IEC will be identified through Pan cards, Shipping lines will substantially increase the freight rates to Africa and Europe sectors & more shipping insights from Shipwaves

Shipwaves
Shipwaves
Aug 24, 2017 · 5 min read

A maritime news and analysis weekly, to help you make informed decisions in the weeks ahead. Over 1000 senior executives and officials from the Export, Import, Trading House and Manufacturing industries benefit from the insights provided by shipwaves.com


India Market Watch

  • New GST rule is rejected by transport industry. As per new GST recommendation, a GTA can either be registered as per the initial provision or may opt for a new provision as per which the GST rate would be 12 per cent under Forward Charge Mechanism (FCM), and get ITC on the purchase.

It is impacting small/medium transporters. Shipwaves advises all customers to discuss their transportation cost with the Transporters and get a clarity on the new rule.

  • DGFT has announced that IEC will now onwards screen the identity through Pan cards. IEC and MEIS are online and can be checked easily accessed through the DGFT website.

DGFT is conducting trade interaction on Monday afternoons at DGFT office. Shipwaves advises all exporters to discuss their issues directly with authorities during these sessions.

  • GRI announcements by the various shipping lines will substantially increase the freight rates to Africa and Europe sectors. Other carriers are likely to follow the trend.

Long term agreement is one of the solutions to counter the increasing freight Rates. Shipwaves supports the long term agreement. Please contact us for the most competitive rates and services for Africa and Europe sector.


Container Freight Rates Pulse

  • The Ministry of Finance has issued a circular notifying that importers who are registered under the Authorised Economic Operator Programme (AEO) and those importers who pay import duty more than ten thousand rupees per bill of entry should do so electronically. As per the Customs notification no- 80/2017 dated Aug 17, 2017, the Central Government has made it mandatory for the classes of importers who should pay customs duty electronically, namely: Importers registered under Authorised Economic Operator Programme; and this notification shall come into force with effect from September 1 of 2017.
    Importers registered under AEO to pay Customs Duty Electronically from 1st Sept. 2017
  • ECGC may get Rs 3,500 crore to help rupee hit exporters.The government, through the Export Credit Guarantee Corporation (ECGC), may give a leg-up to exports which have been hurt by the strengthening rupee. It is planning to invest as much as Rs 3,500 crore that would provide a cushion for traders to strike deals and help ECGC write mega risks and provide adequate cover to exporters. The export credit company has requested the government to exempt it from paying dividend till it reaches Rs 5,000 crore of authorised capital, from Rs 1,500 crore now.
    ECGC may get Rs 3,500 crore to help rupee hit exporters

Container Shipping Sailing

  • General Rate Increase Asia to South America West Coast, Central America and Mexico Pacific Coast.In order to maintain a high standard of service to our clients Hamburg Süd will implement a General Rate Increase (GRI) effective 15th of September2017 on the Asia to South America West Coast, Central America and Mexico Pacific Coast trade as follows:

US$ 750 per 20’ standard container

US$ 1,500 per 40’ standard and high cube container

US$ 1,050 per 40' non-operated reefer container (NOR)

US$ 1,500 per 40’ reefer container

This GRI is applicable for all cargo on board vessels with ETD 15th of September 2017 onwards (based on Pro-forma date of departure).
General Rate Increase Asia to South America West Coast, Central America and Mexico Pacific Coast

  • Indian Railways increases freight rates by up to 19%.In order to step up its revenue, Suresh Prabhu-led Indian Railways has increased the freight rates by up to 19%.Indian Railways’ freight revenue in the first quarter of the current financial year declined by 10.3% to Rs 25,503 crore.In order to step up its revenue, Suresh Prabhu-led Indian Railways has increased the freight rates by up to 19%. Indian Railways’ freight revenue in the first quarter of the current financial year declined by 10.3% to Rs 25,503 crore compared to the year-ago period. This was on account of flat growth in freight loading. For the entire of FY17, Indian Railways has set a very modest growth target at 5.4%. This factors in sops designed to attract fresh customers. In Q1 last year, the growth in freight was 15% and for the whole of FY16, 7.7%.
    Indian Railways increases freight rates by up to 19%

Shipping Infrastructure Roundup

  • APM Terminals Management BV, one of the world’s top four container port operators, is weighing plans to exit India by selling its stake in two facilities. The tough regulatory environment and with no solution in sight to its tariff woes, the Danish giant is re-thinking its strategy for the country, which it entered in 2005 with much hope. The company is understood to be in talks with potential investors/port operators to sell its 43.01 per cent stake in Pipavav Port and 74 per cent holding in Gateway Terminals India Pvt Ltd (GTI), one of the four terminals at Jawaharlal Nehru Port Trust (JNPT).
    Why is APM Terminals setting a course out of India?
  • Multimodal logistics park in Kochi. Kerala figures on the list of 11 States to have multimodal logistics parks.The parks will be set up at a cost of Rs.32,853 crore, outside urban agglomerations, as part of a move to improve logistics efficiency and to reduce logistic costs, pollution from automobiles and congestion in key cities.The parks are to be set up under the Logistics Efficiency Enhancement Programme (LEEP) of the Ministry of Road Transport and Highways (MORTH).
    Multimodal logistics park in Kochi

Global Market Buzz

  • Smart “Robot Containers” to Carry Aquaculture Products. A group of Norwegian graduates have developed smart “robot containers” with cooling systems that can sail to ports without any human interaction, classification society DNV GL informed.The graduates developed SEAtrue, a supply chain for offshore distribution of aquaculture products. The consumer application TraceEat sends information about consumer preferences to the digital platform Veracity, which enables best possible use of resources. The seafood is transported in autonomous smart “robot containers” which employ sophisticated cooling techniques to extend shelf life.The self-propelled containers are released from the processing vessel and either positions itself for pick up by a designated container ship or sails directly to a nearby port. That way, transportation by sea becomes more effective and efficient.
    Smart “Robot Containers” to Carry Aquaculture Products
  • Suez Canal Cuts Boxship Fees to Attract More Traffic.In an effort to “meet the desire” of ship owners and operators and attract more vessels, the Suez Canal Authority has decided to cut tolls for selected container ships.According to the Suez Canal Authority, container ships coming from port of Norfolk and its northern ports heading to the Port of Kelang and its eastern ports, would be granted a reduction of 45% of the Suez Canal normal tolls.Furthermore, boxships sailing from ports south of port of Norfolk and heading to Port of Kelang and its eastern ports would be granted reduction of 65%, while vessels heading to Port of Colombo and its eastern ports, located just up to port of Port Kelang, would see a discount of 55% of Suez Canal normal tolls.
    Suez Canal Cuts Boxship Fees to Attract More Traffic

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Weekly Shipping Industry Insights from Shipwaves

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Shipwaves

Written by

Shipwaves

Shipwaves is an end-to-end global logistics platform, currently catering to Indian exporters and importers. www.shipwaves.com

ripples-shipwaves

Weekly Shipping Industry Insights from Shipwaves

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