Monday, 11 July 2016




Air Freight News :

Hactl passes GDP audit with flying colours.



Hactl has completed its World Health Organization (WHO) Good Distribution Practices (GDP) audit, with no non-compliances or observations.
It is the third successive year in which Hactl has passed the audit with a perfect score.
Hactl was the first cargo handler in Hong Kong to attain WHO GDP accreditation; the initial and subsequent audits have been conducted by leading independent global standards auditor SGS.
The WHO GDP audit once again included examination of Hactl’s staff competence, premises, equipment, processes, quality control system and hygiene standards.
It confirmed that Hactl’s entire cold chain management system continues to conform to its specified standards and those of the relevant GDP legislation and guidelines, and that the company continues to adhere to its stated policies, objectives and procedures.
UPS reaches tentative contract agreement with pilots.



The Independent Pilots Association (IPA) and UPS Airlines have reached a tentative agreement on a new five-year labour contract for pilots, after four years of discussions.
UPS and IPA said the new agreement provides for improvements across all sections of the contract but added that specific details of the agreement will not be disclosed before the union presents the proposed contract to all UPS pilots.
The contract must be ratified by a majority of UPS’s 2,600 pilots. The vote by the pilots will be completed on August 31 and if ratified, the new contract will become effective from September.
“This tentative agreement has been unanimously approved and endorsed by both the IPA executive board and our negotiating committee. Over the next month we will present it to our members with an unqualified recommendation for ratification,” said IPA president Captain Robert Travis.
“This is an excellent offer and we are pleased to have reached this agreement,” said Brendan Canavan, UPS Airlines president.
“This contract rewards our crew members for their outstanding contributions and contains provisions that protect UPS’s ability to deliver competitive service to our global customers.”
The tentative agreement was signed yesterday by the IPA and UPS in the presence of Nicholas Geale, Chairman of the National Mediation Board (NMB).

Sea Freight News…


Ships get relief from piracy insurance premium at Indian ports

Financial Express
Ships entering or leaving Indian ports are not required to pay a piracy-related additional insurance premium now, a move which will help thousands of the vessels. The development has come after seas close to the country’s western coast were removed from the list of the High Risk Areas (HRA) for piracy. About 22,000 ships, that called on Indian ports between 2010 and 2015, paid an estimated additional war risk premium (AWRP) of about Rs 8,500 crore. “Ministry of Shipping took up the issue of redrawing of the High Risk Area (HRA) Line back to 65 Degrees E (from 78 deg E) in the International Maritime Organization and as a result the HRA was redrawn at 65 deg E,” the ministry said in a statement. “Thereby, the ships coming to or leaving Indian ports do not have to pay AWRP now,” the statement said.

Debt-ridden barge owners in Goa banking on Gadkari for bailout

Business Line
Struggling to get rid of high debts with bankers and financial institutions, barge owners in Goa are banking on Union Minister for Shipping Nitin Gadkari to bail them out through the intervention of Inland Waterways Authority of India (IWAI). IWAI is the statutory authority in charge of promotion of waterways in the country. With the iron ore mining and exports coming to a halt three years ago following the Supreme Court order, barge owners were one of the major stakeholders affected, with bank debts mounting to 360 crore with around 400 barges going out of work. Atul Jadhav heading the Goa Barge Owners’ Association (GBOA) has been seeking the intervention of the State and the Centre to overcome the debt crisis. GBOA initially tried in vain to press for complete takeover of all outstanding loans by the government under a Central assistance scheme of the IWAI.


Nitin Gadkari seeks US help to build smart transport systems

Economic Times
India is seeking US cooperation in innovative technologies in Intelligent Transport Systems (ITS) with its policy shift from 'Build Roads' to 'Move in India' with special emphasis on efficiency and improving logistics. This will be high on the agenda of Minister of Road Transport, Highways and Shipping Nitin Gadkari when he meets US Secretary of Transportation Anthony Foxx here on Monday. He will also seek US cooperation in areas of project highways, material, equipment, tunnel projects, road safety initiatives and training institutes and equipment like training simulators. Gadkari, according to an official accompanying him, will highlight the positive indicators contributing to the phenomenal revival of the roads and highways sector in India and brief Foxx about India's leapfrog from Bharat Stage BSIV to BSVI emission norms by 2020.

