyd is deployed in the TP1 INDAMEX service that caters to the USEC trade. EXPRESS ATHENS has a length overall (LOA) 349 m, beam 49 m, gross tonnage of 113973 and deadweight of 122959 was built in 2011 and can carry appx 10114 TEU. The vessel came from Charleston terminal [US] and will go to the Port Muhammad Bin Qasim [Pakistan]. By handling such large ship at our port showcases our infrastructural capabilities to handle larger vessels safely and quickly. We are eager to welcome more such vessels to keep moving the wheels of the supply chain. The current annual cargo handling capacity includes 1.35 million TEU Containers, 250,000 Passenger cars, 2 million metric tons of Liquid bulk and 4 million metric tons of Dry bulk. APM Terminals Pipavav is India’s first public private partnership (PPP) port in India and is a part of the APM Terminals global terminal network.

APM Terminals Mumbai, also known as Gateway Terminals India (GTI) will invest US$115 million in infrastructure development that will increase the container handling capacity. The company is investing in Ship-to-Shore (StS) cranes and Rail Mounted Gantry (RMG) cranes. The investment is aimed at enabling GTI to accommodate changing customer needs for larger vessel capability. With this investment, the container handling capacity of GTI will increase by 10% to 2.18 million TEUs. Explaining the rationale behind investment, Girish Aggarwal, COO, GTI said “The investment will allow us to cater to the larger vessels safely and efficiently at our terminal. This in turn will assist our customers to drive operational efficiency towards the Indian trade.” According to Aggarwal, “The terminal’s initiative is a step forward in supporting Government’s initiative to improve ‘Ease of Doing Business.” GTI is a joint venture between APM Terminals and domestic rail operator Container Corporation of India (Concor) operating at Nhava Sheva. The terminal includes a berth line of 2,336 feet, 128 acres of yard space, and modern service equipment — including 10 twin-lifting quay cranes, 40 rubber-tire gantry cranes, and three rail-mounted quay cranes.”

APM Terminals Pipavav (Gujarat Pipavav Port Ltd) announced the financial results for the third quarter ended December 31, 2021. The company reported a net profit of INR 437.64 million for Q3FY22 as against INR 543.27million in Q3FY21. Revenue from operations for the quarter under consideration stood at INR 1,685.61 million as against INR 1,984.00 million in Q3FY21. EBITDA for the quarter was at INR 866.94 million as against INR 1,100.21 million during the same quarter last year. EBIDTA margin stood at 51% in Q3FY22 as against 55% in Q3FY21. For the nine-months, the Company reported net profit of INR 1,212.03 million compared to INR 1,527.02 million in the corresponding period of last year. Revenue from operations for the period reduced 3% to INR 5,228.78 million. EBITDA was INR 2,836.08 million as against INR 3,084.26 million in the nine-month period that ended Dec 31, 2020. The container cargo business for the quarter stood at 157,256 TEUs, bulk business was 0.67 MT and liquid business was 0.24 MT. 7,359 cars were handled under RoRo category for the quarter under review.

Union Minister of Ports, Shipping and Waterways Sarbananda Sonowal took a comprehensive review of initiatives taken by the various ports for facilitating Ease of Doing Business (EoDB) and Operational Efficiency Through Technology (OETT) to boost growth under PM Gati Shakti National Plan in presence of Union MoS Shantanu Thakur, Secretary Dr Sanjeev Ranjan and chairmen of all major ports. PM GatiShakti – ‘National Master Plan’ aims to lay foundation for holistic infrastructure that will pave the path for integrated growth of the country’s economy. Urging the chairmen of all the Major Ports to put emphasis on promotion of Atma Nirbhar Bharat mission and skill development, the Union Minister said, “Integrated efforts which are being taken by ports and others will add speed to development works around the country. PM Gati Shakti will help the people, farmers, fishing community and strengthen India’s economy.” During the review, Secretary Dr Sanjeev Ranjan spoke on multi-modal connectivity, highlighting the seven pillars of growth under PM Gati Shakti, Smart, Mega and Green Ports, EoDB and Maritime India Vision(MIV) 2030.

The carrier’s latest effort around that pro-customer approach is a multi-modal end-to-end containerised cargo provision – involving truck, rail and barge services – for a last-mile delivery from West India to Mongla Port in Bangladesh. Mongla is Bangladesh’s busiest cargo gateway after Chittagong Port. “The cargo is moving from the shipper’s factory to ICD Mihan in Nagpur by road, after which it is connected to Kolkata on rail,” said a spokesperson for Maersk (India). From Kolkata, the cargo will head to Mongla on a barge facilitated by Maersk. In conjunction with India’s public rail company, the Container Corporation of India (Concor), the carrier set up the first such train trip from the Nagpur ICD to Kolkata Port on 3 February. “This multimodal solution is designed to improve transit time, reduce supply chain inefficiencies and lead time, promote sustainability and cost efficiency,” Concor said in a statement. “This is an end-to-end solution for container movement from customer factory, including first-mile connectivity, customs clearance, rail movement and barge connection.” The unique cross-border offering is a step further towards Maersk’s expanding multimodal profile in the Indian market as it works to meet trade expectations on service levels.

APM Terminals Pipavav has achieved productivity milestone in limestone discharge in bulk operation. The Port discharged the limestone vessel “MV El Matador’ within 46 hours, at the discharge rate of 31,263 MT per day. The vessel was berthed on arrival without any pre-berthing delay with singular focus on faster vessel turnaround considering strong vessel line-up in waiting. Limestone and other mineral cargoes are mostly handled with conventional mode at all Indian ports; wherein above operational feat is certainly one of the highest minerals discharge record against industry standards. The breakthrough productivity was achieved with the usage of Port’s state-of-art Gottwald Shore cranes & vessel cranes and seamless co-ordination at the Port ensuring safe and efficient operations. Commenting on Company’s initiatives, Jakob Friis Sørensen, MD, APM Terminals Pipavav, said, “We are proud of another productivity achievement at our port. Discharging the minerals at the rate of 31263 MT per day is an outstanding feat and shows our infrastructure capabilities, flawless planning, and co-ordination among our teams at the Port. We are committed to extend the best services to our customers by moving their cargoes safely and in the least possible time at our port through continuous infrastructure development.”