Samsara Newsletter

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Week 15, 2019 (Apr 06 - Apr 12)

Policy & Economy News

India to lead Global economic growth in Q2 2019: DHL

India to grow at 7.3% in 2019 and 7.5% in 2020: IMF

Business News - The India Boom Factor

India's FY box trade robust despite challenges

Sugar mills to export 2.7 million tonnes in current season

Grape exports up

ICRA expects domestic tyre demand to grow 7-9% between FY'19-FY'23

Shipping News

Wan Hai Lines launches China India Express 2 service at Cochin Port

Domestic Transshipment handling hits new high in February 2019

Land-sea freight route connects China's Chongqing, India

Logistics News

JN Port routes more than half of its container traffic through DPD in March

Indian Port News

VOC Port handles 5.38 % higher Container traffic in FY 2019

Visakhapatnam Port extends existing rebates on Vessel Related Charges

Policy & Economy News

India to lead Global economic growth in Q2 2019: DHL
Daily Shipping Times: Mumbai, April 11 Top
India's pace of growth looks set to remain the highest of the world's largest economies despite a decrease in both air and ocean trade growth, according to data from the DHL Global Trade Barometer released by DHL, the world's leading Logistics Company.

The DHL Global Trade Barometer, an early indicator of global trade developments calculated using Artificial Intelligence and Big Data, revealed that India's trade growth outlook - coming in at 59 points on the Index - will be driven primarily by an uptake in both imports and exports of Personal Household Goods, Temperature or Climate Controlled Goods and Land Vehicles & Parts, which increased in index points by 19, 16 and 2 respectively. However, India's ocean trade dropped sharply by almost 20 points to 63, while air trade is also expected to stagnate in the coming quarter.

"India has not been immune to the current global economic climate, but businesses operating in the Country can afford to remain positive: despite increasing headwinds, India has managed to maintain the highest predicted trade growth of all the GTB countries," said Kevin Leung, CEO, Global Forwarding Asia Pacific. "With its annual GDP growth rate still running at an impressive 7.5%, India remains somewhat insulated from global trade volatility thanks to high domestic private consumption, which accounts for 60% of the country's GDP and is expected to generate up to $6 trillion in opportunities for growth. It's no surprise that the Personal Household Goods sector is seeing a steady increase on the ocean import side, while a decrease in air exports of Consumer Fashion Goods appears to have been largely offset by high domestic consumption."

The Barometer's results also suggest that global trade growth looks set to slow down over the next three months, signalling only a slight growth. However, the top three nations with the highest indexes are all in Asia, namely India, Japan, and China. Indices for all seven countries that constitute the Global Trade Barometer index - including the US, UK and Germany - are above 50 points except for South Korea. In the Global Trade Barometer methodology, an index value above 50 indicates positive growth, while values below 50 indicate contraction.

Launched in January 2018, the DHL Global Trade Barometer is an innovative and unique early indicator for the current state and future development of global trade. It is based on large amounts of logistics data that are evaluated with the help of artificial intelligence. In order to make this valuable data accessible for academic research and to increase the macroeconomic significance of the indicator, DHL recently entered into research cooperation with Eswar S. Prasad, Professor of Trade Policy and Economics at Cornell University in Ithaca, NY, USA. The indicator is published four times a year and the next release date is scheduled for June 2019.

India to grow at 7.3% in 2019 and 7.5% in 2020: IMF
PTI: Washington, April 10 Top
India is projected to grow at 7.3 per cent in 2019 and 7.5 per cent in 2020, supported by the continued recovery of investment and robust consumption, thus remaining the fastest growing major economy of the world, according to the IMF.

In 2018, India's growth rate was 7.1 per cent, as against China's 6.6 per cent. In 2019, the International Monetary Fund (IMF) projected a growth rate of 6.3 per cent for China and 6.1 per cent in 2020, according to the latest World Economic Outlook projections released ahead of the annual spring meetings of the International Monetary Fund and the World Bank.

"In India, growth is projected to pick up to 7.3 per cent in 2019 and 7.5 per cent in 2020, supported by the continued recovery of investment and robust consumption amid a more expansionary stance of monetary policy and some expected impetus from fiscal policy, the report said.

"Nevertheless, reflecting the recent revision to the national account statistics that indicated somewhat softer underlying momentum, growth forecast have been revised downward compared with the October 2018 WEO by 0.1 percentage point for 2019 and 0.2 percentage point for 2020, respectively," it said.

