Category Archives: Shipping

Tendering for developing inland waterways under Arth Ganga initiative is afoot

Inland water transport (IWT) has a 2% modal share in freight movement. Based on the findings of feasibility studies and detailed project reports (DPR), about 5149 km of 26 national waterways (NWs) have been determined to be viable for development for shipping and navigation purposes. The use of waterways is determined by a variety of criteria, the most important of which are vessel availability, uninterrupted fairway, and cost-effective first and last-mile connections. The availability of boats in the private sector has been limited for a variety of reasons, the majority of which are market-driven. In the case of a fairway, the development is only sustainable to the required level if the conservation works conducted are supplemented by sufficient water releases into the stream. Given the circumstances, there has been a positive trend in IWT traffic increase, from 19.77 MTPA on February 2, 2001, to 96.31 MTPA in 2021-22 (till February). According to the 2014 RITES Report on the “Integrated National Waterways Transportation Grid,” the cost comparison between the Inland Water Transport (IWT) mode and other dominant modes of surface transport is as follows: NW-1 (The Ganga) freight flow has increased from 4.89 million tonnes (MT) in 2016-17 to 9.21 million tonnes in 202-21, representing an 88 percent increase during 2016-17 and a 17 percent CAGR. The Inland Waterways Authority of India (IWAI) has taken on the execution of the World Bank-assisted Jal Marg Vikas Project (JMVP) at a total cost of Rs. 4634 crore, including work on activities in line with the Arth Ganga Concept at a cost of Rs. 746 crore. The JMVP-II was designed in July 2020 based on the Arth Ganga idea, with the goal of enhancing socio-economic development …

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TIACA now has cross-industry presence through Challenge Group

As one of TIACA’s newest members, Challenge Group brings a panoramic industry viewpoint to the association and has adopted the topic of sustainability as its initial focus point. Stronger and better together is doubly relevant when it comes to Challenge Group. The unique air cargo conglomeration has not only been working on bringing its individual fractions together under one brand, but it also seeks to offer its combined expertise to the international air cargo community. Challenge Group, therefore, recently became a member of The International Air Cargo Association (TIACA). “We joined as a non-voting member in October 2021,” says Yossi Shoukroun, CEO of Challenge Group, “because we are keen to contribute proactively and tangibly to the future of our industry. Challenge Group has more than four decades of air cargo airline experience. We’ve been involved in air cargo handling for almost 25 years, provide extensive road feeder services, and can offer other aviation expertise, too, so I believe that, as a group, we can bring valuable input to the broad TIACA community, a motivated community that has a clear direction for the future of our industry. There is strength in numbers, and it is this strength that will drive change. Together with other supply chain stakeholders, we can make significant progress on the many changes that are necessary for a cleaner, more efficient, and collaborative air cargo industry.” Glyn Hughes, Director General of TIACA, states, “It is with great pleasure that we welcome the Challenge Group to the TIACA membership family. They have a wonderful vision for sustainable growth and transformation, and we are excited about supporting the group on their journey.” One TIACA topic, particularly in focus within the …

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MSC joins White House FLOW project to boost supply chain data sharing

MSC is pleased to be part of the Freight Logistics Optimization Works (FLOW) data-sharing initiative, launched at the White House on March 15, 2022. This major project will help to clear supply chain bottlenecks by improving freight information exchange between key stakeholders and consumers, leading to faster delivery times and reduced costs for consumers. A diverse taskforce representing many stakeholders FLOW includes 18 initial participants, with the aim of welcoming more in the future. Representing diverse perspectives across the supply chain, partners include US-based port authorities, terminal operators, private businesses, logistics, and warehousing companies, as well as the ocean carriers MSC and CMA CGM. The FLOW partners will work together with the US Administration to develop a more efficient and transparent way of sharing information. The idea is to create a new digital tool where each company can share accurate, cargo-related data in real-time. “We are pleased to join and support the FLOW initiative led by the US Department of Transportation, as we strongly believe that a common and interoperable digital infrastructure throughout the container shipping industry is a critical step to making supply chains more efficient, secure, and resilient. Collaboration with governments and other key industry stakeholders is of paramount importance to MSC, and there is no doubt that this initiative will strengthen the foundation for the seamless, end-to-end exchange of information we all need to keep global trade moving today – and tomorrow,” said André Simha, Chief Digital and Information Officer at MSC. Shaping the future, together MSC is committed to building strong, cross-industry partnerships that pave the way towards a better future for shipping by taking advantage of digitalization opportunities. Examples of the company’s recent collaborations include …

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Dredging Corp inks Ship Building Agreement with Cochin Shipyard