First cargo vessel reaches city from Hooghly

Times of India
For the trial of goods transportation through inland waterways of Ganga-Bhagirathi-Hooghly river system (NW1), a cargo vessel from Haldia reached Rajghat here on Monday and another vessel is likely to reach here in next two or three days. The first vessel from Haldia has already reached here and another vessel will arrive by Wednesday or Thursday, assistant director, IWAI A K Mishra said. "Presently, the vessel is docked near Rajghat as it cannot move further in the tortoise sanctuary without the permission of the forest department. After the nod of forest department, both the vessels will move to Ramnagar, where a terminal is being constructed for loading of goods," Mishra said. "The IWAI officials have sought permission for the movement of vessels and the matter is under consideration," DFO, Kashi Wildlife division Manoj Kumar Sonkar said.


New path forward for India's logistics industry

Meri News
India's position to 35th rank in the latest bi-annual World Bank Logistics Performance Index (LPI) report will open many corridors of opportunities as industry will witness swift growth in international as well as inter-state freights, an effect of Union Government's commitment to make India as a preferred destination for many global businesses. Noticeable in the government's latest first of its kind facility in India, the implementation of logistics data tagging of containers to track cargo at the JNPT. "The application of innovative tagging and tracking, which enables in-transit visibility and real time status update, has been so far successfully adapted in many advanced nations such as America, Japan and Germany. Introduction of the same in India is unquestionably claiming India's strong position in the global trade map", said Brijesh Lohia, Managing Director of Global Ocean Group in a statement.

India Ports See Huge Growth

Port Technology
Major public ports in India have seen first fiscal quarter growth of more than 6% in comparison to the same period in the last financial year, with the country’s 12 major ports handling more than 2.1 million TEU from April-June, 2016, compared to 1.99 million a year prior. PTI previously reported that India was looking to build another eight major ports across the country to bring the total number up to 20 and further fuel economic growth. Despite some political uncertainty, a greenfield deep-sea port has been approved by the Indian government and to be built near Colachel in Tamil Nadu, in order to reclaim gateway cargo lost to neighbouring regions. A major initiative currently taking place in the country is the ‘Sagarmala’ which aims to improve ports and logistics processes in India, and is anticipated to receive US$60 billion in investments over the next five years.


CMA CGM reconfigures Middle East to East Africa service

Arabian News
CMA CGM will reorganise its services connecting India and the Middle East to East Africa in a continued effort to provide increased reliability and quality services. The shipping line said in a release that the reorganisation was largely a result of evermore challenging market conditions in the container shipping sector. Starting mid July 2016, Noura Express and Swahili services will be reconfigured: reefer cargo from Port Victoria will go direct to India and to Europe with a weekly frequency instead of fortnightly. Service reliability to Mogadishu from Mundra will be improved with direct service in 18 days instead of in transhipment, and a very fast transit time from Jebel Ali to Port Victoria in 18 days. The Noura Express service operated with 4 vessels of 2,200 TEU will cease Salalah calls and add in Mundra and Port Victoria. Noura Express service new port coverage will be the following: Mundra - Khor Fakkan - Jebel Ali - Mombasa - Mogadishu - Port Victoria - Mundra.

China aims to out-flank India by developing Sri-Lanka as a shipping hub

Canadian Manufacturing
Sri Lanka—China’s Foreign Minister Wang Yi said his country will align its maritime silk road project with Sri Lanka’s development plans to enable the island nation to become a shipping hub in the Indian Ocean. Wang’s comments came after meeting Sri Lankan Foreign Minister Mangala Samaraweera, starting a two-day visit. It is a sign of Sri Lanka’s new government’s increasing receptiveness to Chinese projects having previously suspended some to investigate corruption and possible environmental hazards. “We’ll take the building of the maritime silk road as a priority to better align our development strategy including your five-year development plan so that we can come up with a comprehensive blue print for future co-operation, so that we can help Sri Lanka build itself into a shipping centre in the Indian Ocean,” Wang said.

Perishable exports on decline due to lack of packhouses

Times of India
Lack of certified perishable packhouses and accredited testing labs in Goa have led to a drop in the export of vegetables and fruits to four to five tonnes per day from a high of 60 tons per day in 2012, Goa Chamber of Commerce and Industry (GCCI) officials said. Despite Goa International Airport's attractive freight rates, exporters have found it difficult to increase exports and expressed their concerns to the state government in a recent meeting held with agriculture minister Ramesh Tawadkar. "There are at least 15 major exporters who are ready to export, but because Goa does not have a packhouse and an agricultural and Processed Food Products Export Development Authority (APEDA) approved testing lab, only two to three exporters are operating," said GCCI member and former secretary of Air Cargo Association of Goa Satyajit Bhattacharya.

