Port Wings Maritime Exim Weekly Newspaper 27 May 2020 Epaper

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Wednesday, May 27, 2020

8 Pages

Government Begins Work on New Maritime Vision Mumbai

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Port Wings News Network he Shipping Ministry has started the work related to drafting a new blueprint for India's maritime sector for the next decade. This comes after the Corona virus pandemic decimated the previously laid down assumptions and projections on trade that formed the basis for Sagarmala, the flagship maritime programme of the Narendra Modi-led government, a BusinessLine report says.

A top government official said that the government is likely to hire the Boston Consulting Group(BCG) as a strategic consultant to help draft the `Maritime Vision 2030' by coordinating with some 14 working groups set up by the Ministry on thrust areas identified by it.

"The Shipping Minister Mansukh Mandaviya wants a real vision for the maritime sector", he said when asked about the need for a blueprint when an elaborate plan for the Sagarmala programme was prepared in 2016 to promote portled development in the country.

Authorized Economic Operator

Most of the thrust areas identified by the Ministry for the new vision have been extensively covered in the Sagarmala perspective plan.

"Vision reports are prepared every three years. It happens in every sector because external factors play a key role. The vision need not be the same forever. If somebody has assessed so much cargo traffic will be there for 2030, after this Covid-19 and so many changes have taken place in the world, how can the vision still be realistic.

It can't be realistic," he said, adding that Sagarmala could act as a base document for "preparing a realistic and achievable plan for 2050 with a proper road map."

Some 66 projects costing over Rs 8.78 trillion were identified for implementation under the Sagarmala programme in phases. The Sagarmala programme, written by the US-based consultant McKinsey & Company, seeks to reduce the logistics cost for export-import (EXIM) and domestic trade with minimal infrastructure investment.

This would be achieved by reducing the cost of transporting the

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Wing 6 Feather 41

Gadkari Inaugurates the Breakthrough Event of Chamba Tunnel Under Chardham Pariyojana

domestic cargo by optimising modal mix, lowering logistics cost of bulk commodities by locating future industrial capacities near the coast, improving export competitiveness by developing port proximate discreet manufacturing clusters and optimising time/cost of EXIM container movement.

It encompassed port modernization and new development, port connectivity, enhancement port-linked industrialisation, coastal community development, promotion of coastal shipping and inland waterways, job creation and bridging skill gap in ports and maritime sector.

The Government also set up the Sagarmala Development Company Limited (SDCL) in 2016 to provide equity support for the project Special Purpose Vehicles (SPVs) set up by the ports/states/Central Ministries.

BCG has earlier done a `Benchmarking and capacity maturity assessment' report for the Ministry basis which the capacity of the 12 Central Government-owned ports was re-rated and enhanced to 1,359 million tonnes in 2017.

New Delhi Port Wings News Network nion Minister for Road Transport & Highways and MSMEs Shri Nitin Gadkari on 26 May 2020 inaugurated the breakthrough event of Chamba Tunnel under Chardham Pariyojana through video conference mode.

Border Roads Organisation (BRO) achieved this major milestone by digging up a 440 m long Tunnel below the busy Chamba town on Rishikesh-Dharasu road Highway (NH 94). The breakthrough was completed amidst threat of COVID-19 and nationwide lockdown. The construction of tunnel was a challenging task in terms of weak soil strata, continuous water seepage, heavy built up area on top thereby chances of sinking of houses, land acquisition issues, restrictions during COVID lockdown etc.

Speaking on the occasion, the Minister said, this Rishikesh-

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Dharasu-Gangotri road in Uttarakhand has a very significant role from socio economic and religious point of view. He said, Contd. on page -2

Inside Sorry Plight of Indian Seafarers...

Visakhapatnam Port Sees Growth...

V.O.Chidambaranar Port Handles...

FFFAI Recommends Pragmatic...

Vessel Position at Terminals and Ports...

Latest Customs Exchange Rates...

Pg-2 Pg-3 Pg-4 Pg-5 Pg-6 Pg-7

Thank You Warriors…

Thank you — from everyone at Paramount Group management— for the sacrifices you make, every day and especially during this pandemic. Your dedication, commitment and courage deserve our deepest gratitude and admiration. Your service to the nation is saving countless lives and making thousands of differences.

The whole world is praising the efforts that are being made by corona warriors like Doctors, Nurses, Health workers, Conservancy staff and Police to ensure everyone’s safety everywhere. People from Logistics industry comprising of Ports, Terminals, Steamer Agents, CHAs, CFS, Fumigation Agencies, Indian Customs officers, Exim related Certification Authorities and most importantly Drivers of all type of Vehicles, have been tirelessly working to deliver essential services. The community of these workers should be given applause for the work.

Please accept this thank-you from Paramount Group management to express a million thanks to you for your work. Your work deserves appreciation!!!

THANK YOU

WASH YOUR HANDS

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AVOID CROWDS

STAY Home Stay Safe

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2M 2M RNI No. TNENG/2014/59741 Postal Registration No. TN/CNIGPO/067/2018-2020 Posted at Pathrika Channel, Egmore, RMS, Chennai-8.2 MDate of Publication - Wednesday, Posted on Tuesday / Wednesday

May 27th - Jun. 2nd Issue

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Gadkari Inaugurates the Breakthrough...

Wednesday, May 27, 2020

Wing 6 Feather 41

The Stand-Off Continues

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he Director General of Shipping (DGS) and the Central Board of Indirect Taxes and Customs (CBIC) have asked carriers not to collect container detention charges following a Shipping Ministry order to facilitate exporters and importers hit by the lockdown restrictions.

"These notifications are not legally binding on the lines and have to be rescinded. Instead the matter should be left to the lines, to consider each case on its merits,” Sunil Vaswani, executive director, the Container Shipping Lines Association (CSLA) India, said. CSLA India is a lobby group for global container carriers operating from/to India that includes Maersk Line, MSC and CMA CGM. On April 27, Director General of Shipping, Amitabh Kumar had asked CSLA in a letter to share details of its member lines who are complying with the government order, citing complaints that carriers were not extending the benefits to their customers.

As the stand-off continued, Shipping Minister Mansukh Mandaviya warned that he will “quarantine” the carriers if they refused to follow the government order on waiver of various charges including the container detention charges.

The non-clearance of cargo by the importers has led to acute congestion at terminals, container freight stations (CFS) and inland container depots (ICDs) across the country.

Shortage of labour and equipment operators amid the nationwide lockdown is resulting in shipments not getting unloaded for up to 10-15 days of arrival of the container at the container freight station.

At the same time, container freight station operators allegedly refuse to pay heed to the directives from the Directorate General of Shipping not to charge the storage charges from the consignees during the lockdown days.

The cargo movement came to a standstill during lockdown 1.0. It gradually started under lockdown 2.0 and 3.0.

However, migration of labour and drivers from cities to their hometowns has created labour shortages at port, airports. Truck drivers have also moved back to their home towns in large numbers and now there is a huge shortage of trucks and trailers which has severely impacted movement of domestic and international cargo.

The ports and CFS were open during the lockdown however, the clearance of cargo was severely affected due to the fear of coronavirus infection and shortage of labourers. This labour crunch coupled with shortage of equipment operators has led to Less Than Container Load containers not getting destuffed for 10-15 days of their arrival at the CFS and the consignees are being charged for these extra storage days.

The DG Shipping in its April 22 order had decided that for the second lockdown period, the shipping companies or carriers will not charge any levy or recover any penal charges, demurrage, ground rent, storage charges in the port on cargo owners/consignees of non-containerised cargo whether LCL or not for the period from April 15 to May 3 due to delay in berthing, loading/ unloading operations or evacuation/arrival of cargo. Prior to this, on March 29 also, it had issued an advisory on non-charging of container detention charges on import and export shipments for the period from March 22 to April 14.

The Department of Shipping on Wednesday recommended the ministry of shipping take stern actions, including scrapping of licences, if the liners do not comply with its advisory.

But the Wednesday’s letter mentioned that many importers and chamber bodies complained of charging detention fees by shipping firms. The DG Shipping office noted that importers are not taking delivery of goods for higher detention charges, known as demurrage. It said the impasse over taking delivery of containerised cargo is impacting the country’s economy while disrupting production at the factories. It said the port authority has also the power to release containers in favour of importers without complying with detention charges of the shipping companies. It also recommended the government may revive a Sample section of the Bangladesh Merchant Shipping Ordinance of 1983, which was TEXT annulled in 1995 to avoid such a situation in future.

