Govt frees ships from transshipment permits for Indian entities

The government has done away with licensing requirement for ships chartered by citizens of India or a company incorporated in India or a cooperative society registered in India for transportation of EXIM containers for transshipment purposes. Welcoming the decision, Maersk has said that it will bring greater competition to the feeder market.

Julian Bevis, Senior Director, Group Relations, Maersk South Asia, said, “The announcement made by the Ministry of Shipping to relax the Indian cabotage law enables global shipping lines to carry EXIM containers along India’s coast. This will bring greater competition to the feeder market which in turn would benefit local importers and exporters. Indian ports would also benefit as this positive change would allow them to compete for container traffic currently handled in adjacent regional hub ports. Maersk acknowledges the effort made by the Indian government to bring a constructive end to an issue that has been the subject of discussion for many years in India. We believe, that the change is a clear evidence of India’s resolve to bring reform to its logistics sector and thereby, enhance its ease of doing business and cost competitiveness ratings.”