Growth in India, the report said, is expected to stabilise at just under 7 per cent over the medium term, based on continued implementation of structural reforms and easing of infrastructure bottlenecks.

The World Economic Outlook believes that in India, continued implementation of structural and financial sector reforms with efforts to reduce public debt remain essential to secure the economy's growth prospects.

"In the near term, continued fiscal consolidation is needed to bring down India's elevated public debt. This should be supported by strengthening goods and services tax compliance and further reducing subsidies, it said.

Important steps have been taken to strengthen financial sector balance sheets, including through accelerated resolution of non-performing assets under a simplified bankruptcy framework, it noted.

"These efforts should be reinforced by enhancing governance of public sector banks. Reforms to hiring and dismissal regulations would help incentivise job creation and absorb the country's large demographic dividend; efforts should also be enhanced on land reform to facilitate and expedite infrastructure development, the report said.

On the other hand, economic growth in China, despite fiscal stimulus and no further increase in tariffs from the US relative to those in force as of September 2018, is projected to slow on an annualised basis in 2019 and 2020.

This reflects weaker underlying growth in 2018, especially in the second half, and the impact of lingering trade tensions with the United States, the IMF said.

Business News - The India Boom Factor

India's FY box trade robust despite challenges
India Seatrade News: April 12 Top
Fiscal 2018-2019 has been a remarkably robust year for India's emerging containerized trade, as government authorities and other stakeholders worked harder than ever to accelerate growth and productivity rates via infrastructure upgrades, digitization, pro-business reforms, and integrated logistics efforts. The Indian fiscal year runs from April to March.

An impressive 8 percent spike in containerized movement at the country's major state-owned ports during the year reflects that renewed push. Combined major ports' yearly throughput increased to 9.9 million TEU from 9.1 million TEU in 2017-2018. The 12 major ports cumulatively represent approximately 60 percent of containerized freight shipped in and out of India.

On the infrastructure front, the biggest capacity addition came from PSA International's 2.4 million-TEU Bharat Mumbai Container Terminals (BMCT) at Jawaharlal Nehru Port Trust (JNPT), India's busiest container harbor. With the new terminal having settled into a speedier operating rhythm after initial rail-handling hurdles, recent months have seen all JNPT terminals refocusing around productivity to impress liner customers with predictive gains for beneficial cargo owners (BCOs).

The January 2018 opening of Adani Ennore Container Terminal (AECT), about 15 miles north of Chennai, was another notable capacity expansion effort on the country's east coast. AECT features a 400-meter (1,312 feet) quay, four rail-mounted quay cranes, 12 rubber-tire gantry cranes, and a capacity of 800,000 TEU annually in its first phase. A weekly intra-Asia call from Maersk Line in October last year provided a lifeline for the new eastern terminal after being a non-starter over carrier concerns tied to vessel-related charges at the port.

Despite continued general weak demand, throughput at all leading major container ports remained on an upward curve during the year, with JNPT leading the pack. The top port's annual volume hit an all-time high of 5.1 million TEU, a gain of 6.2 percent year over year, which translates into more than half of the total major ports' countrywide traffic. This feat, in a hyper-competitive market environment saddled with excess capacity, is particularly significant.

The growth was led by APM Terminals' Gateway Terminals India (GTI) with 2.04 million TEU, up from 2.03 million TEU in the prior year. PSA's BMCT, in its first full year of operations since the opening in February 2018, handled 520,126 TEU, a good start, given the inevitable challenges confronted by a newcomer.

With two terminals at JNPT, DP World's combined market share also gained traction, with volume rising 15 percent year over year to 1.5 million TEU. The company has lately been prioritizing its newer facility Nhava Sheva (India) Gateway Terminal (NSIGT) in an attempt to dodge tariff complications plaguing the other older unit, Nhava Sheva International Container Terminal (NSICT).

However, state-owned Jawaharlal Nehru Container Terminal (JNCT) took a heavy hit because of recent berthing window rearrangements by carriers for greater productivity benefits. As a result, JNCT's throughput crashed 29 percent in the last fiscal year to 1.06 million TEU from 1.48 million TEU in 2017-2018, new data show.

The busiest east coast harbor, Chennai port, shipped 5 percent more containers in fiscal 2018-2019 than it did the year before to reach 1.6 million TEU, fighting against a new breed of private minor regional rivals, particularly Kattupalli and Krishnapatnam, and long-running productivity issues due to truck access problems.