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The section 76 of the ordinance stipulates that shipping firms submit the schedule of fares of certain vessels.

Shipping being the backbone of the logistics industry, merely looking at the issue solely from an exporter or importer point of view, would endanger the entire supply chain.

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Continued from page -1 opening of this tunnel will ease out congestion though the Chamba town and reduce the distance by one kilometer and journey through the town will take only ten minutes as compared to thirty minutes earlier.

Shri Gadkari lauded BRO for working in some of the very difficult terrain and ensuring implementation of critical projects. He said that he has been informed about completion of the project by October 2020, ie, three months ahead of the schedule.

Director General of Border Roads Organisation, Lt Gen Harpal Singh said, BRO started the work on North Portal of this tunnel in Jan 2019 but work on South Portal could be started only after Oct 2019 due to stiff resistance from locals on account of safety concerns and compensation issues.

To compensate for the loss in time, day and night working shifts along with use of modern technology facilitated the breakthrough. BRO is a key stake holder in prestigious Chardham project and breakthrough of this tunnel has been achieved

by Team Shivalik. Latest Austrian technology has been used in its construction. The tunnel will be through for traffic by October this year, almost three months before its scheduled date of completion.

Under prestigious Chardham Project costing around Rs 12,000 Crore with approximate length

of 889 Km, BRO is constructing 250 Km of National Highways leading to holy shrine Gangotri and Badrinath. Majority of the works are progressing ahead of schedule and BRO is slated to complete four projects by October this year.

BRO has been entrusted 251 Km of stretches costing Rs 3000 Cr approx consisting of 17 Projects on road Rishikesh – Dharasu (NH-94) from Km 28 onwards of 99 Km length, Dharasu- Gangotri Highway (NH-108) of 110 Km length and Joshimath to Mana ( NH-58) of 42 Km length. Out of these, 10 Projects consisting of 151 Km road length have been sanctioned which are worth Rs 1702 Cr and works are under progress ( (i) Rishikesh – Dharasu( NH-94) , 99 Km length

(Five projects); (ii) Dharasu- Gangotri Highway (NH-108), 22 Km length (Two projects). Five projects of BESZ are yet to be sanctioned; (iii) Joshimath to Mana (NH-58) 32 Km (Three Projects).

Two projects are yet to be sanctioned).

BRO is slated to complete four Projects aggregating a length of 53 Km out of 10 ongoing projects ahead of their scheduled, date of completion as under: (DharasuGangotri Highway (NH-108) KM 110123 by June 2020, RishikeshDharasuHighway (NH-94) Km28-59

by July 2020, Rishikesh- Dharasu Highway (NH-94) Km 59-65 including Chamba Tunnel by October 2020, and Chinialisaur bye pass on Rishikesh- Dharasu Highway (NH94) by October 2020).

A Tunnel of 440 mtr length to decongest busy Chamba town is being constructed out of these 10 projects. This is a Horse shoe type tunnel with 10 mtr carriage way width and 5.5 mtr vertical clearance.

The sanctioned cost of this tunnel is 107.07 Crore. The awarded cost is Rs 86 Crore, including 43 Crore for Tunnel and 43 Crore for 4.2 Km approach roads to tunnel.

Sorry Plight of Indian Seafarers: Neither Are They Able to Sail, Nor Return Home Mumbai

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Port Wings News Network hip-management company, Synergy Marine Group, has been waiting in vain since May 12 for government permission to land a chartered flight in Mumbai to bring back 22 Indian seafarers from Denmark, according to a BusinessLine report Synergy booked a 60-seater plane to repatriate the crew, mostly from Tamil Nadu and Kerala, who have spent 8-9 months at sea. The master and 21 other crew had signed off from the now sold vessel ‘Jal Anant’ at Gulfhavn port in Denmark.

To utilise capacity fully, Synergy even offered 40 seats for free to Indian nationals looking to return from Denmark. “We are still waiting for the Indian government to give us landing permission,” said Captain Rajesh Unni, CEO, Synergy Marine Group. The delay is one of the many instances that demonstrates the confusion and apathy of the government in facilitating crew change of Indian seafarers at foreign ports after the pandemic outbreak.

Chartered flights given the green signal The Ministry of Home Affairs has allowed chartered flights to take off and land in India with crew.

MMS Maritime (India) Pvt Ltd operated a chartered flight from Bengaluru to Colombo to facilitate the movement of Indian seafarers seeking employment opportunities in South Korea.

Italian cruise operator Costa Crociere S.p.A. operated three chartered flights to Goa earlier this week to repatriate 414 seafarers from that state.

“No fresh charter flight permission was given to shipping companies this week,” Sanjay Prashar, a member of India’s National Shipping Board, said while expressing “absolute disappointment” with the government.

There is no cost to the government for chartered flights arranged by shipping companies for transporting seafarers. Unable to understand the delay, Prashar said.

“Seafarers on a ship have a right to return home. Seafarers at home, can’t work from home; they need to be on a ship. It’s simple, yet the government makes it complex. Why keep seafarers under lockdown if they are essential workers,” he said.

“Ships have a schedule,” he said, while urging the government to keep timelines for approvals.

Seafarers on edge The forced stoppage of crew changeover due to Covid-19 has attracted the ire of Indian seafarers, at a time when tens of thousands of workers are losing jobs in other industries/ sectors in the country.

But, ships continue to need crew to transport essential commodities, providing job opportunities to seafarers staying home for months, waiting for their next assignment.

With no clear indication as to when international flights will start and no standard operating procedures (SOP) for crew change at foreign ports, the seafaring community is on the edge.

What has annoyed Indian seafarers even more is the fact that Filipinos, Sri Lankans and even Burmese, some of whom are not even qualified to man large ships such as very large crude carriers, are flying to join ships as fleet owners/ managers are keen to hire crew who are easily available to keep their ships operational.

For those looking to get off their ships and return home, the agony is piling up. A voyage from the US to China, takes some 52 days.

“That’s how long before we call a port for crew change. The delay in releasing the SOP for crew change at foreign ports just prolongs the agony.

Seafaring nations such as China and the Philippines are way ahead in facilitating crew change,” said another seafarer, prodding the government to “move fast” on the issue.

As the government fumbles on finalising an SOP for crew change of Indian seafarers at foreign ports, cargo-laden ships are diverting to India en-route to destinations, just

to carry out crew change for which an SOP is already in place.

Three Singapore flagged LPG tankers, Pyxis Alfa, Shahrastani and Shaamit as well as the Singaporeflagged ore carrier PSU Seventh are deviating to India over the next few days to sign off crew.

“All these diversions are happening because some owners are concerned about their ships and crew and not because of ship managers. Ship managers are just taking the credit,” said a shipping industry executive.

In fact, some ship managers are “trying to pressure seafarers against raising their voice for deviation”, threatening not to deviate even when the ship owner has given the go-ahead for deviation, he said. “Ship managers, with a few exceptions, are more of a road-block for crew change, he added.

Ship managers, on their part, have blamed the high cost of crew change in India, as a stumbling block.

“When they talk of high costs, they should also talk about the millions of dollars saved during the last three months when no crew change happened,” he said.

There is another reason for such urgency on the part of fleet owners to deviate their ships for crew change. On May 5, the International Maritime Organization (IMO) circulated a framework of protocols to 174 member states, to ensure safe ship crew changes and travel during the coronavirus pandemic.

On May 13, the International Transport Workers’ Federation (ITF) and the International Maritime Employers’ Council gave governments time until June 15 to repatriate crew working beyond their stipulated contract time, by following the IMO guidelines.

The key question facing the shipping industry now is what will happen if India does not re-start international flights by June 15, when the one-month deadline set by the unions to resume crew change ends.

“Even assuming that flights resume, it will be limited and difficult to get seats,” he said.

