Samsara Newsletter

Week 31, 2018 (Jul 28 - Aug 03)

Policy & Economy News

Infra growth jumps to 7-month high of 6.7% in June: Commerce Ministry

India makes into top 100 again - After Ease of Doing Business, it is UN's E-Government index

Agriculture Ministry suggests Green Logistics Corridor, use of e-comm to boost exports to $60 bn by 2022

Sea Cargo Manifest & Transshipment Regulations 2018 to be now effective from Nov

Business News - The India Boom Factor

US announces flagship event in India for big boost to bilateral trade

Production of raw cashew at all-time high

FIEO hails increase in limit for courier & e-commerce exports

STA-1 status by the US to India welcomed

Shipping News

MSC upgrades Asia to Sub-Saharan Africa services

CMA CGM reshuffles ISC Middle East to East Africa service

Logistics News

Railway Ministry introduces Double Stack Dwarf Container model to enhance productivity

Investment in Logistics to touch USD 500 bn by 2025: Suresh Prabhu

Indian Port News

Colombo cuts rates after India eases cabotage rules

Ministry of Shipping organizes brainstorming session on promoting transshipment of containers in India

NMPT handles 14.04 MMT in first 4 months of current fiscal

APSEZ plans mega expansion for Kattupalli Port

Adani Ports signs a long term regasification pact with GAIL for Dhamra LNG Terminal

Shipping Ministry updates on development of Port Infrastructure

Policy & Economy News

Infra growth jumps to 7-month high of 6.7% in June: Commerce Ministry
Daily Shipping Times: New Delhi, Aug 02 Top
Growth of eight core sectors expanded to 7-month high of 6.7 per cent in June due to better performance by cement, refinery and coal segments, as per official data released recently. The eight sectors, which also include fertilizers, steel, natural gas, electricity and crude oil, had expanded by 1 per cent in June last year. The previous high rate of growth was recorded in November 2017 at 6.9 per cent. The growth rate in May was 4.3 per cent. As per the data released by the Commerce and Industry Ministry, the expansion in cement, refinery products and coal was 13.2 per cent, 12 per cent and 11.5 per cent respectively, year-on-year basis.

India makes into top 100 again - After Ease of Doing Business, it is UN's E-Government index
Daily Shipping Times: New Delhi, Aug 01
After breaking into top 100 on the World Bank's Ease of Doing Business Index under the Narendra Modi Govt. last October, India has marked a similar success on United Nation's E-Government Index. India, which was ranked 118 in 2014, is now at 96th rank on the index, which maps how digital technologies and innovations are impacting the public sector and changing people's everyday lives.

The survey, released by the United Nations every two years, noted that India has scored 100% in the first stage of the E-Participation sub-index, followed by 95.65% in the second stage and 90.91% in the third stage. The overall score of 0.9551 on the E-Participation sub-index has put India among top 15 countries in the list of 193 counties surveyed.

In this category, India has emerged as sub-region leader. Denmark is the world leader, both on E-Government index and E-Participation sub-index.

Agriculture Ministry suggests Green Logistics Corridor, use of e-comm to boost exports to $60 bn by 2022
Daily Shipping Times: New Delhi, July 31
Agriculture Ministry has suggested several measures including setting up of a system for forecasting demand, green logistics corridor for perishables, and use of e-commerce, to boost shipments of agri commodities to USD 60 billion by 2022. Other steps suggested to Commerce Ministry in this regard include strengthening of domestic regulatory authority, review of Essential Commodity Act and involving Indian missions abroad.

The Commerce Ministry has floated a draft agriculture export policy and is seeking views of all stakeholders including different Ministries and Departments on the same.

In the draft, it has recommended stable trade policy regime, reforms in the APMC Act, streamlining of Mandi fee and liberalisation of land leasing norms. The policy seeks to increase the shipments to over USD 60 billion by 2022 from about USD 38 billion. The Agriculture Ministry has also suggested setting up of an administrative machinery for regular monitoring of the progress and to ensure that the goal is achieved by 2022.

Sea Cargo Manifest & Transshipment Regulations 2018 to be now effective from Nov
Exim News Service - New Delhi, Aug 02 Top
The government has shifted the effective date of implementation of Sea Cargo Manifest and Transshipment Regulations 2018 to November 1, 2018, it has been intimated. The earlier date had been August 1.

