Chennai port increases concession for coastal vessels AND MORE…
A maritime news and analysis weekly, to help you make informed decisions in the weeks ahead.
Issue #160: 29 Jul, 2020
Western Railways introduces consolidated incentive schemes to increase its freight loading with a view to provide ease of business to the customers. All Freight Incentive Schemes in existence for transportation of freight through Railways are now available in nutshell.
Shipwaves would like to advise all customers that these schemes have been designed especially for freight transporters and Railway has requested EXIM industry to come forward and grab these attractive schemes. For further details please visit http://www.indianrailways.gov.in/railwayboard/view_section.jsp?id=0,1,304,366,555
CBIC has decided to extend TSKs to all the Customs Commissionerate. Accordingly, TSK is being set up in JNCH with effect from 15.07.2020. This step is being taken in advance of the pan-India rollout of Faceless Assessment which would be done in phases and would to be announced soon.
Shipwaves would like to advise all customers that JNPT has set up the TSK for all customers. This desk will be a dedicated cell manned by Customs officers to cater to following functions: i. Accept Bond or Bank Guarantee (BG) in respect of import of goods including import related to Export promotion schemes; ii. Carry out any other verifications that may be referred by Assessment Groups; iii. Defacing of documents/ permits licences, wherever required; iv. Debit of documents/ permits/ licences, wherever required; and v. Other functions determined by Commissioner to facilitate trade. For further details, please visit http://www.jawaharcustoms.gov.in/pdf/PN-2020/PN-82-2020.pdf
South Central Railway will be launching its first Cargo Express train on August 5. A time tabled freight train will be started from Sanath Nagar in Hyderabad to Adarsh Nagar in New Delhi.
Shipwaves would like to advise all customers to take advantage of this service since first time Indian Railways is permitting wagon level indenting to aid small and medium-sized customers. Customers having even one wagon material of 60 tonnes can book their cargo on this train.
India Set to Extend Levy of Safeguard Duty on Solar Imports by Another Year
The Director-General of Trade Remedies (DGTR) has recommended the extension of the safeguard duty (SGD) on the import of solar cells and modules to India for another year starting July 30, 2020. In its notice, the DGTR recommended a rate of 14.90% for the first six months and 14.50% for the subsequent six months on all solar cells and module imported from the China PR, Thailand, and Vietnam, noting that imports from all other developing nations will not attract the duty. The safeguard duty will apply to solar cells whether or not assembled in modules or panels” classifiable under the Tariff Headings 85414011 and/or 85414012 of Chapter 85 of Schedule-I of the Customs Tariff Act 1975. In its recommendation, DGTR added that two years of protection has already been provided, and the domestic industry has improved its position, but it still needs some time to adjust, so a one-year extension of the safeguard duty would be adequate.
Nepal’s refiners struggle as India stops refined palm oil imports
Edible oil refiners in Nepal have all but stopped buying crude palm oil amid surging domestic stockpiles after top buyer India suspended most imports of refined oil from the country, industry officials told. New Delhi in May suspended 39 oil import licences to slow duty-free shipments from neighbouring nations, disrupting refiners in Nepal which had thrived thanks to preferential access to India’s huge market. India accounts for nearly two-thirds of Nepal’s trade and is its sole fuel supplier.
Exporters tap rail route to send over 9,000 tonnes of spices to Bangladesh amid lockdown
More than 9,000 tonnes of spices such as chilli, turmeric and cumin were exported to Bangladesh by rail route for the first time as coronavirus-related lockdown disrupted road transport, an official said. In the past one month, over 5,000 tonnes turmeric, 4,300 tonnes chilli, and 100 tonnes cumin have been exported by rail to Bangladesh from the Andhra-Telangana belt, the official said. Bangladesh is one of the leading export destinations for Indian spices and accounts for about 9 per cent in volume terms and 5 per cent in value terms of India’s total spice exports. The official said that for the first time, exporters of turmeric and chilli, who faced a tough time in transporting by road during lockdown, collaborated with the South Central Railways for exporting spices through rail to Bangladesh. “Over the past one month, around 5,250 tonne of turmeric, 4,300 tonne of chilli, and 100 tonne of cumin have been exported by rail from the Andhra-Telangana belt,” the official added.
CMA CGM to reorganise AS1 service
CMA CGM has announced changes in its AS1 service, which now connects North and Central China with the Indian Subcontinent, effective in August 2020.
The new weekly service will link North/Central China to Nhava Sheva, Mundra, QICT and SAPT.