Keeping pace with maritime regulatory changes

Hellenic Shipping News
Many of the players in the maritime industry are likely to associate the date 1 July 2016 with the entering into force of the new container weight verification requirements. Others view the same date as an important milestone in their work towards implementation of ECDIS onboard ships. Through our Gard Updates, we focus on a wide range of shipping, claims and insurance issues from the perspective of sharing knowledge and providing advice and recommendations on how to manage technical and operational risks, including information about important maritime regulatory changes (international, regional or domestic) that may affect Members’ and clients’ operations and obligations. Below are only a few examples of international and regional regulations that have entered into force so far in 2016 and for which non-compliance could compromise the safety of the ship and/or come with financial consequences for the shipowner:

LNG bunkering market: IMO regulations and government efforts to encourage usage of LNG as a bunker fuel across shipping industry

An increasing number of ships and vessels are using liquefied natural gas or LNG as a clean fuel to comply with the regulations laid by the International Maritime Organization (IMO) across emission control areas. LNG as a ship fuel reduces the emission of sulphur dioxide by 90-95% compared to the conventional petroleum fuels. This factor has propelled the growth of the global LNG bunkering market. The market stood at 70 kilo tons in 2013 and is anticipated to expand phenomenally at a CAGR of 63.6% during the period between 2014 and 2025. The overall market is projected to reach 22,540 kilo tons by 2025. The lack of LNG fuelling infrastructure across the major bunkering destinations is one of the primary factors impeding the growth of the LNG bunkering market worldwide. The high cost of building LNG fuel ships has slowed down their adoption among the shipping companies.

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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

Bloomberg
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.

Exim
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.

Joc
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.

Tuesday, 3 May 2016

UPDATED DAILY SHIPPING NEWS FOR WEDNESDAY MAY 04, 2016

India Ratings maintains mixed oultook for shipping sector

Deccan Herald
India Ratings and Research (Ind-Ra) has maintained a negative-to-stable outlook for the shipping sector for FY17 on the expectation of varied trends across sub-segments. The tanker segment, which accounts for the bulk of the fleet operated by Indian shipping companies (about 60%), is likely to continue performing better than other shipping segments due to its sound fundamentals. However, the dry-bulk, off-shore and container segments will remain under pressure in FY17, according to Ind-Ra. The agency expects the performance of the tanker segment to remain better than other segments in FY17 owing to healthy demand, manageable supply growth and continuation of the recent increase in long-haul shipments from West Africa to Asia.

Facilitating trade in Indian ports

The Hindu
The Indian port sector plays a vital role in sustaining growth in the country’s trade and commerce. It also has an important role in fulfilling India’s dream of achieving greater global engagement and integration with its trading partners. Much of India’s port-led development initiative is expected to revolve around growth in maritime trade, given its share in terms of both volume and value in the country’s overall trade statistics. Recognising the important role port-led development can play in India, the Central government has undertaken several initiatives such as development of new ports, modernisation and mechanisation of the existing ones, and reduction of logistics costs through the implementation of increased waterways transport. These are also in line with the vision of initiatives such as ‘Make in India’.
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Two decades on, Gujarat to revive port policy

Live Mint
After over two decades, Gujarat government, which was the first to lay down a port policy in the country in 1995, has decided to revive the policy that would nearly double the existing port (480 million tonnes) capacity to 1 billion tonnes by 2020 besides identifying new locations for greenfield ports. Gujarat Maritime Board, the regulator for all the non-major ports or ports that are not controlled by Central government in Gujarat, has got a nod from the state government last month to revive the policy with a target to maintain the present share of GMB traffic (32%) in the India’s maritime trade which is the maximum by any state in the country. With about half a dozen port locations out of the 10 identified by GMB in 1995 being stuck for viability or environmental issues and the new shipbuilding policy of the state laid down in 2010 yet to take off,

Plan of Multi-Model Transportation Hub at Surat discussed

Economic Times
The process for developing Surat railway station as a Multi-Model Transportation Hub (MMTH) has been set in motion with the stake-holders today discussing modalities of the Rs 600-crore project. Indian Railways Stations Development Corp (IRSDC) officials held discussions with the representatives of reputed developers and other real estate players for developing Surat in South Gujarat as MMTH. CEO of IRSDC Sanjeev Kumar Lohia presented the proposed plan and said the project was a golden opportunity of investment for developers and other real estate players. The project is to be built on design, build, finance, operate and transfer (DBFOT) basis through a joint venture of IRSDC, Gujarat State Road Transport Corporation (GSRTC) and Surat Municipal Corporation (SMC), he said. IRSDC is a special purpose vehicle of the Centre to develop new stations and redevelop existing ones.
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Budgetary aid for 4 ports slides 76%

