Sharp rise in the ocean freight rates, Cargo movement from major ports in Gujarat badly affected due to monsoon & more weekly insights from Shipwaves

Shipwaves
Shipwaves
Jul 28, 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

What is happening this week?

India Market Watch

  • Cargo movement from Mundra, Hazira and other major ports in Gujarat are badly affected due to heavy rains in this region. Rail/Road service connecting to port is delayed and vessel schedule has changed.

Shipwaves advises to avoid planning your export movement from these ports. You may plan your shipments Via Nhava Sheva since all three terminals at JNPT are now functioning normally.

  • There is a sharp rise in the ocean freight rates by all major shipping lines in last few months. It is expected to increase further for all trade lanes. There is a shortage of containers at many ICDs, it will further push the rate increase at such locations.

Shipwaves advises blocking your space with long term engagement. Spot rates will be a challenge. Shipwaves can help in supporting long term contractual rates with the shipping lines even for the small volume. Please contact us.

  • Air freight rates from India are now attracting 18% GST, Due to this, there is a noticeable decline in Air Cargo out bound from India. The government is considering some reduction, however, there is no official confirmation in this regard.

Shipwaves is doing the Air cargo shipments from all the major airports. Please contact us for competitive freight rates and quality services.


Container Freight Rates Pulse

  • Anti-dumping duty likely on the import of a chemical from China.The government may impose an anti-dumping duty of USD 72.95 per tonne on imports of a chemical, used in pharmaceutical and other industries, from China. In its sunset review of anti-dumping duty imposed on the imports of ‘sodium nitrite’, the Directorate General of Anti-dumping and Allied Duties (DGAD) has concluded that there is “continued dumping” of the chemical from China and it is causing injury to the domestic industry.
    Anti dumping duty likely on import of a chemical from China
  • Hapag Lloyd GRI: With effect from August 15, 2017, Hapag-Lloyd will increase rates for all cargoes and all container types from India (via Atlantic) to Mexico, West & East Coast of Central America, West Coast of South America, Caribbean and Panama by:
    USD 100 per 20’ Container
    USD 200 per 40’ Container
    Hapag Lloyd GRI: India (via Atlantic) to Mexico, Central America, Caribbean, Panama & South America

Container Shipping Sailing

  • The Container Corporation of India (CONCOR) has announced scheduled/regular rail service of containers from ICD-Jakhwada (Sachana, Viramgam, Ahmedabad) to Mundra Port and Pipavav Port w.e.f. August 1, 2017. This service will provide an economical and speedier option to the trade of Ahmedabad and nearby areas, said a CONCOR trade communiqué.
    CONCOR announces regular rail service from ICD-Jakhwada in Ahmedabad to Mundra & Pipavav ports
  • Rail and road connectivity from Ahmedabad and Morbi to Mundra has been badly affected due to the incessant rains in Gujarat over the past few days, which has led to swollen rivers and overflowing reservoirs.Railways lines and the road (NH-8A) from Samakhyali junction have been seriously damaged, because of which movement of trains and vehicles has been severely impacted, a line informed the trade in an advisory. Indian Railways has imposed a restriction on the movement to/from Mundra Port. It has been reported that there is a slow movement to/from Mundra to Northern ICDs by rail, and road movements are fully affected,” as per the advisory.It further said that slow movement is expected for inbound and outbound cargo from Mundra, and added that as per the forecast issued by the met department in Ahmedabad, heavy rainfall is likely in many districts of Gujarat for the next 3 days.
    Connectivity to Mundra impacted due to heavy rains in Gujarat

Shipping Infrastructure Roundup

  • Bangladesh to reportedly keep Chittagong & Benapole open 24x7 from Aug. 1Bangladesh has said that it will be keeping its main sea port in Chittagong and the land port in Benapole open round-the-clock from August 1, 2017. India will be informed about the decision, Bangladeshi Shipping Minister, Mr Shajahan Khan, said, according to reports in the local media. The move entails keeping bank branches and Customs offices at the ports open round-the-clock. About 90 per cent of the annual cross-border trade between Bangladesh and India flows through Benapole, while Chittagong port handles more than 90 per cent of Bangladesh’s exports and imports.
    Bangladesh to reportedly keep Chittagong & Benapole open 24x7 from Aug. 1
  • Government approves the plan to build 34 mega multi-modal logistics parks at an investment of Rs 2 lakh Cr. “Logistics parks will act as freight aggregation and distribution hubs and will enable long haul freight movement between hubs on larger sized trucks, rail and waterways. It will reduce freight transportation costs,” told road transport and highways minister Nitin Gadkari. Under the proposed policy, logistics parks will provide value added services such as customs clearance with bonded storage yards, quarantine zones, testing facilities and warehousing management services.
    Government approves plan to build 34 mega multi-modal logistics parks at an investment of Rs 2 lakh CR

Global Market Buzz

  • Yangshan Automated Wharf Nears Finish Line.China’s biggest automated cargo wharf is on course to start trial operation in Shanghai by the end of 2017. This will allow the Port of Shanghai to expand despite shallow berthing waters. Yangshan Port will before 2020 will have over 30 berths and a handling capacity of 13 million TEU.
    Yangshan automated wharf nears finish line
  • The American Bureau of Shipping (ABS) has joined a China-led alliance whose goal is to develop and deliver an unmanned, autonomous cargo ship by the end of 2021.ABS, a leading classification society to the maritime and offshore industry, announced Wednesday it will become a member of the Unmanned Cargo Ship Development Alliance to work with industry partners, including class organisations, shipyards, equipment manufacturers and designers, to advance autonomous shipping.
    ABS joins alliance developing unmanned cargo ship

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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

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Weekly Shipping Industry Insights from Shipwaves

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