The revised port rotation will be: Qingdao — Shanghai — Ningbo — Singapore — Nhava Sheva — Mundra — Port Qasim — Karachi — Singapore — Qingdao
The French carrier said the updated AS1 service will provide enhanced connections with its extensive network from Southeast Asia via Singapore to India Subcontinent ports.
Chennai port increases concession for coastal vessels
In a bid to boost coastal shipping and have an competitive edge over private ports of Kattupalli and Krishnapatnam, the Chennai Port Trust (ChPT) has increased concessions for coastal vessels carrying trans-shipment containers that call at Chennai in bigger ships from Singapore or Colombo and go out of the city in smaller feeder vessels to save cost. From July 1, the ChPT has modified the concession offered on vessel-related charges (VRC) for coastal vessels carrying coastal trans-shipment and Exim (export and import) laden trans-shipment cargo. An upfront concession of 70 per cent in VRC will be offered to coastal vessels carrying 100 twenty foot equivalent units (TEUs), or more, of Exim trans-shipment containers per voyage. An upfront concession of 50 per cent in VRC will be offered to coastal vessels carrying either 100 TEUs of coastal laden trans-shipment containers or 100 TEUs of combined EXIM and coastal-laden trans-shipment containers. Coastal container ships carrying laden trans-shipment containers can claim any one of the above concessions; no other concessions for coastal vessels can be claimed along with this concession, says a trade notice issued by ChPT. Incidentally, Mumbai-based Shreyas Shipping and Logistics has started two coastal trans-shipment services between Indian ports. The first vessel in the service called at the Chennai port on July 1 and handled 744 TEUs, including trans-shipment containers. One is a weekly service and the other a coastal service with 5–6 calls per month to Chennai, he said.
Paradip Port begins EXIM services
Odisha’s Paradip Port has commenced EXIM service (freight), which will help reduce logistics costs for the industries of Odisha, according to Rinkesh Roy, chairman of the Paradip Port Trust (PTT).“It is a historic day for Odisha and Paradip. For the first time, a regular EXIM service is starting from Paradip to Port Klang, Malaysia. And this service will reduce logistics costs for most of the industries of Odisha. Currently, most of the container movement is moving from Odisha into Vizag or Kolkata. They all will shift here,” said Rinkesh Roy “The newly launched service will be a ‘game-changer’ for the industries in Odisha and will further the economic development of the state,” Roy added. He said that it will be a bi-monthly service. “The moment the container volumes will pick up, we will make it a weekly or biweekly service,” he said.
India opens new routes to strengthen trade ties with Bangladesh, Bhutan
In a bid to boost its economic and connectivity linkages with its neighbours, India in recent days has opened two new routes for trade with its key neighbours Bangladesh and Bhutan. Responding to a request from the Royal Government of Bhutan, New Delhi opened a new trade route under the Jaigaon Land Customs Station last week. The new trade route is through Ahllay near Pasakha in southeastern Bhutan, two people familiar with the matter said adding that it was opened on 15 July. “This new land route for movement of industrial raw materials and goods destined for Pasakha Industrial Estate will boost bilateral trade and commerce and lead to decongestion of vehicular traffic along the Jaigaon — Phuentsholing route,” one of the people cited above said. Besides the new trade point, India is also looking at fast tracking a railway link between Mujnai in West Bengal and Nyoenpaling in Bhutan. India’s Railways Ministry has already started a feasibility study on the link, the second person cited above said. India’s Land Ports Authority has also identified Jaigaon, in Alipurduar District of West Bengal, for development of an Integrated Check Post to cater to railway link once established. “These efforts will further have a positive effect on the trade growth with North Eastern States of India,” the person added. In another development, last week India flagged off the first trial of container ship from Kolkata to Agartala through Chattogram port of Bangladesh.
Danish shipper Maersk to stop taking waste to China, Hong Kong from Sept
Denmark’s A.P. Moller-Maersk, the world’s top container shipping firm, said on Wednesday (22 JULY) it would stop accepting solid waste shipments bound for China and Hong Kong from September. “We sent out a customer advisory on July 20th, telling customers that solid waste acceptance will be stopped by Maersk into the destinations of Chinese Mainland and Hong Kong, effective September 1st, 2020,” the company said in a statement. China began tightening restrictions on scrap commodities as part of an environmental campaign in 2017 and plans to reduce solid waste imports to zero by the end of 2020. Maersk said in a statement emailed to Reuters its policy would apply to all solid waste materials, including wastepaper, scrap metal, used plastics, waste textiles and waste chemicals. “This aims to fully comply with government requirements of the People’s Republic of China on zero solid waste import as of 2021,” Maersk said.
Shipwaves wishes you a great week ahead!
Happy Sailing!