As such, the existing cut-offs will continue to be in effect until then, reports said.

Business News - The India Boom Factor

US announces flagship event in India for big boost to bilateral trade
Daily Shipping Times: New Delhi / Washington, Aug 01 Top
Trade Winds: India - will take place in New Delhi in the spring of 2019 As part of its focus on Indo-Pacific region, the US Department of Commerce has announced to hold one of its flagship events in India next year. "Trade Winds: India - will take place in New Delhi in the spring of 2019," the Department of Commerce announced, the day the Trump Administration unleashed a series of initiatives addressed at development and infrastructure projects of countries in the Indo-Pacific region.

"It will be a conference and trade mission to India and other surrounding countries where US exporters will meet with decision makers on opportunities they have learned about at DGM (Discover Global Markets) and Access Asia events," the Commerce Department said. The DGM focused on Indo-Pacific will take place in Salt Lake City, on December 10-12. It will highlight opportunities for US exporters in Asia. It will also kick-off recruitment for the Trade Winds: India, an official release said.

According to the Department of Commerce, these events are part of the Department's Access Asia programme - a new export promotion framework to increase US trade and investment in the Indo-Pacific region.

'Access Asia' is a series of 25 trade promotion outreach events in cities across the US that is sequential, multi-year, data and opportunity driven and optimises US Government resources, it said.

Using its trade data, it has identified US cities and sectors (like energy, aviation/defence, information and communication technology, healthcare, and advanced manufacturing) with export growth potential.

Production of raw cashew at all-time high
Exim News Service: New Delhi, July 31 Top
The production of raw cashew nuts in India during 2017-18 increased to an all-time high of 8.17 lakh metric tonnes (0.817 million MT) and registered growth of 4 per cent compared to the previous production of 7.79 lakh metric tonnes (0.779 million MT). Besides, it was 21 per cent more compared to the 2015-16 production of 6.70 lakh metric tonnes (0.67 million MT).

However, due to shortage of sufficient quantity of raw cashew and its higher price in the international market, it is reported that the cashew industry is facing the prospect of a demand-supply gap as the total requirement of raw cashew nuts is estimated at 17 lakh metric tonnes (1.7 million MT).

With regard to steps for increasing production, the Ministry of Agriculture and Farmer's Welfare, under the Mission for Integrated Development of Horticulture and Rashtriya Krishi Vikas Yojana, has drawn up strategies to increase domestic production by massively enhancing the area of plantations and replacing senile cashew plantations with high yielding varieties in traditional and non-traditional states, said a release.

FIEO hails increase in limit for courier & e-commerce exports
Exim News Service - Mumbai, July 30
Hailing the decision to raise the limit of exports through courier and e-commerce, Mr Ganesh Kumar Gupta, President, Federation of Indian Export Organisations (FIEO), said that the increase from Rs 25,000 to Rs 5,00,000 shows the pragmatic approach of the government and will go a long way in facilitating e-commerce retail exports from the country.

The FIEO President said that the time has come to expand the list of products that can avail MEIS benefits if exported through e-commerce. The present list excludes many products which are traded through such platform. Mr Gupta also suggested to extend the benefits to all international exports in the country as well as all foreign post offices instead of restricting it to a few airports and post offices so that artisans and entrepreneurs located in tier 2 and 3 cities can also exploit the potential of e-commerce exports, said a release.

STA-1 status by the US to India welcomed
Exim News Service: New Delhi, July 31 Top
FICCI has welcomed the award of the Strategic Trade Authorization-1 (STA-1) status to India by the United States, the first South Asian country to have been conferred this. This allows the US to ease export control requirements on the sale of certain high technology items and technologies in sensitive areas like chemical and biological weapons, nuclear, defence and special materials.

Mr Dilip Chenoy, Secretary-General, FICCI, hailed the news as a landmark development towards further cementing the India-US strategic ties. "India's status as an STA-1 country will allow for greater opportunity for the two countries to engage in co-development and co-production in these sensitive areas," he said.

He added, "At the global level, this will also strengthen the case for India's entry into the Nuclear Suppliers Group (NSG)." As a result of this development, India now has access to the same level of technology that the US offers to its NATO allies, Japan, South Korea and Australia, said a release.

"The move is a testament to India's adherence to rule-based multilateral export regime and also a recognition of India's growing importance to the US as a key economic and strategic partner," said Mr Chenoy.