The Dredging Corporation of India has signed a historic Ship Building Agreement for the first Make in India project for the construction of the first Beagle Series 12 Trailing Suction Hopper Dredger of 12000 Cubic Meter capacity at Cochin Shipyard Limited today in the presence of Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal, MoS Shripad Naik, and Secretary for Ports, Shipping and Waterways, Dr Sanjeev Ranjan. Speaking on the occasion, Sarbananda Sonowal said the Ministry, noting the importance of dredging for the operation of ports, has issued Dredging Guidelines for Major Ports. He said the need for sufficient dredgers is of utmost importance for timely completion of dredging and that the new dredgers would be able to bring in the much-needed efficiency and timely completion of dredging. He said this in turn would enable the smooth operation of vessels. Sonowal said the dredger built under the ‘Atma Nirbhar Bharat’ concept is one of the largest initiatives under Atmanirbhar Bharat and is a true reflection of international collaboration for Make in India. He said the Ministry, under the guidance of Prime Minister Narendra Modi, would be able to fulfill the objectives of the Maritime India Vision 2030 with well-equipped dredgers for the operation of ports to bring down the logistical cost of the cargo. Sonowal said that this Ship Building Agreement would also benefit from the Shipbuilding Financial Assistance Policy (SFAP) (2016) of the Ministry of Ports, Shipping & Waterways for Indian Shipyards for shipbuilding contracts secured between 01.04.2016 and 31.03.2026. Financial assistance is granted under this policy to Indian shipyards equal to 17 per cent of the lower of “contract price” or “fair price” or “actual payments received”, …

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RU-UA crisis is severely disrupting global supply chains: FIATA

The FIATA Multimodal Transport Institute (MTI) gathered to address the implications of the ongoing events in Ukraine for freight forwarding and logistics spanning sea, rail, and road transport. Aside from the catastrophic human repercussions, which the industry is particularly sensitive to, global supply chains, which have already been weakened by the effects of the pandemic and the current maritime crisis, are being severely disrupted. Driver shortages, difficulty transporting freight within the impacted zone, and capacity challenges have all been cited. Rising fuel prices are projected to be a concern for the whole industry. It was observed that multimodal solutions are critical to guaranteeing the movement of commodities throughout the impacted area during this war, with border crossings apparently feasible by rail transit via Moldova and the Port of Galati, or via Romania, which gives port access. Trans-Caspian routes are projected to be crucial. Members of FIATA should be aware of the sanctions imposed by certain countries in reaction to the conflict, and should visit the appropriate government pages on a regular basis. Countries currently enforcing relevant sanctions include, among others, Australia, the European Union, the United Kingdom, and the United States. It is understood that more sanctions are being considered.

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Major Port Authorities Act, 2021 to enable setting of port services’ tariffs

The Major Port Authorities Act, 2021 regulates, operates, and plans major ports in India and vests administration, control, and management of such ports in Major Port Authorities Boards. The legislation enables these ports to operate more efficiently as a result of improved decision-making autonomy and modernisation of their institutional framework. These ports have been given the authority to establish a scale of rates for port services and assets. Tariffs can be set by PPP concessionaires based on market conditions, for example. The compact Board of Directors, comprised of experienced independent members, is capable of boosting decision-making and strategic planning. Prior to the implementation of the Act, the overall capacity of major ports and the volume of cargo handled were as follows: *million tonnes per annum Connectivity is a vital enabler for ports since it is the end-to-end efficacy of the logistics chain that promotes industrial competitiveness. The Sagarmala initiative features a particular pillar of port connection projects to improve connectivity between ports and domestic production and consumption hubs. Under Sagarmala, 190 road and rail connectivity projects costing Rs 1.22 lakh crore have been identified for execution, with an emphasis on connecting large and minor ports. Fifty of these projects have been finished, while the remaining 140 are in different phases of development and execution. The Ministry of Road, Transport, and Highways (MoRTH), major port authorities, and other state organisations are principally in charge of implementing these projects. The government has launched a number of programmes aimed at port modernisation, automation, and digitalisation, with a focus on ease of doing business. This includes the implementation of web-based e-forms, direct port delivery, container scanners, radio frequency identification-based technologies for gate automation, a …

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Zero COVID-19 lockdowns will harm China’s supply chain more than Russia-Ukraine crisis

In the two weeks since Russia’s invasion of Ukraine, there seems to be a negligible impact on container prices and leasing rates in China. Container availability has improved from soon after the Chinese New Year until Friday across key ports in China. However, with the announcement of nationwide lockdowns, the supply chain must prepare for more turmoil in the coming months, impeding the flow of container movement as importers worldwide prepare for the peak season later this year. At the port of Ningbo, average prices for a 40-foot high cube container fell by 10%, approximately from $5930 on February 14th to $5329 on February 27th. As of March 10, this price stood at $5248. Similarly, average prices fell by 10–15% at the ports of Shanghai, Qingdao, and Shenzhen till March 11. Shenzhen witnessed a drop of 8% in the past two weeks. However, the lockdowns in Shenzhen, Zhejiang, Shanghai, Jilin, Suzhou, Guangzhou, and Beijing (19 provinces as of Sunday, probably more to come in a few days) imposed now will clearly heavily restrict container movement at these ports, which will, as we’ve seen in the past, prove to be further damaging to the global supply chain. Clearly, 2022 has not brought any cheer to the supply chain industry. On top of this, war will just prove to be another disruption amongst the other innumerable factors for China’s supply chain. Freight rates and container prices were already at a record high even before the invasion started, and what happened immediately due to the war was that the Russian ports were not being called by the national shipping lines anymore, the Black Sea being somehow closed, and the Asia-European railway being quite …