May 27th - Jun. 2nd Issue

APM Terminals Pipavav recognized as a ‘Great Place to Work’ Pipavav

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Port Wings News Network PM Terminals Pipavav [Gujarat Pipavav Port Ltd] has been certified as a Great Place to Work by the Great Place to Work® Institute for the second time in a row under the category: small and mid-size organizations. APM Terminals Pipavav strongly believes that employees are one of the most valuable stakeholders and this honour affirms its commitment towards the employees.

Every year, more than 10,000 organizations across 60 countries apply to get Great Place to Work–Certification. APM Terminals Pipavav was assessed through a multi-pronged approach where the employees answer an online survey. Employees across various levels were interviewed for their assessment of the company and its policies and a detailed analysis

is also done through the website of the institute. The certification takes a holistic view of the employees’ experience in the organization.

The key findings highlighted were that employees at APM Terminals Pipavav are proud to be associated with the organisation as well as have strong desire to continue working here.

Mr. Jakob Friis Sorenson, Managing Director, APM Terminals Pipavav, “We are honoured to

receive this recognition second time in a row. This is a testament to our inclusive and transparent work culture built over time by constant communication and by sticking to our values.”

APM Terminals Pipavav [Gujarat Pipavav Port Ltd.] is one of India’s leading gateway port for Containers, Ro/Ro (passenger cars), Liquid Bulk and Dry Bulk cargoes serving customers in the state of Gujarat with road and rail networks to India’s hinterland and northwest.

The current annual Cargo Handling Capacity includes 1.35 million TEU Containers, 250,000 Passenger cars, 2 million metric tons of Liquid bulk and 4 million metric tons of Dry bulk.

APM Terminals Pipavav is India's first public private partnership (PPP) port in India and is a part of the APM Terminals global terminal network.

Major Ports See 21% Volume Contraction in April New Delhi Port Wings News Network mpacted by COVID-19, major ports in India witnessed a steep 21 per cent volume contraction in April and bulk cargo throughput may shrink up to 8 per cent in the current fiscal, a PTI report citing ratings agency Icra said.

It said the container segment may witness a decline of 12-15 per cent during the current financial year.

“The Indian port sector has been adversely impacted due to the COVID-19 outbreak and the subsequent lockdown introduced by India and other major economies.

“Although, the sector has been classified under essential services and has remained operational during the lockdown, the impact on domestic economic activity as well as slowdown in global trade has resulted in steep contraction in cargo volumes at the major ports in April 2020, with throughput decline of 21 per cent,” Icra said in a statement.

While the decline was across major cargo categories, petroleum,

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oil and lubricant (POL), thermal coal and container segment witnessed significant contraction.

The outlook for the port sector remains negative in the near to medium term, it added.

K Ravichandran, Senior VP and Group Head, Icra Ratings, said: “The credit profile of port sector companies is expected to witness pressure in the near to medium term, due to the impact of COVID-19 outbreak and the subsequent lockdown imposed. Further, entities that have recently commenced operations or concluded debt funded capacity expansions or have concentrated cargo profile like containers could come under severe pressure.”

Nonetheless, well diversified players (cargo-wise) and SPVs promoted by stronger sponsors should have higher financial flexibility to weather this downturn and their debt servicing is unlikely to be materially impacted, he said.

Taking note of the support and concessions provided by the

Ministry of Shipping to various stakeholders in the port sector, it said these include free storage, suspension of minimum guaranteed obligations during the lockdown period, deferment of revenue share/royalty for three months and reduction in lease rates to the extent of decline in volumes.

Sai krishna, Assistant Vice President and Associate-Head, Icra Ratings added: “The concessions will provide short term cash flow reliefs to PPP terminals operating at major ports, however, sustained cargo contraction post the lockdown and the need to offer discounts to revive volumes would put pressure on cash flows of the terminals, subsequently.”

While all cargo segments are vulnerable, Icra said the container segment is expected to be more adversely impacted.

It said while general cargo throughput may witness 5-8 per cent contraction for full year 2020-21, the container segment may witness a decline of 12-15 per cent during the same period.

Boskalis Awarded Two Dredging Contracts in Finland Chennai

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Port Wings News Network oyal Boskalis Westminster N.V. (Boskalis) has been awarded two contracts in Finland by the Finnish Transport Infrastructure Agency, the Port of Helsinki and the City of Helsinki with a combined contract value of EUR 32 million. In the Port of Helsinki, Boskalis will deepen de Vuosaari fairway and harbor basin from eleven to thirteen meters and utilize a part of the dredged material for the development of Helsinki’s Hernesaari area, which is close to the center of the city. The activities will commence immediately and are

due to be completed by the end of 2021. ‎For the harbor deepening scope a volume of one million cubic meters of clay and moraine material will be dredged and 0.8 million cubic meters of rock will be removed from the seabed by means of drilling and blasting. Part of this material will be transported by vessel to the Hernesaari area and reused for the reclamation of 6 hectares of land on which offices and residential housing for 7,000 people will be developed in the coming years. For these activities Boskalis will deploy a variety of specialized dredging equipment including two large

backhoe dredgers, a grab dredger, a drilling barge and various hopper barges.

Boskalis’ strategy is aimed at benefitting from key macroeconomic factors which drive worldwide demand in our markets: expansion of the global economy, increase in energy consumption, global population growth and the challenges that go hand in hand with climate change. These projects are largely driven by growth in global trade and the trend towards larger vessels with deeper drafts as well as population growth in major cities.

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JNPT, a Major Contributor to India’s Growth Story Mumbai

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Port Wings News Network awaharlal Nehru Port Trust (JNPT), India’s premier container port has been continuously evolving and upgrading to improve operational efficiency parameters.

The port’s continuous growth and expansion has helped JNPT to perform its duties of a strategic contributor to nation building.

In the current scenario too, overcoming the impact of COVID-19 outbreak and lockdown challenges, the port remained operational as part of essential services and played a crucial role in keeping the global supply chain active by ensuring the availability of essential goods to sustain the national and international needs.

The lockdown has underlined the indispensable role of the shipping sector in nation’s economy.

During the period of lockdown from 22 March 2020 to 24 May 2020, JNPT handled 610,405 TEUs and 913,233 MT of liquid and bulk cargo.

Besides handling the regular operations, JNPT has also extended support to the EXIM clients and stakeholders in these challenging times. When the DPD customers were unable to take their deliveries owing to the acute shortage of Trucks, JNPT extended timely support to them by providing the ‘Extended Gate’ facility at ICD Mulund and ICD Tarapur; and shifting their containers there by rail without any additional shifting charges. From 13th April till date 25th May 2020, total 77 trains have facilitated the movement of an additional 5,538 TEUs of DPD containers by rail.

JNPT also supported export clients based out in Hajira in the critical time when the exports were shut in the ports in their vicinity.

Since April 2020 onwards, JNPT

started rail movement of EXIM containers between JN Port and Dahej/ Hazira, wherein 3909 TEUs of EXIM containers were moved by rail and thereafter from May 6, 2020 JN Port's

own container terminal facilitated the commencement of moving empty containers by rail through CONCOR to ICD Dahej for Reliance Industries.

These timely measures helped the exporters and strengthened JNPT’s hinterland connectivity.

JNPT has always risen to the occasion, says Shri Sanjay Sethi, IAS, Chairman, JNPT. “India’s No. 1 Container Port has done it on a number of occasions for the last 31 years and it has always continued its support to nation’s economy by delivering its duties of an important part of the supply chain. By being fully operational during this lockdown when numerous industries have come to a complete standstill, JNPT continued its delivery of vital goods such as medical supplies, fuel and food in these difficult times. This time around, though, the personal risks for the workforce were significantly higher, still the support and commitment of employees of JNPT and stakeholders at a time of unprecedented crisis, is a tale of valour and hard work."

The port has completed 31 years of operation and with some major projects and strategic initiatives underway; JNPT is expected to drive the next phase of transformation at the port, benchmarking its services against the best ports in the world to constantly evolve meeting the demands of the global market.

Visakhapatnam Port Sees Growth Plunging to -11% Visakhapatnam Port Wings News Network he Visakhapatnam Port has fared relatively better compared to other major ports in ensuring near-normal handling of cargo during the nationwide lockdown, according to a report in The Hindu.

The port witnessed a negative growth of -11% compared to other major ports which have witnessed a negative growth of -21%.