The Hindu
The Centre has announced a government budgetary support of Rs.29 crore for the development of infrastructure projects in four ports for the current year against Rs.120.58 crore for the year-ago period as major ports have not announced expansion plans due to excess cargo handling capacity. V.O.C. Port is the major beneficiary with an allocation of Rs. 15 crore, followed by Chennai and Mormugao ports with Rs. 5 crore each, and Cochin Port Trust Rs.4 crore. An official from the V.O.C. Port said the funds would be used for construction of coastal cargo berth.

Centre paves way to fund roads, ports

Financial Express
The government is setting up a dedicated funding agency in the state sector for highways and ports. The move, Nitin Gadkari told FE, is in view of the Rs 25-lakh-crore investments envisaged in these two infrastructure sectors in the medium term. The new institution, on the lines of Power Finance Corporation, which is committed to electricity generation and transmission projects, would be set up with an initial equity capital of R500 crore, the minister said. The new institution, he said, would ensure that road and port projects don’t get crowded out by companies from other sectors. While the initial capital base of Rs 500 crore would largely be contributed by the National Highways Authority of India, all 12 major state-owned ports and Shipping Corporation of India will also contribute, Gadkari said, adding that efforts would also be made to bring in foreign funds at cheaper rates.
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Exporters seek release of funds blocked with Bengal Govt : EEPC India

Web India
Exporters dealing in engineering goods today made a strong plea with the West Bengal government for release of "considerable amount of money" blocked with state exchequer due to VAT related issues. The issue was raised at a meeting of the engineering exporters' apex body, EEPC India, which was presided over by principal secretary, MSME, West Bengal government Rajiva Sinha in the city. Regional Chairman (ER) EEPC India Arun Kumar Garodia said, " Exporters have mentioned that considerable amount of money is blocked with the West Bengal Government which should be refunded on time. The main issue is pertaining to Pre and Post export assessment of VAT." Besides, he said, there exists 15 per cent government duty on gross amount of power bill which should be waived off for exporting companies.

Forwarders warned of implications in SOLAS box weighing amendment

Sea News
With implementation of the new SOLAS just two months away, the European Liaison Committee of Common Market Forwarders (CLECAT) has warned that the container weighing amendment has profound implications for freight forwarders. CLECAT senior policy advisor Aidan Flanagan said that while it looks it is a problem for carriers and shippers, closer examination shows it has as much to do with forwarders. The most the most important issue, Mr Flanagan said, is the question of shipper identity. This arises when a freight forwarder is named as shipper on the bill of lading, when acting as carrier towards the original shipper. This makes the forwarder responsible for providing the verified gross mass, according to Lloyd's Loading List. As the forwarder is not actually loading the container, they do not qualify to verify the weight under the calculation method.
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GST to help reorient states towards export promotion : Parl panel

Business Standard
The states considering exports as a drag on their exchequer due to VAT refunds need to be discouraged and implementation of the GST regime would help reorient them towards export promotion, a Parliamentary panel has suggested. The Parliamentary Standing Committee on Commerce in its report said that the Department of Commerce must further deepen its engagement with the states and spread awareness about the merits of having an optimal export infrastructure and export promotion in general. This is important in view of the fact that barring a few exceptions, states are generally not taking desired interest in export development, the report tabled in Parliament today said. "They take export as a drain on their exchequer since they have to refund VAT on the products exported. This attitude of the state governments needs to be discouraged," it said.

Trade facilitation panel soon

The Hindu
The government has started the process to set up a National Committee on Trade Facilitation (NCTF) in the country to coordinate and implement the World Trade Organisation’s Trade Facilitation Agreement (TFA) aimed at easing customs norms to expedite global trade flows, Commerce Minister Nirmala Sitharaman said. The NCTF, which is in line with the government’s “Ease of Doing Business” initiatives, is meant to institutionalise co-ordination on trade facilitation between the 35-plus central government departments, private players and state governments. India had ratified the TFA in April. For the TFA to be operational, two-thirds (or 108) of the 162 WTO members will have to ratify it. So far, 77 countries have ratified it. Addressing the Consultative Committee Meeting attached to her Ministry on ‘Implementation of TFA’, Sitharaman said, the TFA will help in the world’s best trade practices being shared among the WTO member countries ratifying the pact.
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UPDATED DAILY SHIPPING NEWS FOR TUESDAY MAY 03, 2016

Accusations fly as Atlas Air pilots' union requests mediation.