Shipping News

MSC upgrades Asia to Sub-Saharan Africa services
Daily Shipping Times: Geneva, July 31 Top
MSC Mediterranean Shipping Company is pleased to announce improved services between Asia and sub-Saharan Africa that will slash transit times between West Africa and Chinese Ports such as Xingang and Shanghai, informs a statement from the MSC.

Africa Express From the end of July, MSC's Africa Express service will harness the capacity of 11 vessels to offer dedicated sailings between Asia and Lome.

This will reduce transit times by as much as a week to destinations on the coast of West Africa. The new rotation started on 30 July from Xingang with the MSC Laurence, voyage FY730A.

The Africa Express service will keep its current port rotation throughout Asia, and then proceed straight to Lome after calling at Colombo. India and Pakistan (IPAK) cargo is routed via Colombo, significantly improving transit times.

The statement from company further adds, "We are also reinforcing our feeder network in Lome to ensure smooth connections to all destinations.

A new MSC Lome-Dakar MSC connection will complete our service from Asia and IPAK to Senegal".

INGWE Service

Meanwhile, the new INGWE service will connect Asia with the Indian Ocean and South African markets, calling at Durban and Coega. This new trade will commence with the Mediterranean Bridge, voyage ZF731A, departing Ningbo on 5 August. Cargo on this service that originates in IPAK will also be routed via Colombo, emphasized the company statement.

CMA CGM reshuffles ISC Middle East to East Africa service
Daily Shipping Times: Marseille, July 30 Top
CMA CGM Group will upgrade its service offering connection India and Middle East to East Africa in order to provide its customers with reliable and efficient service informs a latest release from the company.

Starting 17th August 2018, the group will offer a new product to East Africa whilst combining NOURA 1 and NOURA 2 former rotations. Strengths of this new offer

1) One direct service serving 6 ports of call in East Africa range.

2) Revised port coverage as follows:
Khor Fakkan, Jebel Ali, Mogadishu, Longoni,
Beira (1/2), Port Victoria, Khor Fakkan
Khor Fakkan, Jebel Ali, Mogadishu,
Longoni, Nacala (1/2), Port Victoria,
Khor Fakkan

3) Zanzibar which was served previously on Noura 2 will be offered via a dedicated feeder service from Mombasa Port via SWAX 2 loop.

4) This solution will improve Zanzibar transit time by 5 days and ensure reliability for delivery of import cargo whilst reducing operational constrains previously faced with large vessels.

5) Weekly improved service to Mogadishu, and regularity of service ensured to Beira and Nacala Ports.

6) CMA CGM operated service with 5 vessels fleet in property up to 2,200 TEUS capacity

7) Competitive transit time to Mozambican destinations for import/ export cargo due to Zanzibar call transfer on a CMA dedicated feeder service

8) Extensive intermodal coverage to landlocked countries from Mozambican Ports proposed by CMA CGM Group.

9) Worldwide interconnection from all origins in North and South Europe, USA, India Subcontinent and Middle East.

Logistics News

Railway Ministry introduces Double Stack Dwarf Container model to enhance productivity
Daily Shipping Times: New Delhi, Aug 03 Top
Indian Railways transport nearly one billion tonnes of goods every year, which is considerably a huge volume. The freight traffic handled by Indian Railways has increased more than 15 fold from 73.02 million tonnes in 1950-51 to 1106.15 million tonnes in 2016-17.

However, capacity bottlenecks have resulted in non-realization of the maximum potential of Railways, as well as deterioration in punctuality and transit times of railway traffic.

Double stack dwarf container (DSDC) has been introduced as a new delivery model to increase loadability and attract new traffic under wire. The first double stack dwarf container was run by a private container train operator from Reliance Rail Terminal, Kanalus (PRTK) on 08.07.2018 which reached Kribhco Infrastructure Limited, Pali (KIIP) on 09.07.2018.

The Dwarf container has maximum laden weight of 30500 Kg. It is 662 MM short but 162 mm wider than regular containers. An additional tonnage of 1300 Metric Tonne has been carried by only one rake of Double Stack Dwarf container from Reliance Rail Terminal, Kanalus (PRTK) to Kribhco Infrastructure Limited, Pali (KIIP) with 20 to 24% hike in revenue. If regular additional traffic of Dwarf container is received the Railway revenue will surely boost.