The port, which ranked third in the 2019-20 fiscal due to its innovative marketing strategies by handling a throughput of 72.72 million tonnes, is hopeful of putting up a reasonably good show this fiscal.

The announcement of a ₹20 lakh crore economic package by the Central Government may also cheer up major ports in overcoming the crisis amid reports that the steel industry will show signs of recovery soon.

“We are working hard to do well during this crisis. We are aware of the difficult times ahead. Our cargo handling is nearly minus 11% as against minus 21% of the major ports in general till date compared to the corresponding period last year,” Visakhapatnam Port Trust Deputy Chairman P.L.Haranadh told The Hindu.

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Chennai port has seen a decline in cargo handling by 38%, while JNPT and Kochi have seen a decline of 3334%, Kandla 23% and Paradip 10%.

He said one positive development was the demand for export of iron and steel to China from Visakhapatnam, mainly semis like billets and blooms and pig iron following closure of several industries there. He expects the trend to continue for a few months till Chinese steelmakers revive production.

Mr. Haranadh said that despite the pandemic, they had kept all areas of operations open to exports/ imports and hoped that by handling almost 90% of the traffic that was handled last year, they would overcome the crisis from the second quarter onwards.

All the ports suffered heavy loss of petroleum cargo due to the fall in demand during lockdown. Overall container cargo handling also fell by four million tonnes.

Official sources said there was dip in POL by 2.5 million tonne, steam coal by another 2.5 million tonne. The total shortfall is about 13 million tonnes in April. Both in April and May, there was a drastic fall in stream coal imports as power consumption by industries nosedived due to the lockdown.

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May 27th - Jun. 2nd Issue

Domestic, International Markets Going Through its "Worst-ever" Crisis, Says Ex-Commerce Minister New Delhi Port Wings News Network alling exporters, Corona warriors for India’s external sector, Former Commerce & Industry Minister and India’s Sherpa to the G-20, Mr Suresh Prabhu said that as both domestic and international markets are going through its worst-ever crisis, therefore the role of the exports sector becomes critical at this juncture.

Applauding the mega economic comprehensive package of Rs 20 Lakh Crores announced by the government under the dynamic and able leadership of Shri Narendra Modi, Mr Prabhu said that in the ongoing situation, first and foremost is to find the markets where demand support is given by their respective governments through a package such as the USA and EU. He also talked of identifying niche markets and key products for exports which is the need of the hour.

Elaborating on the issues and challenges being faced by the Indian exporters, during a Video Conference Interaction with FIEO members on "The Way Forward" on May 22, 2020, Mr Suresh Prabhu said that easy access and availability of credit has been a key concern.

RBI needs to consider exports under private sector lending, ensuring the banking system to cater to the needs of the exporters. The objective of the session was to discuss the impact of Covid-19 particularly to the exports sector wherein Industry is passing through turbulent times and to listen to his valuable thoughts to overcome such an unprecedented situation.

The Reserve Bank of India may create an external market sensitive credit facility for exporters through banks and ensure banks don't charge at a higher rate for this service,

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which would further ensure access to lower cost of finance, reiterated Mr Prabhu.

Emphasis should also be laid on price sensitivity along with import sensitivity as both are interrelated and can determine pricing of the product. In order to increase export competitiveness, sectoral studies can be conducted to identify and address key bottlenecks in the economy, added Mr Prabhu.

The Former Commerce & Industry Minister also asked for immediate action that needs to be taken for opening trade offices in the key global markets on the lines of South Korea and Canada. Emphasis needs to be laid on redefining subsidies besides aggressively supporting merchant exporters in marketing their products in such globally competitive markets.

Others who attended the interactive session included FIEO Office bearers and leading exporters from all the regions of the country.

FIEO President Mr Sharad Kumar Saraf during his deliberation thanked Mr Suresh Prabhu and said that COVID-19 pandemic has impacted both Indian exports and economy on a larger scale. Its repercussions on the country could well be felt now as trade and industry operations have yet to start at its full capacity. With major economies including China, US, Europe almost fully operational now, India trade and industry should be supported

in a big way to start operations so that not only our exports are least impacted but our whole supply chain disruptions are also overcome, added Mr Saraf. He welcomed the package announced by the Finance Minister saying that there is still a need for more to be done for exports and also praised the announcements made by RBI particularly for easing liquidity concerns of the exporting community to a great extent.

Expressing his concern that global trade is under the element of uncertainty, which is the biggest enemy of business, DG & CEO, FIEO, Dr Ajay Sahai said that economies across the world are entering into recession. As per WTO estimates, global trade may plummet between 13-32% with further downward revision and recoveries in the trade will depend upon policy initiatives that the countries are adopting. Talking about India, Dr Sahai further informed that we may see USD 30 billion drop in India's tourism services with almost negligible international tourist arrival in the current fiscal, however the performance of IT and ITes sector will improve during the medium term because of the focus on digitisation. With exports estimated to decline by 20% or more during the current fiscal, we may see a reduction of USD 200 billion on the imports and remittances front.

Dr Sahai feels that digitisation and automation will play a key role in increasing manufacturing capabilities adversely impacting the employment. With the new norms coming in, companies may also be losing the wage advantage and hence, robotics manufacturing will come into picture. Textile manufacturing may also become vibrant in major economies. The session concluded with a highly informative and knowledgeable Q&A interaction.

TEA Hails RBI Measures To Support Exports & Imports Chennai

I

Port Wings News Network n a press release issued on 22 May 2020, Shri Raja M Shanmugham, President, TEA, thanked the RBI Governor, Shri.

Shaktikanta Das for reduction of the policy repo rate by 40 basis points (0.4%) from 4.40% to 4% with immediate effect and noted that this is the second reduction RBI has done, after reducing from 5.15% to 4.40% on 27 March 2020, during COVID-19 environment.

While thanking RBI for the measures announced to improve the functioning of markets, Shri Raja M Shanmugham hailed the decision to increase the maximum permissible period of pre-shipment and postshipment export credit sanctioned

by banks from the existing one year to 15 months, for disbursements made up to July 31, 2020, and added this measure is beneficial to Tirupur knitwear garmenting units, as they have resumed the operations and functioning partially from the second week of May 2020 only.

In the import front also, RBI has decided to extend the time period for completion of outward remittances against normal imports into India from six months to twelve months from the date of shipment for such imports made on or before July 31, 2020, which will be helpful for the Specialty Fabric and Machinery importers.

Shri Raja M Shanmugham welcomed the extension of moratorium by another three months from June 1, 2020 till August 31, 2020 taking the total period of

applicability of the measures to six months (i.e. from March 1, 2020 to August 31, 2020). The lending institutions are being permitted to restore the margins for working capital to their original levels by March 31, 2021. Similarly, the measures pertaining to reassessment of working capital cycle are being extended up to March 31, 2021.

Shri Raja M Shanmugham said in the Monitory Policy Statement, it has been pointed out that the weighted average lending rates on fresh rupee loans of commercial banks declined by 43 bps in March 2020 alone, though RBI was reducing the repo rate intermittently from April 2019 onwards and in fact 0.75% reduction was also announced on 27th March 2020 and hoped that the banks would transmit the benefit to Customers.

Measures Announced by RBI Will Help India’s Stressed Export Sector: TPCI New Delhi Port Wings News Network eacting to the announcements made by the RBI on 22 May, Mr Mohit Singla Chairman TPCI said, “The financially stressed exporters will benefit from unforeseen circumstances beyond control, on account of importers inability to pay within six months and thus causing offence in India.

Therefore, increasing the time of outward remittance from 6 months to 12 months, will surly help as they

R

will have the longer payment time.”

The loan moratorium increase from 3 months to 6 months is a very welcome move allowing an exporter with a wider window to manage financial conditions better. This will ease the pressure from borrowers of one-time accumulated payment by increasing the payback cycle, he added.

Further, Singla said, “Extending the swap facility for Exim banks, extension of import payments from 6 month to 12 month and increasing the exporters' length of credit to 15

months from one year are the much needed steps which will solve the working capital woes for the traders to a considerable extent and ease the pressure of making immediate payment.”

Monetary Policy Committee (MPC) decision to reduce the policy repo rate under the liquidity adjustment facility (LAF) by 40 bps to 4.0 per cent from 4.40 per cent will smooth liquidity for short term and will help in keeping consumer price regulated, Singla added.