There have also been volume gains at other smaller government-owned container ports - up 6 percent at Tuticorin (V.O. Chidambaranar), up 4 percent at Kolkata, up 7 percent at Cochin, and up 16 percent at Visakhapatnam. Fiscal 2018-2019 statistics relating to container trade via private minor ports, dominated by Adani Group terminals, were not immediately available.

The rollout of paperless gate systems and a radio-frequency identification (RFID) technology-enabled container tracking service has had a transformational effect across the country's supply chain, aiding cargo dwell time fluidity and improving transparency.

The RFID-based tagging and tracing tool enables supply chain stakeholders to track goods in transit through the port to inland container depots, container freight stations, and end-users, thus bringing down logistics costs on the back of improved predictability and optimization of cargo flows.

Given the shippers' increasing push for real-time (or near real-time) shipment visibility, the government is doubling down on its investment in digital solutions by expanding the RFID offering to more container ports, including private ones, and streamlining port services via an advanced port community system. In addition, direct port delivery service - under which imports can be cleared directly from the wharf within 48 hours of landing at the port - is drawing tremendous shipper support, with JNPT transacting as much as 52 percent of its laden imports through the speedy channel in March.

Amid growing competitive pressures, supply chain providers in trade to and from India are also increasingly pursuing integrated container logistics solutions to supplement their traditional, niche offerings and establish a larger presence in the emerging market. For example, DP World, which holds six terminal concessions in India, is already working to extend its reach "beyond the terminal gates" to offer door-to-door logistics solutions through further investments in warehousing zones and railroads in the country.

"With the global competition and the need to reach far-flung destinations within stipulated time frames, modern businesses today are seeking to adopt an integrated and organized logistics approach," Aditya Vazirani, director of Mumbai-based freight forwarder Robinsons Global Logistics Solutions, told.

India has built sufficient container capacity - currently pegged at 27 million TEU - but what it lacks is an efficient multimodal logistics network to minimize cargo transits to and from gateway ports. Although it is in the early stages of development, an ambitious government program to switch from a point-to-point transport system to a hub-and-spoke model should aid freight movement on low-volume corridors.

"Today, logistics costs in India account for 13 to 17 percent of the country's GDP, which is nearly double [6 to 9 percent] the level to GDP in developed countries such as the US, Hong Kong, and France. Much of the higher costs could be attributed to the absence of efficient intermodal and multimodal transport systems. Moreover, warehousing has also been facing major challenges, leading to increased logistics costs that are borne by the end users and other stakeholders," Vazirani added.

Sugar mills to export 2.7 million tonnes in current season
Daily Shipping Times: New Delhi, April 12 Top
Indian sugar mills have contracted to export 2.7 million tonnes of sugar since the current season began on Oct. 1, a leading trade body said recently. Mills have already shipped out 1.7 million tonnes of the sweetener, Praful Vithalani, President of the All India Sugar Trade Association, said. Indian mills have sold nearly an equal quantity of raw and refined, or white sugar, for which the top destinations are Bangladesh, Sri Lanka, Somalia, Iran and Sudan, Vithalani said. India, the world's biggest sugar consumer, late last year approved incentives to encourage cash-strapped mills to export at least 5 million tonnes of sugar in the 2018-19 season to help prop up prices by trimming bulging stocks.

Grape exports up
Exim News Service - Mumbai, April 7 Top
Grape exports from Maharashtra have reached a volume of more than 1.91 lakh tonnes, with a 20 per cent rise, this season.

Exports are likely to surpass the previous year's level as there is an increase in the output of export-quality grapes this year given the conducive weather in key growing areas of the state.

There have been around 7,480 containers of exports from various grape-growing regions in the state, with the share of the Nashik region being 80 per cent. Volumes are expected to increase further, reports said.

ICRA expects domestic tyre demand to grow 7-9% between FY'19-FY'23
PTI: New Delhi, April 12 Top
The domestic tyre demand is expected to grow in the range of 7-9 per cent over the five year period between 2018-19 to 2022-23, rating agency ICRA said Thursday.

The market would also continue to witness investments over the period of next three years, it added.

"ICRA expects the domestic tyre demand to grow by 7-9 over the next five years (2018-19 to 2022-23)," ICRA Vice President and Co-Head, Corporate Ratings K Srikumar said in a statement.

With a stable demand outlook and strong credit profile, the domestic tyre makers will continue to invest in capacities, he added.