Some of the steps taken by Railways to attract and increase Railway traffic are as follows:

i. Liberalised Automatic Freight Rebate scheme for traffic loaded in empty flow direction, Long Term Tariff Contracts (LTTC) with key freight customers, Station to Station rates (STS), withdrawal of Dual freight policy for Iron Ore, Discount on loading of bagged consignment in open and flat wagons, Rationalisation of Coal Tariff, Rationalisation of Merry-Go-Round (MGR) system, reduction of minimum distance for charge from 125 km to 100 km, Distance increased for mini rake from 400 km to 600 km etc.

ii. A number of measures for enhancing ease of doing business have also been taken such as Registration of Demand for wagons electronically, Electronic Transmission of Railway Receipt (eT-RR), Multiple RRs for single container train, Customer friendly rationalization of weighment policy etc.

iii. To increase rail traffic, Indian Railways have introduced various schemes like Liberalized Wagon Investment Scheme, Special Freight Train Operators Scheme (SFTO), Automobile Freight Train Operator Scheme (AFTO), development of Private Freight Terminals (PFT) and Opening of parcel business in container traffic etc.

iv. Use of extensive computerization in freight operation to improve monitoring and to improve utilization of assets, Deployment of higher capacity locomotives and higher capacity wagons, Improvement in maintenance practices of wagons and locomotives resulting in increased availability of rolling stock for traffic, Improvement in track and signaling to carry the higher volume of traffic, Training staff and officers to adopt the new technology and management practices.

v. Two Dedicated Freight Corridors (Western & Eastern Dedicated Freight Corridors) have been taken up to create adequate capacity, which is essential requirement to cater the traffic demand and improve quality of service.

This information was given by the Minister of State of Railways, Shri Rajen Gohain in the Lok Sabha.

Investment in Logistics to touch USD 500 bn by 2025: Suresh Prabhu
Daily Shipping Times: New Delhi, July 31 Top
The Minister also released the logo of Logistics division Expenditure on investment in logistics, including infrastructure, will touch USD 500 billion, annually, by 2025, said Union Minister of Commerce and Industry in New Delhi. He further said that this will do away with the hurdles hampering India's internal and global trade. India is now being looked upon as one of the most appropriate destinations for manufacturing and service locations by many of the foreign companies. Further, initiatives like Digital India, Make in India, Skill India have added a boost to the sub-continent's vast pool of resources, cost-efficient environment and skilled workforce.

During recent years, Indian Government has taken many measures to improve the trade performance through efficient and effective logistics. The measures include smoothening of the border and cross border documentation and activities, dedicated freight corridors, investments in port and other infrastructures, alignment of all business processes thus attempting to improve logistics performance of the Country.

Recognizing that efficient and effective management of logistics will have a positive impact on overall trade in manufacturing and services.

The Minister said that Logistics Wing has been created in the Department of Commerce for the integrated development of this sector. Due to these efforts, infrastructure status has been granted to warehousing, cold chains and Multimodal Logistics Parks.

The Ministry is working on a National Logistics Policy and also bringing out a policy on the development of Multi-Modal Logistics Parks to be announced soon. Further, the Minister said that the cost and speed of logistics at present is hindering the market share that Indian products deserve and in order to solve these issues in an integrated and holistic way the Centre for Trade Facilitation and Logistics (CTFL) has been given a mandate by Department of Commerce (Logistics Division) to prepare a plan and act for following objectives:

1) To bring together industry, academia, Governments & organizations of national and international level, to work on the key supply chain and logistics, management challenges facing firms in the globalized environment.

2) To train and build the required Human resource skills through appropriate training and academic programs and create a cadre of Trade Facilitation & Logistics management experts/professionals.

3) To impart training to Government officials who are working in the Logistics & Trade facilitation sectors. The Ministry has agreed to provide a block one-time funding support of Rs. 80 lakhs (Rs.8 million) towards initial infrastructure and a phase wise support of Rs. 339.90 lakhs (Rs. 33.99 million) for four years.

This centre will attempt to document and monitor the trade and logistics activities and suggest suitable measures for its improvement. The Minister also released the logo of Logistics division. It is a graphic symbol representing a pair of swans who are known for their ability to travel long distances and are comfortable in the sky, water and on earth and represents team work, synergy and coordination between various partners involved in logistics.