A dispute involving 1,300 pilots flying for DHL-contracted airlines Atlas Air and Polar Air Cargo in the US looks set to go to mediation.  The Teamsters union said on 26 April that the National Mediation Board (NMB) which facilitates labour relations in aviation had agreed to the request despite the fact that the companies had “strongly objected”.

It added that the NMB had assigned a specialist airline labour mediator to assess the parties’ dispute and determine how best to proceed.   In response, Atlas Air said it believed the request for mediation was premature as negotiations had only just begun
.
"The NMB is currently investigating how to best move forward and will let the parties know what it concludes. While we continue to believe this request is early, we will cooperate fully with the process," Atlas said.  

Atlas pilot Captain Mike Griffith and union communications chairman said that his colleagues were “fed up with Atlas and Atlas Air Worldwide Holdings (AAWW)’s game playing and backroom corporate maneuvering to try to deny us basic workplace protections like the much-needed time to rest between international flights.”

AEI bags new freighter conversion orders.



Aeronautical Engineers (AEI) has signed a contract with Vallair to provide the company with four 11 pallet position Boeing 737-400SF freighter conversions.  All of the conversions will be modified by Commercial Jet’s Dothan, Alabama facility with the first one commencing in May 2016, followed by the remaining three modifications in June, July and September of this year.

"The AEI B737-400SF is the only passenger to freighter conversion product that offers operators ten full height 88” x 125” container positions," said AEI.  The additional container position increases AEI’s volumetric carrying capability by 10%.   The deal is the latest in a spate of conversion orders, primarily fuelled by demand from the express industry.
Last week, PACAVI confirmed the first orders for its Airbus A320-321passenger-to-freighter (P2F) conversion programme.  São Paulo based business charter company Colt Aviation/Colt Cargo, has ordered two converted A321 freighters with an option for one more and Norway’s Airline Management will acquire six A320 freighters.
Etihad adds new freighter connection into Muscat.



Etihad Cargo, the freight division of the UAE’s national flag-carrier, Etihad Airways, has introduced a new twice a week freighter service to Muscat, Oman, from its home hub of Abu Dhabi.  It has also added an additional frequency on its link to Kuwait City. Both routes are operated by Airbus A330 freighter.

David Kerr, vice president of Etihad Cargo, observed: “By strengthening our existing connectivity to Kuwait and introducing a new freighter service to Muscat, our frequency in the Middle East has now increased to 11 flights weekly.

“The Middle East market continues to perform strongly for us and is at the core of our operation. We will also be looking to expand elsewhere around the globe during the year ahead.”
That programme of expansion is being boosted by the addition of new freighters to the Etihad Cargo fleet (a B777F was delivered at the end of February and an A330F is expected later this year). Currently, Etihad’s freighter inventory consists of three B747 freighters, four B777Fs and four A330-200Fs

SF Airlines takes delivery of latest converted freighter.



PEMCO World Air Services has announced the redelivery of a Boeing 737-300 freighter aircraft to China-based SF Airlines, the air cargo division of SF Express.  The freighter, converted by PEMCO’s partner STAECO in Jinan Shandong, China, marks the fourteenth redelivery of a B737-300/400 to SF Airlines since 2013.  

SF Airlines plans to add five more PEMCO converted aircraft to its cargo fleet this year.  SF Airlines is a leading courier in China providing delivery service to over 15 countries, including the US.    PEMCO and STAECO have partnered on more than 50 Boeing 737-300 and -400 freighter modification projects since 2006.   

PEMCO’s latest 737-300 freighter conversion for SF Airlines provides nine pallet positions, up to 43,100 pounds of payload, and 4,600 cubic feet of total volume.

Slow start to the year for production freighter orders.



Orders for production freighter aircraft slowed in the first quarter of this year, but Boeing’s 747-8 programme did receive a boost through an order for four of the aircraft.
The latest updates from Boeing and Airbus show that during the first quarter of the year four orders were placed for B747-8 freighter aircraft from an unnamed customer, while FedEx placed an order for a single B767-300 freighter.

The total of five production freighters ordered during the quarter compares with 14 placed during the same period last year, when Korean Air ordered five B777Fs, Etihad took another two of the aircraft, Silk Way went in for three B747-8s, and Turkish Airlines opted for four Airbus 330-200Fs.