"Based on announcements, the industry is likely to witness a capacity addition of over Rs 20,000 crore (Rs.200 billion) in the next three years," Srikumar said.

The revenue growth for tyre industry is pegged at 14-15 per cent for 2018-19, with operating margin and net margin of 14 per cent and 7 per cent, respectively, almost in line with 2017-18, he added.

"For 2019-20 to 2021-22, revenue growth is projected at 9-10 per cent with operating and net margins at 14-15 per cent and 6-7 per cent, respectively," Srikumar said.

Shipping News

Wan Hai Lines launches China India Express 2 service at Cochin Port
Exim News Service - Kochi, April 11 Top
On Wednesday, April 10, 2019, Taiwan's Wan Hai Lines launched the China India Express 2 (CI2) service at Cochin Port with the inaugural call at the International Container Transhipment Terminal (ICTT), Vallarpadom by its vessel Wan Hai 510.

The commemoration ceremony started with the exchange of commemorative plaques between the vessel Capt., Cochin Port Trust, ICTT (DP World), Wan Hai and Omega Shipping. Gracing the occasion were Capt. Xijun Song, Master of vessel Wan Hai 510; Dr M. Beena, IAS, Chairperson, Cochin Port Trust; Capt. Joseph J. Alapatt, Deputy Conservator, Cochin Port Trust;

Mr Goutam Gupta, Traffic Manager, Cochin Port Trust; Mr Pullela Nageswara Rao, Chief Commissioner of Customs; Mr Abby Yang, Chief Owner's Representative, Wan Hai Lines (India) Pvt. Ltd; Mr Andrew Yang, Taipei Head Office, Wan Hai Lines Ltd; Mr George Abrao, Managing Director, Omega Shipping Agencies Pvt. Ltd; Mr Lenny Abrao, Director, Omega Shipping Agencies Pvt. Ltd; Mr Edman Chen, Owner's Representative, Wan Hai Lines (India) Pvt. Ltd; Mr Albert Lin, Owner's Representative, Wan Hai Lines (India) Pvt. Ltd; and Mr Austen Kao, Owner's Representative, Wan Hai Lines (India) Pvt. Ltd.

The service has the following port rotation from Cochin: Cochin-Penang, Port Klang; Hong Kong, China - Qingdao, Shanghai, Ningbo, Shekhou

It also offers quick connections with multiple services to:

* Taiwan - Keelung, Taichung, Kaoushing

* Japan - All base ports, Moji, Hakata, Yokkaichi, Imari, Shibushi

* China - Huangpu, Xiamen, Xingang, Wuhan, Tianjin, Nansha, Fuzhou and all major ports and inland points

* Korea - Busan, Incheon, Kwangyang

* Vietnam - Haiphong, Ho Chi Minh, Danang

* Indonesia - Jakarta, Belawan, Surabaya, Semarang

* Thailand - Bangkok, Laem Chabang, Lat Krabang

* Philippines - North Manila, South Manila, Cebu, Davao

* US West Coast - Long Beach, Oakland

* West Coast of South America - Callao, Buenaventura, Guayaquil, Puerto Quetzal, Manzanillo, Lazaro Cardenas, San Antonio, Iquique

Mr Praveen Joseph, Chief Executive Officer of DP World (ICTT Vallarpadam), welcomed the gathering and spoke of the importance and value brought to Cochin Port, the container terminal and the export and import community by such mainline direct services. As Wan Hai Lines, a prominent intra-Asian carrier, is operating the service, there is bound to be growth and enhancement to the service over time. He also said that Wan Hai Lines, ably supported by its agent Omega Shipping, would certainly provide great support and bring growth to the volumes on this service and the trade lane.

Dr M. Beena spoke about the long and historical ties between China and Cochin, pointing to the Chinese fishing nets and the growing trade between China and the Far East sector and Cochin Port. The value being brought by the service, which will link key ports in China and other Far East ports to Cochin, is through providing faster transit and better connectivity. She thanked Wan Hai Lines and its agent for bringing the service to Cochin Port.

Mr Pullela Nageswara Rao spoke of how Customs looks forward to the launch of such services as it adds to the trade volumes. Customs would be a great facilitator and would be there to provide all assistance. The growth of trade brings benefit to all, he added. He further highlighted the assistance and support of Cochin Port Trust, led by the dynamic and able Chairperson Dr Beena and the International Container Transhipment Terminal led by CEO Mr Praveen Joseph and their respective teams.