Indian Port News

Colombo cuts rates after India eases cabotage rules
India Seatrade News: Aug 03 Top
Colombo port, which thrives on Indian cargo containers that passes through it, has cut transshipment rates by 9.5 per cent after India lifted cabotage restrictions in May, allowing foreign ships to operate on local routes to reduce the country's dependence on the neighbouring hub to transport cargo.

The island nation, one of the major container transshipment hubs in the region along with Singapore, Port Klang and Jebel Ali, is taking the fight for containers to the Indian shores.

Transshipping containers through Colombo entails extra time and costs, hurting India's competitiveness in the global market. "After India relaxed cabotage, Colombo reduced the transshipment tariffs by offering a discount of 9.5 per cent," said Deepak Tiwari, Chairman of the Container Shipping Lines Association (CSLA), adding that "shipping lines were not in love with Colombo."

"Individual terminals must be offering volume-based rebates to shipping lines as part of their agreement, but on the general published rates, no revision was done recently. Customers bringing incremental volumes are offered volume discounts by terminals," Upul Jayatissa, Chief Manager (Marketing and Business Development), Sri Lanka Ports Authority, told.

Jayatissa reckons that India's decision to relax cabotage will have an impact on Colombo traffic. "But, it will depend on the shipping lines; they are the ones who decide the routing of services. They have to decide what they really want to do. So far, we have not felt any impact on our transshipment business, but I don't know what will happen in the future," he said.

The transshipment volumes of Colombo, according to Jayatissa, have grown by 20 per cent in the first half of 2018 calendar year compared to last year. Colombo port handled 4.8 million twenty-foot equivalent units (TEUs) in 2017 from four terminals. Of this, about 45 per cent was India-bound or originating containers, underlining Colombo's dependence on Indian cargo for its sustenance.

The vessel-related charges or marine charges at Indian ports are four times more than in Colombo, said VK Singh, Managing Director, Shreyas Shipping & Logistics Ltd.

For instance, the marine charges for a 24-hour stay for a 5,000-TEU capacity ship is about $40,000 in India and $10,000 in Colombo. "This is a big attraction for the lines. That's why they don't want to stop calling Colombo," said Suresh Amirapu, CEO, Bharat Mumbai Container Terminals Pvt Ltd, a unit of Singapore's PSA International Pte Ltd.

The marine charges are low in Colombo because the Sri Lankan government funds basic infrastructure, including dredging, unlike in India. "The networking is already established in Colombo," said Jibu Kurien Itty, CEO, India Gateway Terminal Pvt Ltd, the transshipment terminal-run by DP World at Vallarpadam in Cochin Port Trust. "So, when you are looking to divert containers away from Colombo, you have to be actually two steps ahead in the game," he said, stressing the need to "rationalize marine charges in India."

"When you are competing with Colombo, you have to play to your strengths. India has the cargo; that's what Colombo does not have," Jibu added.

Ministry of Shipping organizes brainstorming session on promoting transshipment of containers in India
Action plan on key steps prepared
Exim News Service - Mumbai, Aug 02 Top
The Ministry of Shipping called for a brainstorming session on promoting transshipment in India with key stakeholders in Mumbai on August 1, 2018. The meeting was chaired by the Chairman of Indian Ports Association and saw participation from representatives of DG Shipping, Customs and the Port Trusts of JNPT Mumbai, VOCPT Tuticorin, VPT (Vizag) and ChPT (Chennai).

Promoting transshipment in India would lead to cargo growth at Indian ports, emanating not only from India but also potentially other countries in the region, which, in turn, would lead to creation of jobs in India, growth of the accompanying ecosystem, revenue growth for Indian ports, and retention of foreign exchange in India. The development of transshipment hubs shall provide a fillip to the overall growth in the Indian port and shipping sector, it was pointed out.

Separate sessions were held with container shipping lines and port terminal operators to understand the operational and commercial constraints which need to be alleviated in order to realize the Ministry of Shipping's vision of transforming India into a global transshipment hub.

It was recommended that in addition to the recent relaxation for chartering foreign flagged vessels in India, by improving on the ease of doing business and enhancing the port infrastructure to support large vessel calls, some of the existing Major and non-major ports in the country could potentially be recognized on the routes of global shipping lines with calls from mother ships. At the end of the day-long brainstorming session, an action plan was prepared by the officials to support the requirements and conditions proposed by the industry, said a release.