Sanjay Bhatia Visits MbPT Hospital to Boost Morale of Corona Warriors New Delhi Port Wings News Network n order to review the hospital arrangements, boost the morale of the health workers in the COVID wards and to check the status of the 102 ( 72 positive and 32 suspected) patients, Sanjay Bhatia, IAS, Chairman, Mumbai Port Trust(MbPT) along with senior doctors visited the COVID wards and the COVID ICUs. on May 20, 2020.

Wearing a full PPE suit, he spent nearly one and half hours with the patients, the doctors and nurses in the COVID wards. Bhatia said, “I could see the surprise and delight in the patients’ eyes that someone had come to meet them in the COVID19 wards.

A patient who worked as a security guard got out of his bed, stood straight and saluted. I was impressed by the dedication with which the nurses were working.” Bhatia was told that the nurses practise meditation regularly. However, he felt helpless

I

and disheartened to see the patients in ICU wards were in bad shape.

“The way the number of patients is increasing day by day, there is a dire need to increase the ICUs and number of beds with oxygen facilities. Overall, my respects to the COVID warriors who are working tirelessly in such difficult circumstances”, he added.

Mumbai Port has converted its 100-bed hospital into a 120-bed COVID and 25-bed Non- COVID facility for its nearly one lakh employees, pensioners and their families. Since the beginning of the lockdown, the hospital has treated 333 Corona positive patients. There have been 37 deaths.

DP World Distributes 20 tonnes of Food Grains in Chennai Chennai

I

Port Wings News Network nternational logistics company, DP World has distributed 20 tonnes of food grains in Chennai to 1500 families affected by ongoing COVID-19 lockdown.

The food grain distribution was conducted by DP World to support low-income group families living in and around its upcoming free trade warehousing zone (FTWZ) project site, at Vallur and Edayanchavadi in Ponneri taluk of Thiruvallur district.

The handover was done in the presence of Shri Balaraman, MLA, Ponneri constituency, Shri Manikandan, Tahsildar, Ponneri and other key officers of local administration.

DP World is committed to supporting the local communities during these challenging times. It has partnered with Akshaya Patra and Goonj to provide cooked meals and other relief material to those who

depend on daily wages or have lost their livelihoods during this time.

The company is also distributing dry ration kits to the local communities around DP World’s port terminals in Cochin (Kerala), Nhava Sheva (Maharashtra), Mundra (Gujarat) and Chennai (Tamil Nadu).

Rizwan Soomar, CEO and MD, DP World Subcontinent, said “We have already initiated various programmes to support the less privileged section of our society during this hour of need.

The nationwide lockdown has impacted many families and has left them stranded without food and other essentials. With the extension of the lockdown, their livelihood will continue to get affected. I hope this assistance provides a meaningful difference to some of the families. We look forward to more ways in which we can support the communities during these challenging times."

V.O.Chidambaranar Port Handles Wind Blade of length 72.40 metres Tuticorin Port Wings News Network .O. Chidambaranar Port on 26 May 2020 handled Wind Blade of length 72.40 metres, the longest of its kind made in India.

The German flagged heavy lift vessel ‘M.V Maria’ with LOA of 151.67 metres & draft of 8.50 metres was berthed at VOC-II berth at 1324 Hrs on 26.05.2020 for loading the Wind Blade.

The loading of the Wind Blade of length 72.40 metres was executed diligently using 3 Ship’s Hydraulic cranes. The Shipper of the above Wind Blade is M/s.Nordex India Private Limited, Thiruvallur, and the cargo is consigned by M/s.

Nordex Energy GMBH, Germany, to Port of Antwerp, Belguim. The Stevedore and Ship Agents for the above vessel is M/s. Aspinwall & Co. Ltd., Tuticorin.

The Wind Blade was transited

by M/s. NTC Logistics India (P) Limited using specialized Wind

V

Blade transportation truck all the way from Mappedu near Chennai to Tuticorin.

In a message conveyed by Shri T.K. Ramachandran, IAS, Chairman, V.O. Chidambaranar Port Trust, he stated that V.O. Chidambaranar Port has all infrastructure in place to

handle windmill blades and towers.

He also stated that Port’s ‘Tuticorin SPEEDZ’ (Smart Port Employment & Economic Development Zone), a Sagarmala initiative for providing an integrated industrial park possesses around 1000 acres of land. The Manufacturing companies starting industries at ‘Tuticorin SPEEDZ’ can benefit from mature industrial climate and culture, lower transportation cost for manufactured products and global reach provided through VOC Port.

May 27th - Jun. 2nd Issue

Troubled Shipping Lines Turn to State Support to Tide Over Corona Crisis

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Chennai

Port Wings News Network ith a quarter of all scheduled sailings canceled over the past three months and a collapse in consumer demand from the virus-driven lockdowns, shipping executives say some operators won’t make it unless they are bailed out. Some of the world’s biggest shipping companies are turning to government support to ride out the fallout from the coronavirus pandemic, according to a WSJ report.

“There’s never been so many requests for state support,” said George Xyradakis, head of the XRTC Business Consultants and an adviser to the China Development Bank on maritime matters “Global trade is shrinking, some players are in mortal danger and those who come out standing will have a long and painful path to recovery.”

State support for shipping isn’t new, but has mainly involved companies in Asia, where governments see ocean trade and vessel construction as vital components of their national economies. This is the first time that many Western owners are seeking direct help.

Private French container line CMA CGM SA, the world’s fourth largest liner company by capacity, secured last week a €1.05 billion ($1.12 billion) syndicated loan from three banks— HSBC and Société Générale and BNP Paribas —which is 70% guaranteed by the French government.

The European Commission prohibits state support for troubled firms and can impose heavy fines for violators. But EU officials said the loan was part of France’s $329 billion pandemic-support package, approved in March, and it wasn’t in violation.

CMA CGM also needs help in managing its $17.5 billion debt. This year it faces roughly $1.7 billion in maturing loan and bond payments, while its shipping volumes are expected to shrink about 10% in a weakening global trade environment.

The company said in a statement that it will use the cash “to confront uncertainties in the global economy resulting from the health crisis and lockdowns.”

The German shipowners association, VDR, said shipping is on the verge of a “deep crisis” more severe than the 2008 financial crash, when German owners lost a third of their vessels. Germany has one of the world’s largest clusters of private investors in cargo vessels.

VDR President Alfred Hartmann said owners need unimpeded access for aid from the government-run KfW Development Bank.

“As most German shipping companies are small to medium-sized enterprises, they face extinction without effective support being provided under the KfW programs,” Mr. Hartmann said.

The VDR said revenue among its members tanked up to 40% in March and April from last year, and many face a liquidity crunch as charter rates are down 60% for all kinds of ships.

Mr. Hartman expects the situation to get worse this year and “this means that substantial segments of the German merchant fleet are foreseeably endangered in their existence.”

In Greece, where owners control around 20% of the global fleet, the government approved a $35 million bailout for a fleet of 100 ferries that depend heavily on the peak summer season.

“We should be preparing for a very busy summer, but just one-third of the fleet is operational,” Mr. Xiradakis said. “A fraction of the tourists are expected this year, so state support is paramount to keep the ferries alive.”

European and Japanese owners have often criticized the governments in Korea for repeated bailouts of their own shipping firms over the past years. Some complaints have been filed to the World Trade Organization for resolution, but the European subsidies will make it harder for companies to argue against state aid.

Asian shipping bailouts are big and common as some carriers like South Korea’s HMM and Taiwan’s Yang Ming Transport Corp. are considered vital assets that move billions worth in exports.

HMM, which has been losing money for years, got $600 million in April from state entities that now own a combined 74% of the company. It has received more than $5 billion in state support over the past two years to buy ultra-large container ships that will double its capacity.

Seoul is also seeking approval from regulators in Europe and elsewhere for a government engineered merger of two shipbuilding behemoths, Hyundai Heavy Industries Co. and Daewoo Shipbuilding & Marine Engineering Co. Taiwan this week announced a $1 billion credit facility to support the country’s big container operators like Yang Ming and Evergreen Marine Corp. from the coronavirus fallout.