Mr George Abrao thanked the gathering for their support and presence and also mentioned that having a container service call at Cochin Port is a proud moment as the very first container to land in India was handled by his family firm Paul Abrao & Sons as stevedores for American Presidents Lines in 1973. He thanked the multiple agencies like the port, ICTT, Customs, Immigration and PHO for their valuable support as also the Wan Hai and Omega teams for working hard to ensure the success of this service.

Domestic Transshipment handling hits new high in February 2019
Daily Shipping Times: Mumbai, April 12 Top
A steady increase in India's domestic transshipment handling - propelled by a May 2018 cabotage rule change - signals further ocean carrier moves to broaden their ports of call in the emerging market economy as consumer demand for end-to-end supply chains swells.

In its latest filing to the Ministry of Shipping, the Container Shipping Lines' Association of India (CSLA) - the local umbrella body of Foreign Shipping Lines - said member carriers were able to redirect an estimated 94,986 TEU of containerized freight to mainline ships calling at Indian Ports during February, which was the highest monthly incremental gain since the relaxation of the rule and up from 93,646 TEU in January. According to CSLA, the share of loaded containers in that regained volume hit a new high of 88 percent, or 83,324 TEU, versus 87 percent during January, with empty equipment movement constituting the remaining 12 percent. The group also argued that in the normal course of events with limited or inadequate mainline calls, shippers would have had to depend on the foreign transshipment ports of Colombo, Sri Lanka (38,944 TEU, or 41 percent); Singapore (20,897 TEU, or 22 percent); Port Klang, Malaysia (10,448 TEU, or 11 percent); and others (24,697 TEU, or 26 percent).

Although there are still open issues revolving around the real beneficiaries of such freer, unrestricted coastal operations, where privately run minor terminals obviously hold an edge over state-owned ports because of their unregulated tariffs and infrastructure advantages, industry leaders generally hold a view that India's container shipping industry is slowly but steadily heading into a more streamlined, shipper-oriented environment. With fewer mainline/long-haul calls - a problem largely stemming from draft limitations and a lack of sufficient gateway cargo, Major Ports on East coast have thus far largely functioned as feeder points with their operations relegated to sending and receiving domestic cargo shipped through foreign hub ports.Statistics show an estimated 2 million TEU of a total 4.5 million TEU transported to and from the Country's Southeastern region are currently relayed over foreign ports, but recent direct call additions at Tuticorin and Cochin by a Wan Hai Lines-led intra-Asia consortium are expected to help mitigate the burdensome logistics issues shippers in that region encounter when shipping their goods.

Although transformation from foreign transshipment to direct shipping is going to be a long and onerous task, there are some encouraging trade trend indicators. India's foreign transshipment as a percentage of total containerized trade during the April-December 2018 period edged down to 27.2 percent from 28.8 percent in the same period of 2017, according to data collected by JOC. More direct carrier calls under way should help build on the already diminishing foreign transshipment trend."Post cabotage relaxation, the Indian Government is keen on promoting Major Ports on the East and West Coasts to help the trade demand in attracting more transshipment cargo at Indian Ports," according to Maersk Group in a recent regional market analysis. The Krishnapatnam Port, an emerging alternative private harbor about 112 miles North of Chennai, appears to have seized the opportunity to lead transshipment handling in the region. Out of a total record throughput of 506,000 TEU at Krishnapatnam (renamed Navayuga Container Terminal, or NCT) during fiscal year 2018-2019, which ended March 31, as much as 230,682 TEU came from transshipment movement.

Moreover, that transshipment figure included an all-time monthly high of 27,428 TEU during March. Another dominant transshipment contender, DP World's International Container Transhipment Terminal (ICTT), or Vallarpadam Terminal, at Cochin Port also ended fiscal year 2018-2019 on a solid note, with volume up 7 percent year over year to 594,592 TEU, according to new data collected by JOC. ICTT's growth prospects are expected to brighten further as a result of Wan Hai's intra-Asia service addition, which is scheduled to begin April 9.

Land-sea freight route connects China's Chongqing, India
India Seatrade News: April 12 Top
A new land-sea freight route was launched Wednesday, linking southwest China's Chongqing Municipality and India.

A freight train carrying 25 containers will departs from Chongqing on Wednesday and stop at Qinzhou port in south China's Guangxi Zhuang Autonomous Region on Friday.

Freight such as auto parts worth a total of over 8 million yuan (about 1.2 million U.S. dollars) will then be transported by sea to India within about 20 days.