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Operation Seafarer was a success, with 45 Indian seamen rescued

With the joint operational efforts of Fleet Management Limited, a maritime services conglomerate, and Elegant Marine Services, a manpower agency, 45 Indian seafarers have been rescued from Ukraine. Late in February this year, seafarers arrived in the port of Mykolaiv aboard two vessels for a cargo operation. But as the military operations escalated on account of the Russia-Ukraine conflict, the cargo operation was aborted by the Ukrainian officials, and the entire crew was held up. Elegant Marine Services officials contacted the defence attaché and the Indian embassy in Ukraine after 45 Indian seafarers faced a food and provisions crisis and the imminent danger of being in a war-torn territory. Both the attaché and the embassy swiftly responded and came up with an evacuation plan. A bus was arranged to pick up all crew members and allow their passage through the exit gates with the proper approval of port authorities. The bus was escorted by a security party to the Moldova border. The embassy in Moldova further facilitated entry procedures and transported all the crew members safely to Romania. With the Indian tri-colour clearly visible on the bus windshield, the crew members made it safely to Romania.  Kishore Rajvanshy, Managing Director of Fleet Management Limited, a third-party ship management company headquartered in Hong Kong, said: “We are deeply concerned with the situation in Ukraine and our thoughts are with all those who have been affected by the conflict.” Despite this very frightening circumstance, the crew displayed an enormous amount of courage and bravery, and we are very relieved that both ships’ crews have been safely evacuated out of Ukraine, with one part of the crew already home in India and the …

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GEODIS gets GDP accreditation in China, bolstering its position in healthcare market

GEODIS has obtained Good Distribution Practice (GDP) Accreditation in China as the company ramps up its logistics services to meet the demands of the growing healthcare market. With COVID-19 exposing the emerging risks and weaknesses of the pharmaceutical industry’s supply chain, this accreditation underscores GEODIS’ commitment to ensuring the quality and integrity of pharmaceutical products for its customers across the logistics ecosystem.  The implications of the accreditation are extensive, given the stringent requirements published by the Chinese Ministry of Health (MOH) in 2013. The GDP certification requires comprehensive audits of all operational procedures in warehouses, ensuring that they are compliant with the highest industry standards for handling pharmaceutical products. This review process further highlights the role that logistics service providers play as vital partners in the healthcare supply chain.  “GEODIS is fully committed to ensuring our pharmaceutical and healthcare customers’ success in maintaining their delivery standards and reputation for high-quality products,” said Onno Boots, President and Chief Executive Officer, Asia Pacific, GEODIS. “This GDP accreditation demonstrates our continued dedication to providing industry-leading solutions and services in every aspect to meet the high standards set by China’s Ministry of Health.”  India, Korea, Thailand, and Singapore are also in the process of receiving certification from the IATA Center of Excellence for Independent Validators in Pharmaceutical Logistics (CEIV Pharma), which ensures international and national compliance to safeguard product integrity, whilst specifically addressing the requirements for air cargo handling and transport.

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Jeena Criticare completed milestone of 100 tonnes of vaccine deliveries

Recently, Jeena Criticare, the critical healthcare division of Jeena & Co., India’s trusted and reliable logistics company, recently announced having completed a milestone of 100 tonnes of COVID-19 vaccine deliveries across the country in the last year.  Throughout 2021—the year when the nation was on a fast track to completing COVID vaccination after a devastating 2nd wave—Jeena Criticare was at the forefront of these efforts. Be it as an appointed distributor of Serum Institute of India’s (SII’s) COVISHEILD vaccine deliveries for private hospital supplies across the country or as a part of the strategic collaboration for Asia’s first drone-based vaccine delivery project for the Telangana government, Jeena Criticare has played a pivotal role.  Apart from the above milestone, during the peak pandemic time till the end of 2021, Jeena Criticare has been instrumental in clearing and moving 3,000 MT of COVID care equipment that includes oxygen concentrators, RT PCR kits, PPE kits, hospital beds, medicines, and critical care drugs, masks, vaccines, and ventilators. Jeena’s Pharma Division has also been instrumental in getting fast-track import clearance, from the normal 24 hours to a special 5 hours flat, for COVID Care Aid and other healthcare transportation from countries like South Korea, Germany, USA, Taiwan, China, Italy, and also the WHO. With their global logistics support, Jeena has also been a part of India’s export chain, enabling healthcare to various countries and also for customers like the WHO (World Health Organisation). Jeena & Co., an over-100-year-old logistics company, has always been at the forefront of innovation in end-to-end logistics solutions and continues to be a trusted and reliable supply chain partner.  Speaking about the milestone achievement and the strong thrust on critical healthcare …

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