“Shipping is part of the economic lifeline of Taiwan and the government will do its utmost to help it weather the difficult times,” Transport Minister Lin Chia-lung said.

Much-needed Welcome Step During Such Challenging Times by RBI: FIEO New Delhi Port Wings News Network he Federation of Indian Export Organizations (FIEO) has welcomed the RBI's repo and reverse repo rate cut of 40 basis points by RBI, extension in the moratorium period for another three months till 31 August, 2020 along with the extension of the pre and post shipment credit for the exports sector from existing 12 months to 15 months as a "much needed respite" for the overall exports sector.

In a media statement, FIEO President Mr Sharad Kumar Saraf stated that this will allow more liquidity in the hands of the exporters thereby helping them in fulfilling their overall export obligation during such difficult and testing times.

We are ushering into an era of very competitive credit rates to help manufacturing and overall economy, said FIEO Chief.

The above measures will not only help in revival of growth but will also help in mitigating the impact of Covid-19 while ensuring that the inflation remains within the target range, observed Mr Saraf.

Besides steps taken with regard to outward remittance for imports being extended from 6

T

months to 12 months, will help importers as they will have the longer repatriation period. Rs 15000 Crore line of credit to Exim Bank for Dollar Swap facility will help in leveraging long term and project exports as a “marketing tool” as buyers would be more willing to buy products from the seller.

However, self-sufficiency on the Forex Reserve front with USD 487 billion equivalent to 1 year of imports is quite a good sign for the economy. Further RBI’s assessment of the economic revival during the first half remains bleak with signs of revival to be only seen during the second half of the financial year, President FIEO urged the government for immediate announcement of an export package covering all the sectors of exports and implementation of the economic measures announced at the ground level for quick and early starting of trade and businesses across the country during such difficult and testing times.

Mr Saraf suggested that RBI should continuously monitor the delicate economic situation and make pragmatic announcements after every two months interval.

5

FFFAI Recommends Pragmatic Practices To Deal With Post-lockdown Pressure

W

Chennai

Port Wings News Network ith the scenario is changing gradually towards a new normal post lockdown 4.0 declaration and cargo operations are expected to face numerous challenges in the days to come, the Federation of Freight Forwarders’ Associations in India (FFFAI) has urged the Government of India as well as its own members to adopt pragmatic approach and practices to tide over.

Meanwhile, FFFAI Executive Committee under the leadership of its Chairman Mr AV Vijaykumar has sent a number of delegations and correspondences to the Ministry of Commerce, Finance, Shipping, Aviation and Home Affairs separately to address the issues being faced by Custom Brokers, Freight Forwarders and entire logistics industry during ongoing lock down/ curfew and possible impact on post lockdown period as regard to customs clearance and physical evacuation/operation of cargo. Delay, demurrage, detention, ground rent, storage charges or any other extra charges and likely enhanced freight charges would be the prime areas of concern.

In addition, FFFAI has also organised online meetings/Webinar inviting trade experts and government representatives to discuss the prevailing and forthcoming issues pertaining to the impact of COVID 19 pandemic and lockdown on the Exim trade as well as logistics industry.

Underscoring the critical role being played by the Customs Brokers, Mr Vijayakumar said, “We, our members, continue to serve the economy of the country as Custom Brokers risking their lives, to be in the forefront to handle Exim cargo at the Customs and other related locations across the country. In fact, it is not the Customs Brokers who have resisted the deliveries to the Customers, but the Customer due to their own constraints.”

Mr Vijaykumar further maintained that Customs Brokers with difficulty but also with pride are overcoming the challenges thrown

by the lockdown - be it , non-availability of transport vehicles for movement of cargo or public transport for travel of their staff, or the limited functioning of many Shipping Lines, Airlines, Freight Forwarders, NVOCCs, or major Custodians of cargo- ports, port terminals, air cargo terminals, CFSs, ICDs, Land Custom Station etc, who are operating with limited manpower and equipment. “We have re-established our brand that “we deliver” and I sincerely appreciate the efforts of A.V. Vijaykumar our entire fraternity to Chairman-FFFAI have carved a success story of our capabilities,” he affirmed.

Commenting on eventualities of further increase in transaction as well as overall logistics cost Mr Vijaykumar made clear, “With all the limitations prevailing now, there are bound to be delays in handling/delivering of cargo, leading to additional costs though not attributable to our service standards.”

Mr Vijaykumar also appealed to all FFFAI members to play a very positive role for containing the virus by adhering to MHA guidelines: to wear mask whenever in any public place, frequent usage of sanitizer, social distancing, work from home wherever possible, avoid unnecessary travel, register with Aarogya Setu, consume home-made food and avoid outside eateries. “Treat ourselves as though we are a carrier of the virus – you will try to protect others; treat all others as though they are carriers of the virus – you will protect yourself,” he made a caution. The FFFAI Chairman also suggested industry practitioners to protect own business interest at this crisis time in terms of payment mechanism, credit limit and bearing of extra charges which are not in the CB’s control, while at the same time serving the clients effectively and efficiently.

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6

Vessel Position at Terminals - (27.05.2020 To 03.06.2020)

May 27th - Jun. 2nd Issue

7

CITPL - Chennai

CCTL - Chennai ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

29/05

30/05

CCG

MESSINI

102W

EMC

Cochin, Nhava Sheva, Mundra, Jebel Ali, Bandar Abbas, Dammam

30/05

31/05

FME

KMTC MUNDRA

2001E

KTC

Port Klang, Singapore, Manila, Pusan, Shanghai, Hong Kong

27/05

28/05

SIF

SPIRIT OF MUMBAI

22

MSC1

Colombo

29/05

30/05

CI3

WANHAI 516

E047

WAN

Port Kelang(North port), Singapore, Shangha

26/05

27/05

COST

MCP LINZ

37

SCI

Port klang

01/06

02/06

TCX NEW

VERMONT TRADER

008E

RCF

26/05

27/05

COST

TCI VIJAY

Chennai West Port Klang, North Port Klang, Singapore, Laem Chabang

Port klang

Kattupalli

DAKSHINBHARATH GATEWAY TERMINAL / Tuticorin ETA 28/05

ETD 29/05

Service

Vessel Name

Voy

Agent/Line

20036

TWF

Calling Ports

TUX

MV.OEL SHRAVAN

COLOMBO, TUTICORIN, COLOMBO

20135S

BTL

COLOMBO, TUTICORIN, COLOMBO

29/05

30/05

BOX

MV.HERMANN SCHEPERS

30/05

31/05

CTS

MV.THORSKY

059S

FAR SHIPPING

COLOMBO, TUTICORIN, COLOMBO

31/05

1-6

TUX

MV.OEL SHRAVAN

20037

TWF

COLOMBO, TUTICORIN, COLOMBO

NCT, Krishnapatnam ETA

28/05

ETD

29/05

Service

ACS

Vessel Name

Hyundai Privilege

Voy

074W

Agent/Line

Calling Ports

Hyundai, RCL

Krishnapatnam, West Port Klang , Singapore, Cailan, Busan, Ulsan, Shanghai, Ningbo, Yantian

Hapag ONE, COSCO, OOCL, YML

Colombo, Damietta Piraes Rotterdam, London

28/05

29/05

IEX

AL Safat

2018W

26/05

27/05

VCH-2

FSL Singapore

003

Colombo, Damietta Piraes Rotterdam, London

26/05

27/05

COASTAL

Asiatic Dawn

014

Colombo

30/05

31/05

ECX

SSL Kutch

189

Haldia, Paradip

APM Terminal - Mumbai ETA

ETD

Service

Vessel Name

27/05

28/05

ME3

MAERSK KIMI

Voy

Agent/Line

Calling Ports

MSI

Port Qasim, Nhava Sheva, Pipavav, Colombo, T.Pelepas, Tanjung, Singapore, Hong Kong, Ningbo, Pusan, Kwangyang, Qingdao, Dalian, Xingang

ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

27/05

28/05

CCG

NEYYAR

V010

SIM

Cochin, Nhava Sheva, Mundra, Jebel Ali, Bandar Abbas, Dammam

27/05

28/05

PIX2

SCI CHENNAI

SM473

SCI

Tuticorin, Cochin, Pipava, Kandla, Jebel ali

28/05

29/05

ACS

HYUNDAI PRESTIGE

073W

HMM

Krishnapatnam, West Port Klang , Singapore, Cailan, Busan, Ulsan, Shanghai, Ningbo, Yantian