NMPT handles 14.04 MMT in first 4 months of current fiscal
Daily Shipping Times: Mangalore, Aug 02 Top
New Mangalore Port has handled around 14.04 MMT during 2018-19 (up to 30th July 2018) as against 13.05 MMT during the same period in the previous year, registering a growth of 7.63%.

During the year 2017-18, a total of 1.155 lakh TEUs (1155 thousand TEUs) i.e. 17.43 lakh tonnes (1.74 million tons) of containerized cargo was handled as against 0.95 lakh TEUs (950 thousand TEUs) i.e. 14.11 lakh tonnes (1.4 million tons) in the previous year registering 22% growth. During the year 2018-19 (upto 30th July 2018, total 43,973 TEUs i.e. 6.41 lakh tonnes (0.64 million tons) of containerized cargo was handled as against 30,087 TEUs i.e. 4.54 lakh (0.45 million) in the previous year (upto 30th July 2017) registering a growth of 46%.

In all 22 cruise vessels with 24258 passengers visited the Port during the year 2017-18 as against 28 cruise vessels with 30246 passengers which visited the Port during 2016-17. This year 36 vessels with 40000 passengers are expected as per the cruise schedule.

The Chairman of the port further gave an insight into the futuristic plans of the Port including the infrastructure projects underway and the way ahead for NMPT towards greater prosperity in the region and the overall growth of our Country. The highlights of these plans and projects are as under:

1) Mechanization of Berth No.16 for handling bulk cargo through PPP (on DBFOT Model basis) for a capacity of 6.73 MMTPA on a 30 year concession period with Chettinad. The work is under progress and is scheduled to be completed by Jan 2019.

2) Mechanization of Berth No.14 for handling containers and other cargo is under documentation stage. The project is scheduled to commence in February 2019.

3) Container Corporation of India (CONCOR) has commenced their operation from ICD Bangalore to NMPT where they have established the railway siding and commissioned on 31.01.2018. This initiative will further boost the connectivity and transportation of container traffic through rail.

4) Import of river sand started through the Port during the current year which will contribute to the ecological balance and also stop illegal sand mining in the rivers.

5) The Port has allotted land area of 13.50 acres and one acre of water front on long term lease to MRPL for a period of 30 years.

6) The Port has successfully reduced under keel clearance from 10% to 08% in January 2018 for handling vessels of 14.20 m draught.

7) As part of improving the Ease of Business, In-out vessel clearances, documentation along with services are now carried out online.

APSEZ plans mega expansion for Kattupalli Port
Daily Shipping Times: Mumbai, Aug 01 Top
Massive expansion on anvil under revised Master Plan APSEZ has unveiled ambitious expansion plans for Kattupalli Port, within a month of signing a share purchase agreement with Larsen & Toubro Ltd in June to complete the acquisition of the port located near Chennai.

India's biggest private port operator plans to ramp up the capacity of Kattupalli to handle a whopping 259 million tonnes (mt) of cargo from the existing 24.65 mt and has filed a revised master plan with the Ministry of Environment, Forests and Climate Change to begin the approval process.

Revised Master Plan

At this capacity, Kattupalli will match the scale and size of Mundra in Gujarat and Dhamra in Odisha, both owned by APSEZ. The company hasn't revealed the investment involved in the expansion as it will be done in phases. The planned expansion will also make Kattupalli India's deepest port with a berth depth of as much as 25 metres while the depth of the basin area and approach channel will be 25 metres and 27 metres respectively, according to papers filed by APSEZ for the revised master plan.

Kattupalli has approval for constructing five berths with total quay length of 1,900 metres, according to the original master plan. APSEZ plans to build 7,329 metres of additional quay length besides another 1,250 metres of quay for barge berths.

The expansion will help APSEZ transform into a Multi-Commodity Port for handling cargo such as liquid, bulk, break-bulk, project cargo, dry cargo, general cargo, containers, ro-ro, automobile and other non-hazardous cargoes such as liquid, gas and cryogenic cargo.

"Depending on the business requirements, LNG will also be handled through a floating storage and regassification unit (FSRU) and LPG will be handed through a floating storage and off-loading (FSO) facility, in addition to land-based terminal," according to the revised master plan.

Apart from the existing breakwater, two new breakwaters of about 9.35 km length are proposed to be built, out of which the new Northern breakwaters will be about 6.2 km and 1.3 km and the new southern breakwater will be about 1.85 km.

