Tuesday, 14 June 2016

Updated Shipping News 15th June 2016

Coming soon: Freight trains with assured transit time at no extra cost.

Business Line
Indian Railways is looking to launch time-tabled freight train for containerised routes within a few days without charging any extra freight charges, said multiple sources in the know. This was one of the announcements made by Railway Minister Suresh Prabhu in the Railway Budget. Container train operators (CTO) have been demanding trains with assured transit time for many years now. A few years ago, the Railways had launched assured transit time trains on certain routes with higher freight charges than those on which it did not charge any premium. This time, the Railways plans to launch time-tabled train for containerised cargo without charging a premium on existing freight charges, the source said. The proposed routes include Tughlakabad-Bengaluru, which will move containers on the domestic segment and JN Port-Chennai, which will move boxes on the export import segment.

Traders for maximum use of Kochi port

The Hindu
Industrialists here district have plans to maximise the use of Kochi port for import and export. The idea that the industrialists would benefit from the facility was prompted by a recent interaction they had with the Chairman of Cochin Port Trust, Senthilvel. The interaction was organised here by the Confederation of Indian Industry, Erode Zone. Mr. Senthilvel and P. Tamilvanan, Advisor (Marketing), Cochin Port Trust, told the gathering the Cochin Port Trust was opening up for investments, and apprised them about the measures taken for handling cargo from the North-Western region of Tamil Nadu in a cost-effective and efficient manner for the benefit of trade and development. Owing to the advantage of direct sailing to Europe in addition to the regular sailings to the gulf countries, and Colombo, Cochin Port Trust ensures reduction of seven days transit time and substantial savings in overall supply chain cost for Europe-bound exports, Mr. Senthilvel said.

Concor hopes to see cargo on Delhi-Bengaluru route doubling

Business Line
Container Corporation of India (Concor) will start running time-tabled freight trains between Tughlakabad and Delhi. The move comes on the back of Indian Railways’ move to launch time-tabled and assured transit time freight trains for containerised routes within a few days without charging any extra freight charges, said multiple sources. This was one of the announcements of Railway Minister Suresh Prabhu in the Railway Budget. At present, the Railways does not provide any assured transit time service for its freight customers, due to capacity crunch. Container train operators (CTO) have been demanding trains with assured transit time for many years now. A few years ago, the Railways had launched assured transit time trains on certain routes with higher freight charges. This time, the Railways plans to launch time-tabled train for containerised cargo without charging a premium on existing freight charges, the source said.

Singapore Port interested in investing in Colombo

Port News
As the Sri Lanka Ports Authority (SLPA) last week called for Expressions of Interest for the East Container Terminal (ECT) of the Colombo Port, the Business Observer learns that several key players have shown keen interest in coming to Colombo. Among the interested parties is the Port of Singapore Authority (PSA), a highly successful global port operator with facilities in several parts of the world. The Minister who met the chief executive officer of PSA in Colombo recently said: “They are bullish of the prospects for Colombo which has potential to become ‘the service provider’ for this part of the world when the middle classes of India, Pakistan and Bangladesh begin to exercise their ability to spend very soon.” Deputy Foreign Minister Dr. Harsha de Silva said trade of goods going through Colombo will be massive – and it makes so much sense for Colombo to be ready to be the logistics and shipping hub in the region and become a key part of the global production network.

Sri Lanka to enforce container weight rule from October 2016.

Economy Next
Sri Lanka’s ports and shipping ministry said new international safety regulations that make container weighing mandatory for shippers would be enforced from October 1, 2016. Local regulations giving effect to the International Convention for the Safety of Life at Sea (SOLAS) of the International Maritime Organization (IMO) would be implemented from July 1 by the director general of Merchant Shipping, a statement said. Minister of Ports and Shipping Arjuna Ranatunga has held discussions with all relevant parties involved in the shipping industry on the new IMO rule. The IMO said last month that it would take a “pragmatic approach” to the new container weighing law that comes into effect globally from July 1 and give three months for shippers and others to prepare in order to minimise supply chain disruption. The IMO relaxed its stance after surveys revealed that many shippers and forwarders were still not sure how they should comply with the new rules.