31/05

1-6

TCX

VERMONT TRADER

008V

RCF

Chennai WestPort Klang, North Port Klang, Singapore, Laem Chabang

2-6

3-6

C13

WANHAI 516

047W

WAN

Port Kelang(North port), Singapore, Shangha

CCG

MESSINI

102W

EMC

Cochin, Nhava Sheva, Mundra, Jebel Ali, Bandar Abbas, Dammam

3-6

Kakinada Container Terminal ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

29/05

30/05

KAK>CMB

SSL KELANG

001N

FAR SHIPPING

Halida, Colombo

Bharat Mumbai Container Terminal ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

29/05

30/05

CMA

APL CHONGQING

L0211

CMA

LEH, ANR, MUN, LGP, HAM, JED, RTM, TNG, BQM

29/05

30/05

SWAX

EMIRATES ASANTE

L0207

ESA

MUN, MBA, DAR, JEC, JEA

31/05

01/06

AACI

COSCO HELLAS

L0193

COS

OAK, HPH, CMB, LGB, SHA, LCH

ICTT - Vallarpadam ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

27/05

28/05

ASX

MARIANETTA

TW

Jebel Ali, Mundra, Hazira, Nhava Sheva

27/05

28/05

IEX

TCI ANAND

1500320

NLS

Colombo, Damietta Piraes Rotterdam, London

28/05

29/05

MINA

MAYSSAN

HLI

Pipavav, Port Klang, Singapore, Shangai, Ningbo, Xiamen

28/05

29/05

TCICOSTL

SSL VISAKHAPATNAM

105

TCI

Cochin , Kanda , Mangalore ,Cochin

30/05

31/05

FM3

MAERSK TAURUS

MSI

Pipavav, Hazira, JNPT, Jebel Ali, Salalah, Port Said, Mersin, Ambarli Port, Izmlt Korfezi, Novorosslysk

28/05

29/05

PIX1

SSL KRISHNA

18

SHR

Mundra ,Hazira,Cochin, Tuticorin , Mangalore , Mundra

28/05

29/05

PIX2

SCI MUMBAI

SM474

SHR

Tuticorin, cochin, Pipava, Kandla, Jebel ali Cochin , Kanda , Mangalore ,Cochin

31/05

1-6

TIP

XPRESS GUERNSEY

SEC

Jebel Ali, Mundra, Hazira, Nhava Sheva

29/05

30/05

SMILE

MAERSK AVON

2089

SCI

31/05

01/06

CIX3

APL VANCOUVER

CCA

Jebel Ali, Mundra, Hazira, Nhava Sheva

30/05

31/05

MBOX -BTL

NEYYAR

0010W

BTL

01/06

2-6

CIX

NORTHERN PRIORITY

HLI

Pipavav, Hazira, JNPT, Jebel Ali, Salalah, Port Said, Mersin, Ambarli Port, Izmlt Korfezi, Novorosslysk

1-6

2-6

CCG-W

SCI CHENNAI

SM473W

SMI

Cochin , Kanda , Mangalore ,Cochin

01/06

02/06

PIX2

VARADA

0024E

SCI

Tuticorin, cochin, Pipava, Kandla, Jebel ali

02/06

03/06

CCG-E

WAN HAI 510

129E

SMI

Colombo ,Chennai

03/06

04/06

CI2

NSICT - Mumbai ETA

ETD

Service

Vessel Name

27/05

28/05

GIX

27/05

28/05

MESAWA

Voy

Agent/Line

Calling Ports

SCIO SKY

PRD

Port Elizabeth, Durban, Port Louis, Jebel Ali, Mundra, JNPT, Colombo

LEONIDIO

MSK

Mundra, Nhava Sheva, Valencia, New York, Norfolk, Charleston, Savannah, Freeport Mundra, Nhava Sheva, Valencia, New York, Norfolk, Charleston, Savannah, Freeport

28/05

29/05

INDUS

MSC TOMOKO

MSC

30/05

31/05

BMM

VIRGO

EMS

31/05

1-6

MECL

MAERSK SELETAR

MSK

Mundra, Nhava Sheva, Valencia, New York, Norfolk, Charleston, Savannah, Freeport

3-6

4-6

MESAWA

MAERSK INDUS

MSK

Mundra, Nhava Sheva, Valencia, New York, Norfolk, Charleston, Savannah, Freeport

As the data is received by us, sometimes even at the eleventh hour by telephonic messages from the concerned Steamer Agents, there is every likelihood of last minute changes in the data published for which and also for the printing errors occuring the Management of Port Wings is not responsible or liable.

Colombo ,Chennai

Swire Bulk Takes Delivery of New Bulk Carrier Singan

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Chennai

Port Wings News Network wire Bulk, the bulk division of The China Navigation Company, has taken delivery of its new, log-fitted bulk carrier into service. MV Singan is traded worldwide with a strong focus on the logs trade in the Pacific and South Atlantic.

MV Singan is the first ship delivered in a wider order book of ten bulk vessels to be built in Japan. The remaining vessels are scheduled for delivery by the end of 2021.

“Swire Bulk’s newbuilding programme will enable us to strategically deliver the largest and most eco-friendly fleet trading in the

market. We remain committed to delivering market-leading, innovative and sustainable shipping solutions to our customers with our modern eco-designed vessels,” said Mr Rob Aarvold, General Manager, Swire Bulk.

MV Sungkiang, MV Singan’s sister vessel, is being built at the same shipyard scheduled for delivery in June 2020. Having these logfitted newbuildings on water will strengthen Swire Bulk’s position in the log market. “We are one of the world’s largest handysize logger fleets, and we have the flexibility, supply and consistent technical standards to perform and deliver freight contracts safely, reliably and professionally,” said Mr Aarvold.

May 27th - Jun. 2nd Issue

Port of Gothenburg Container Traffic in Full Flow as European Ports Falter Chennai

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Port Wings News Network orts throughout Europe have been hit hard by the current Covid-19 pandemic. This can be seen clearly in the recently published volume statistics from Europe’s largest ports. They are also feeling the knock-on effect of cancelled calls – in many cases up to 30 per cent. In contrast, the Port of Gothenburg has increased its container volume, there have been no cancelled calls, and none are planned.

Figures published by the port authorities reveal that container volumes at the 10 largest ports in Europe fell by an average of five per cent during the first quarter compared with last year. In contrast, container volumes at the Port of Gothenburg increased by eight per cent during the same period.

“The European trend is striking although at the same time we are particularly proud that thanks to our consistently high level of customer service and a flexible and developed product offering we have emerged unscathed,” said Dennis Olesen, chief executive of the container terminal operator APM Terminals Gothenburg.

According to Elvir Dzanic, Port of Gothenburg chief executive, the open approach adopted by Sweden to

the world, and the fact that Swedish industry has continued to export during the Covid-19 pandemic, are further factors that make the Port of Gothenburg the exception in the European port statistics table.

“We offer a wide range of services, a highly efficient rail

infrastructure, and the capacity to remain sustainable even more testing times. Freight flows from all over the country are being concentrated increasingly on Gothenburg as companies reassess their logistics concepts.

No cancelled calls in Gothenburg Large numbers of calls by oceangoing vessels were cancelled at European ports during the first quarter, disrupting freight flows. In Gothenburg, no direct calls have been cancelled – services to and from Asia using the world’s largest vessels have continued, week in,

week out.

“Weekly services between Gothenburg and Asia have proved to be the most important lifeline for Swedish imports and exports.

Ensuring traffic continues without disruption is vital. And we also see more goods able to become rail born and move through Gothenburg, which is reassuring as it brings continuity to Swedish trade with the world,” said Dennis Olesen.

Despite the difficulty of predicting when the Covid-19 pandemic might end, Elvir Dzanic is upbeat about the future, both for the port in general and for container traffic in particular.

“As we were among the first to react to the Covid-19 pandemic, with quick, decisive measures early on, we were able to assure access to this major freight hub, allowing us to stay focused on the road ahead. Together with the other companies at the port we are working ceaselessly to satisfy the needs of the market through a series of key initiatives, including deepening of the fairway, enhancing transshipment potential, and expanding the port’s rail concept, which is already one of the most successful in the world,” said Elvir Dzanic.