The order for the B747-8 aircraft provides a boost for the famous model, which has seen production levels cut of late based on a weak outlook for the cargo market

UPDATED DAILY SHIPPING NEWS FOR TUESDAY MAY 03, 2016

Impressive performance by Vallarpadam ICTT

Business Standard
DP World today said the International Container Transhipment Terminal at Vallarpadam here, operated by it, has started the Financial Year 2016-17 with a record-breaking container handling performance. The terminal in April 2016, handled more than 40,000 TEU, which is the highest volume handled in a single month in the history of ICTT, and a 29 per cent improvement on the volume handled in April last year, the company said in a release here. The terminal's impressive performance in April came on the heels of a 32 per cent growth in volumes in the first quarter of the current calendar year (January to March 2016). "ICTT has grown steadily so far in the current year, and we are happy that we are moving in the right direction at a very healthy pace," said Jibu Kurien Itty, Chief Executive Officer, DP World Cochin.

Government grants infrastructure status to shipyard industry

Times of India
The government has granted infrastructure status to the shipyard industry, a move that will help the sectoral players get long-term financing at cheaper rates. A gazette notification issued by department of economic affairs in the ministry of finance last month issued an updated "'Harmonized Master List' of Infrastructure". "The new list incorporates the following change to the notification dated October 13, 2014: Under the category of 'transport' a new sub-sector — shipyards is added," the notification said. The move will benefit private shipyards of L&T, Reliance Defence and Engineering Shipyard and ABG Shipyard. The transport sector now has seven sub-sectors — roads and bridges, ports, shipyards, inland waterways, airport, railway tracksand urban public transport.
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Large cargo of Chinese firecrackers seized at JNPT

Times of India
A huge import consignment of illegal Chinese firecrackers, worth crores, was seized recently by the customs central intelligence unit at Jawaharlal Nehru Port Trust (JNPT) in Nhava Sheva. The nine containers of the illegal cargo were being smuggled into India via the sea route. The shipment, weighing over 200 tonnes and labelled as 'glassware', was seized by the customs officials last week. This is one of the biggest hauls of imported firecrackers by the department. "When we opened the seized containers, the crackers were found smartly hidden inside, and bogus names and addresses were given. Further inquiry is on to find out who are behind it," said a JNPT official. The seized firecrackers have now been sent to an industrial waste management unit in Taloja, where they will be destroyed as hazardous waste products.

Iran and Oman mark first ever shipping exchange

Hellenic Shipping News
A consignment of pipes shipped from Oman’s Sohar Port and Freezone (Sohar) was discharged at the Iranian port of Bandar Lingheh for the first time this week, strengthening maritime trade ties between the two countries, Sohar Port & Freezone said in a release. At the same time, a shipment of gypsum bound for Sohar Port was loaded at the port in what is the first official commercial maritime exchange between the two countries. Mahmud Sabiree, director general of ports and shipping affairs at Bandar Lingheh, said that the exchange was the culmination of ongoing talks between Iran and Oman. Around 1,300 metric tonnes of pipes from Sohar Port were discharged during the maiden call with the vessel carrying around 20,000 metric tonnes of gypsum for discharge at Sohar Port on the return voyage.

Hyundai, Hanjin mull alliance options

JOC
Hanjin Shipping and Hyundai Merchant Marine have confirmed they are in discussions with other container lines on forming alliances when their current alliance agreements expire in 2017, assuming they survive their current liquidity crises. “HMM has already started sharing relevant information with other members to discuss reorganization of the alliance. We are afraid, however, that no details can be made public as of this moment," a spokesperson for HMM said. “Nothing has been decided yet on how the alliance will be reorganized afterwards.” This sentiment was echoed by a Hanjin spokesperson who said, "Hanjin Shipping has been preparing for a new alliance and is in talks with some of the liners. However, we cannot disclose which liners we are talking to."


Asia-N.Europe container freight rates jump 170 pct
Hellenic Shipping News
Shipping freight rates for transporting containers from ports in Asia to Northern Europe jumped 170 percent to $732 per 20-foot container (TEU) in the week ended on Friday, data from the Shanghai Containerized Freight Index showed. Spot freight rates on the world’s busiest routes soared as a result of planned rate increases announced earlier in April by the majority of the largest shipping companies. The shipping industry has been battling over-capacity linked to a glut of new vessels ordered during a boom period before the global financial crisis of 2007-2009. In the week to Friday, container freight rates increased 138 percent from Asia to ports in the Mediterranean, 18 percent to ports on the U.S. West Coast and 6 percent to ports on the U.S. East Coast.
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