Currently, Kattupalli handles only containers from two berths with quay length of 710 metre, 6 quay cranes, 15 rubber-tyred gantry cranes, 5,120 ground slots with the capacity to handle 1.2 million twenty-foot equivalent units (TEUs) per annum.

With backup area of 322 acres, Kattupalli Port has ample space for future expansion to facilitate trade requirements, it said. Kattupalli Port, according to APSEZ, is emerging as Chennai's new gateway for export-import trade in the Chennai/Bengaluru region.

Amongst the many advantages of Kattupalli Port is its location - just 30 km North of Chennai and with connectivity with the hinterlands of North Tamil Nadu, Chennai, Bengaluru regions and South Andhra Pradesh - locations which are highly industrialised.

Adani Ports signs a long term regasification pact with GAIL for Dhamra LNG Terminal
Daily Shipping Times: Mumbai, July 30 Top
Adani Ports and Special Economic Zone (APSEZ), India's leading port infrastructure developer and part of the Adani Group, has said it had signed a long term agreement with GAIL (India) Ltd, the state run gas company, to provide Liquefied Natural Gas (LNG) regasification services on a use or pay basis, at its upcoming LNG import terminal at Dhamra in Odisha.

As per the contract, GAIL India has booked 1.5 million tonnes per annum (MTPA) regasification capacity for a period of 20 years. GAIL plans to supply the gas to its portfolio of customers located in the Eastern region and along the under development Jagdishpur– Haldia gas grid. "Partnering with GAIL India for facilitating LNG imports is a notable milestone for Adani Ports. This project is now close to being fully subscribed and will play a pioneering role in powering Eastern India towards a prosperous and economical gas based future.  It will also become a hub for supply to Bangladesh and Myanmar" said Mr. Karan Adani, CEO, APSEZ.

The foundation stone of the project was laid on July'17 and construction has commenced by Larsen & Toubro, a leading infrastructure firm, winning the contract to set up the tankages for gas storage and by CTCI Corporation, a Taiwanese firm, that has won the contract for the regasification package.

The terminal is expected to be commissioned during the second half of 2021. The proposed Dhamra LNG import terminal is designed for an initial capacity of 5 MTPA, expandable up to 10 MTPA. Initially, it will have two full containment type tanks of 180,000 m3 capacity each. It will be first of its kind in India and second LNG terminal on the east coast after IOC's Ennore terminal in Tamilnadu.

It will have a jetty capable of handling a wide range of LNG supply vessels, including the largest Q-max fleet from Qatar. The terminal will be capable of reloading LNG to service proximate markets via the marine route and will also have truck loading gantries to help grow the nascent but exciting LNG by truck market, said a company release.

Shipping Ministry updates on development of Port Infrastructure
Daily Shipping Times: New Delhi, July 30 Top
The Minister of State for Shipping and Finance Shri Pon Radhakrishnan has informed Lok Sabha that under Sagarmala Programme, 243 projects (cost: Rs. 142,989 crore (Rs.1429.89 billion)) have been identified for enhancing the infrastructure at Indian ports upto 2035. Out of these 44 projects (cost: Rs. 8549 crore (Rs.85.49 billion)) have been completed and 79 projects (cost: Rs. 36,399 crore (Rs.363.99 billion)) are under implementation. These projects are being implemented by Major Port Trusts, State Maritime Boards, State Government/UTs and Private Sector.

The 12 Major ports have spent Rs. 5,431 crore (Rs.54.31 billion) in the last two Financial years (FY2016-17 and FY2017-18 and have planned to spend Rs. 4,552 crore (Rs.45.52 billion) in the current Financial year (FY2018-19) for developing infrastructure. Additionally, Ministry of Shipping has released Rs. 446 crore (Rs.4.46 billion) to various implementing agencies in last two years for 35 port infrastructure projects costing Rs. 1,879 crore (Rs.18.79 billion).

Government has allowed private sector participation in the development of new ports and development of infrastructure at existing ports. More than 67 projects costing Rs. 89,567 crore (Rs.895.67 billion) from Major Ports are being implemented by Private sector under PPP model. There are 34 existing private ports where port infrastructure are being developed by Private Sector and 15 new port licenses have been granted by State Govts to Private Sector for development which are as follows -