Hanjin Shipping Rises as Merger Hope Eases Survival Concern

Hanjin Shipping Co. gained the most in a week in Seoul trading as concerns that the unprofitable shipping line wouldn’t be able to survive eased after the government indicated a merger with a smaller rival is possible. Hanjin Shipping, South Korea’s biggest container shipping line, climbed 6.3 percent to close at 2,290 won, the largest gain since June 7. Hyundai Merchant Marine Co., the country’s second-biggest container shipping line, advanced 2.4 percent to 14,900 won. South Korea is reviewing various measures including a possible merger to increase competitiveness in its shipping industry, which is struggling with mounting debt after years of losses from weak demand, the Financial Services Commission said Monday. Hanjin Shipping is among liners worldwide that are selling assets, consolidating and seeking new partnerships to stem losses as slowing trade and overcapacity depress cargo rates.

Logistics Sector Set To Essay Key Role In India Growth Story

Business World
The domestic logistics sector is in a state of flux today. With the government initiating campaigns like Make in India to harness domestic entrepreneurial capabilities and the country witnessing the largest capital inflow till date from FIIs in fiscal 2015-16, the integrated development of the logistics sector is set to play a key role in the India growth story. The highly-anticipated passage of the GST legislation, the 7th pay commission implementation which is expected to spurt consumer demand and a revival in infrastructure spending are some of the key triggers which would place the logistics sector on a high growth trajectory. Two consecutive years of drought compounded with lower price for crops have negatively impacted consumer demand in rural areas, especially the hinterlands of the country.

Incheon port starts first ever container service connecting the Middle East.

Seatrade Maritime
South Korea’s Incheon port has commenced a new regular container service connecting the port directly to the Middle East for the first time, backed by Islamic Republic of Iran Shipping Lines (IRISL). Incheon Port Authority (IPA) announced that Iran’s state-run shipping firm IRISL has deployed the 5,100-teu boxship Touska into the route, named HDM Loof. Three boxships of 5,100-teu including Touska, and four 6,500-teu boxships will be put into operation into HDM Loof. As a result, a total of seven container vessels will enter Incheon New Port on a fortnightly interval. The launch of the new container service followed the partial opening of Incheon New Port since June last year. Yoo Chang-keun, president of the IPA, said: “It is very meaningful to open new route for Incheon Port and connect the port to Iran that has abundant natural resources and a big potential for high economic growth.

Sagarmala aims at sea change in India’s maritime & logistics sectors.

The government’s ambitious Sagarmala programme aims to change the way logistics evacuation happens in India and save logistics costs nationwide for cargo handled and evacuated through seaports. Augmenting the operational efficiency of ports, optimising logistics evacuation and increasing port-led development for India can help achieve this. The project could form around 2 per cent of the country’s GDP from coastal states and districts and create societal impact in the form of 10 million jobs, coastal community skill building, etc., highlighted a communiqué. There are five commodities—coal, petroleum, oil and lubricants (POL), iron ore, fertilisers, and containers—that contribute around 80 per cent of the total export-import freight movement with dynamic origin and destination points across the country. The broad vision of the Sagarmala programme stands on four pillars

Chennai hopes tech breaks bottlenecks.

Chennai shippers who have long been subjected to major cargo delays amid landside bottlenecks may soon see improvements as authorities at India’s second-busiest public gateway are deploying new technological systems to improve productivity. DP World-operated Chennai Container Terminal on Tuesday launched a mobile app that allows its customers to track the whereabouts of their containers. It is available for Android operating systems and can be downloaded from the Google Play store by keying in “DPW Chennai.” "Users can track the status of their containers in real time with information on the exact position of the container — whether it is in the yard, has been loaded, is in transit to the container freight station, or has been delivered,” the Dubai-headquartered company said in a trade advisory.