The new route is part of the New International Land-Sea Trade Corridor, a trade and logistics passage jointly built by western Chinese provincial regiones and ASEAN countries under the framework of the China-Singapore (Chongqing) Demonstration Initiative on Strategic Connectivity.

With Chongqing as the transport hub, the corridor uses ports in Guangxi's Beibu Gulf to reach ports in ASEAN countries and links China-Europe freight trains from many western Chinese cities before heading for Central Asia, South Asia and Europe.

By the end of 2018, freight trains had made 805 trips via the corridor, which links 155 ports in 71 countries and regions worldwide.

Logistics News

JN Port routes more than half of its container traffic through DPD in March
Exim News Service - Navi Mumbai, April 9 Top
In March 2019, Jawaharlal Nehru Port (JN Port) routed more than half of its container traffic, at 51.75 per cent, through Direct Port Delivery (DPD) services, it informed in a communique. This will significantly enhance port operational efficiency and cut time and cost for the ex-im community.

As regards another facilitation, till date over 7 lakh trucks have completed more than 9 lakh transactions through inter-terminal transfer of tractor trailer (ITT) services since the start of the service, the communique added.

Indian Port News

VOC Port handles 5.38 % higher Container traffic in FY 2019
Daily Shipping Times: Tuticorin, April 11 Top
The VO Chidambaram Port (VOC) in Thoothukudi witnessed a drop in cargo traffic during 2018-19. Closure of the Sterlite copper smelter plant was one of the main reasons, as the company contributed to an annual volume of around 1.5 million tonnes (mt).

The Major Port in Southern Tamil Nadu handled a cargo throughput of 34.34 mt in 2018-19 against 36.53 mt in 2017-18, a nearly 7 per cent drop. The target fixed by the Shipping Ministry for 2018-19 was 38 mt.

Fertiliser and container cargo saw positive growth, but petroleum, oil and lubricants, fertiliser raw material (rock phosphate and sulphur), thermal coals and 'other' cargo (in which copper products are included) saw a decline in 2018-19 against the previous year, according to sources.

In 2017-18, the port handled nearly 2 mt of wheat, but in 2018-19, the Government had stopped wheat import. Container throughput rises 5.38%

Container traffic was up 5.38 per cent to 7.39 lakh TEUs (twenty foot equivalent units). With the inauguration of the first mainline vessel to the Dakshin Bharat Gateway Container Terminal in December, the volume is likely to increase.

Wan Hai Lines' China-India Express 2 service connects the VOC Port with two Malaysian Ports - Penang and Port Klang - and Chinese Ports - Hong Kong, Qingdao, Shanghai, Ningbo and Shekou. The service is operated with six Panamax class container vessels with a carrying capacity of 4,333 TEUs, and calls VOC Port every Tuesday. This year, the target is to handle around 40 mt, which the port is likely to achieve by way of organic growth and with increased volume of around 1 mt of coal and limestone for the Tamil Nadu Paper Ltd - this cargo was diverted from the Karaikal Port in Puducherry. The port is also likely to handle around 1 mt of foodgrain this year, sources added.

After a lull of nearly two years, there is likely to be an uptake in the handling of construction materials for Maldives, which imports huge volume from the VOC Port. In 2016-17, around 1.80 mt of construction material was exported out of the VOC Port to Maldives. However, this volume dropped sharply to 0.58 mt in 2017-18 and further to 0.27 mt in 2018-19. "It is a seasonal cargo, and we expect that, this year, construction materials will be in good demand in Maldives," said sources.

Visakhapatnam Port extends existing rebates on Vessel Related Charges
Exim News Service - Visakhapatnam, April 7 Top
With container traffic and hence vessel calls at Visakhapatnam Port's Visakha Container Terminal (VCT) continuously increasing, in order to attract more vessel operators, Visakhapatnam Port Trust (VPT) has extended the existing rebates on Vessel Related Charges (VRC) till March 31, 2020.

The highlights of the rebates on VRC are as follows:

* To extend 50 per cent rebate for a further period of one year on Port Dues and Pilotage for vessels having less than 50,000 GRT

* To extend 70 per cent rebate for a further period of one year on Port Dues and Pilotage for vessels having more than 50,000 GRT

This should augur well for the shipping fraternity, encouraging them to explore new/additional services, and has come at the right time when VCT is also going in for expansion of its jetty by an additional 395 m, which warrants new services with larger vessel sizes, said a communique.

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