EM­BRAC­ING CHANGE TO STAY AHEAD OF HE CURVE

Day-long de­lib­er­a­tions at the an­nual Con­tain­ers In­dia con­fer­ence fo­cused on some of the re­cent trends in In­dia's con­tainer­ized trade in­clud­ing Cab­o­tage re­lax­ation, dig­i­tal­iza­tion and Port Com­mu­nity Sys­tem

Maritime Gateway - - Front Page -

At the out­set, Ram­prasad, Ed­i­tor-in-chief and Pub­lisher, Mar­itime Gate­way took a quick flash­back of the de­vel­op­ments in the in­dus­try at the in­ter­na­tional level, since the last edi­tion of Con­tain­ers In­dia. At the global level, po­lit­i­cal sys­tems have be­come more volatile and cer­tain na­tions have be­come more ag­gres­sive in their trade strate­gies, re­sult­ing in trade wars. In In­dia ini­tia­tives such as de­mon­eti­sa­tion, GST and DPD had their im­pacts, but on the pos­i­tive side a lot of con­tainer han­dling ca­pac­ity has been added with PSA, Paradip, En­nore and Dhamra ter­mi­nals get­ting op­er­a­tional­ized.

De­tail­ing on the pos­i­tive growth tra­jec­tory the In­dian con­tainer­ised trade has posted, Ram­prasad said, “The trade per­for­mance in Q1 of FY18 has been bet­ter than the past two years. In FY 2017-18, the to­tal through­put of In­dian con­tainer ter­mi­nals reg­is­tered was 15.37 mil­lion teus, with Y-O-Y growth of 12 per cent and in the same year the to­tal in­stalled ca­pac­ity reg­is­tered was 27.05 mil­lion teus, re­flect­ing lower ca­pac­ity util­i­sa­tion on the over­all level that stood at 57 per cent. But on the flip side, im­ports have grown by 16 per cent and ex­ports by 7 per cent.”

There has been a lot of shakeup in the in­dus­try in the name of liner con­sol­i­da­tion, dig­i­tal­i­sa­tion and in­fra­struc­ture up­grades. But this re­bound in trade in­di­cates that the econ­omy has been able to tide over all these. More de­tails on the per­for­mance of In­dia’s con­tainer­ised trade were re­vealed by Dr Subrata Be­hera, Man­ager – Ports & Con­tain­ers Re­search, Drewry Mar­itime Ser­vices Pvt Ltd. He elab­o­rated on how the sixth edi­tion of In­dian Con­tainer Mar­ket An­nual Re­port has been de­vel­oped to be less an­a­lyt­i­cal and more in­for­ma­tive.

Capt. Deepak Te­wari, Chair­man, CSLA, spelled out cer­tain changes that will af­fect the mar­itime in­dus­try. Count­ing on the growth hap­pen­ing across the globe he said, “The world trade is ex­pected to grow at 4.7 per cent in 2018 and 4 per cent in 2019. This growth bodes well for mar­itime trade. Some of the chal­lenges will be in the form of trade sanc­tions and bar­ri­ers by coun­tries hav­ing a more lo­cal per­spec­tive rather than a global per­spec­tive. For in­stance, the US has started new ne­go­ti­a­tions in the trade agree­ments they ear­lier par­tic­i­pated and have also with­drawn from cer­tain agree­ments. This will have its domino ef­fect on global trade. Con­tainer ship­ping will con­tinue to face over­ca­pac­ity till first half of 2019 as the large ves­sels will be de­ployed on the east-west trade lanes. By the end of 2020 there will be a bal­ance be­tween ca­pac­ity and de­mand. Ris­ing bunker cost is a ma­jor fac­tor that is push­ing op­er­a­tional cost of ship­ping lines. With the im­ple­men­ta­tion of IMO reg­u­la­tions the global bunker cost will in­crease to $125 bil­lion an­nu­ally.

On the In­dian coast, re­lax­ation of Cab­o­tage will in­crease tran­ship­ment and boost com­pe­ti­tion for mov­ing both exim and empty con­tain­ers.

The ex­emp­tion of ves­sel shar­ing agree­ments from Com­pe­ti­tion Act will en­able ship­ping lines bet­ter plan their ser­vices to In­dian trade. The cre­ation of a Na­tional In­te­grated Lo­gis­tics Por­tal will make it very easy for ship­pers to find ser­vice providers.

Guest of hon­our, Sub­hash Agrawal, IRS, Com­mis­sioner (NSIV), Jawa­har­lal Nehru Cus­tom House, Depart­ment of Rev­enue, Min­istry of Fi­nance, Gov­ern­ment of In­dia, gave in­sights into how Cus­toms have evolved from man­ual sys­tem of op­er­a­tion to us­ing elec­tronic sys­tems such as the ICA sys­tem and RMS. New schemes such as SWIFT, E-SANCHIT, AEO and DPD have made the lives of im­porters much easy, re­duc­ing time and cost of trans­ac­tions.

Re­lease of In­dian Con­tainer Mar­ket Re­port 2018: (L to R) Ram­prasad, Ed­i­tor-in-chief and Pub­lisher, Mar­itime Gate­way, Sub­hash Agrawal, IRS, Com­mis­sioner (NS-IV), Jawa­har­lal Nehru Cus­tom House, Dept of Rev­enue, Min­istry of Fi­nance, Govt of In­dia, Capt. Deepak Te­wari, Chair­man, CSLA,Dr Subrata Be­hera, Man­ager – Ports & Con­tain­ers Re­search, Drewry Mar­itime Ser­vices Pvt Ltd.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.