WFS, Qatar Airways Cargo Work Side-By-Side To Race PPE Supplies To Hospitals In France Chennai

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Port Wings News Network orldwide Flight Services’ (WFS) cargo handling team in Paris has been working tirelessly to rapidly process shipments of personal protective equipment (PPE) delivered by customer Qatar Airways Cargo for hospitals across France treating patients with Covid-19.

WFS has been the airline’s cargo handling partner at Paris Charles de Gaulle Airport since 2000, providing warehouse handling and ramp handling for Qatar Airways Cargo services as well as trucking.

Since the outbreak of Covid-19, Qatar Airways Cargo has been one of the main airlines carrying supplies of medical equipment to France, including surgical gloves, face masks, aprons and medical kits.

So far, WFS has handled 12 Boeing 777X freighter flights operated by the airline, including charters

organised by two of France’s leading freight forwarding companies, Bolloré Logistics and Geodis. Most flights have originated in China and Vietnam.

Guillaume Halleux, Chief Officer Cargo at Qatar Airways said, “Paris is one of our biggest cargo stations in Europe and, in these very challenging times, we have been able to deliver millions of items of personal protective equipment and medical supplies to help the coronavirus recovery programme in France. Our ability to do this quickly and efficiently has

been possible thanks to the support of the WFS team in Paris, who have been highly efficient in handling both the inbound shipments as well as the general cargo we have carried for our customers on the outbound flights. We value this partnership.”

Laurent Bernard, Managing Director Cargo France at WFS, commented: “One of the most positive aspects of the coronavirus response is the way the entire air cargo industry is pulling together and playing such a vital role in transporting and delivering PPE supplies to help medical professionals across the globe.

We are very proud of the role we are playing in France, working alongside major customers like Qatar Airways Cargo, to help make a positive difference. The airline’s words of encouragement mean a great deal to our team in Paris.”

Shipping Firm Repatriates 8 Stranded Seafarers Whose Contracts had Ended New Delhi Port Wings News Network ivek Sudarshanlal Sharma, captain of a ship, is a happy man these days. He has finally managed to reach his home in Mohali, thanks to the efforts made by the owners of his company. Seafarers who facilitate global trade are today stuck in foreign lands and waters due to the global lockdown and travel restrictions despite completing their work contracts, according to The Indian Express report.

Owners of PT Selebes Sarana,

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Asia World Shipping Pte Ltd, who are Sharma’s employers, succeeded in repatriating eight seafarers whose contract had ended on May 1, back home safely to their hometown on May 9 and 20.

J S Gill, director of Asia World Shipping Pte Ltd, who was the force behind the return of the mariners, said, “During this difficult time, it is a challenge for all ship owners to repatriate seafarers whose contract has ended with many countries imposing travel bans and restrictions on crew changes in order to flatten the coronavirus (Covid-19) curve.

The emotional well-being of crew should not be overlooked.

They play a crucial role in keeping your business running. Hence, it is an obligation for me to bring them home safely to their families and loved ones back in India.”

Gill was also all praise for the Indian consulate in Jakarta.

“Our success in repatriating the affected seafarers back home to Delhi via Jakarta would not have been possible without the extraordinary support and assistance from the Consulate of Jakarta and the Government of India.”

7

NEWS - BITS Rospotrebnadzor Issues Guidelines on Prevention of COVID-19 Spread for Sea and River Passenger Ports and Terminals

The Federal Service for Supervision of Consumer Rights Protection and Human Welfare (Rospotrebnadzor) has developed guidelines for sea and river passenger ports and terminals on prevention of COVID-19 spread.

According to Rospotrebnadzor, the key measure is the organization of time-slots for personnel involved in service operations while ensuring continuous control of compliance with the requirements valid in ports.

Recommendations for shipping companies cover psychological support of personnel, cleaning procedures and health control measures.

Among the possible measures to ensure social distance between people transported by rivers, Rospotrebnadzor mentions reduction of passenger density - 20% less than passenger capacity.

Sredne-Nevsky Shipyard Starts Cutting Steel for Construction of First Passenger Ship of Project А45-90.2 Saint-Petersburg, Russia based Sredne-Nevsky Shipyard (a company of the United Shipbuilding Corporation) has started cutting steel for the construction of the first passenger ship of Project А45-90.2, USC says in its press release. The keel-laying ceremony is to be held in July 2020.

The contract on construction of two passenger ships of sea/river class was signed by Sredne-Nevsky Shipyard and State Transport Leasing Company on 14 April 2020. The ships are intended for KrasnoyarskDudinka-Krasnoyarsk route on the Yenisey river.

Ships of Project А45-90.2 are designed for transportation of 245 passengers in comfortable cabins along the routets of up to 5,000 kilometers. The design foresees a restaurant, a bar, a fitness center with two saunas, a business office and luggage rooms. Cabins of I-III classes and deluxe cabins are foreseen as well as a cabin for individuals with disabilities. The ship can deliver passengers to unimproved port facilities involving a beach-loading high-speed boat. Under the contract, the ships are to be delivered to the customer in 2023 and 2024.

Vostochny Port invests RUB 850 million in completion of wind and dust protection facilities

Vostochny Port JSC, operator of Russia’s largest dedicated terminal offering technologically advanced transshipment of coal (run by Port Management Company, PMC LLC) has entered the new phase of the project on construction of wind and dust protection screens around the production facilities of the company. According to the stevedore’s press release, investments are estimated at RUB 850 million.

In March 2020, the port's specialists completed installation of 381-meter long structures along the eastern part and commenced works in the southern part of the dedicated terminal. 40% of foundation casting works have been completed.

The system dust and wind protection facilities is the key element of the company’s environmental safety. The project was launched in 2017. As of today, the system protects about 74,000 square meters of the territory. It consists of screens of up to 23 meters high running for over 2.5 kilometers.

“Total cost of Vostochny Port’s project on construction of dust and wind protection facilities is about RUB 2 billion. It is the most ambitious project in the Far East today, – emphasized Yeugeny Arekhta, Chief Engineer of Vostochny Port JSC. – This year, the completion of works on installation of screens around the dedicated coal terminal will become one of the milestones in a package of measures aimed at prevention of coal particles from entry into the environment at all phases of handling, storage and shipment”.

CUSTOMS EXCHANGE RATES Notification No.41/2020 (N.T.) ALL RATES PER UNIT

FOREIGN CURRENCY Australian Dollar Bahraini Dinar Canadian Dollar Chinese Yuan Danish Kroner EURO Hong Kong Dollar Kuwaiti Dinar New Zealand Dollar Norwegian Kroner Pound Sterling Qatari Riyal Saudi Arabian Riyal Singapore Dollar South African Rand Swedish Kroner Swiss Franc Turkish Lira UAE Dirham US Dollar Japanese Yen (100) Korean Won (100)

with effect from 7th May 2020

RATE (INR) Import Export 49.95 207.20 54.90 10.85 11.20 83.70 9.95 253.55 47.20 7.50 95.95 21.50 20.85 54.40 4.25 7.85 79.50 11.00 21.30 76.70 72.65 6.40

47.75 194.20 53.05 10.55 10.80 80.70 9.60 237.75 45.05 7.25 92.65 20.20 19.55 52.60 3.95 7.60 76.50 10.35 20.00 75.00 70.00 6.00

We are not responsible for any mistake. ALL RATES ARE PROVISIONAL. The rates in these column are only meant for guidance.

RNI No. TNENG/2014/59741 Postal Registration No. TN/CNIGPO/067/2018-2020 Posted at Pathrika Channel, Egmore, RMS, Chennai-8.

Date of Publication - Wednesday, Posted on Tuesday / Wednesday

8

Airline Debt to Balloon by 28%, IATA Analysis Shows “Over half the relief provided by governments creates new liabilities.

Less than 10% will add to airline equity. It changes the financial picture of the industry completely.

Paying off the debt owed governments and private lenders will mean that the crisis will last a lot longer than the time it takes for passenger demand to recover,” said de Juniac.

Regional variations The $123 billion in government financial aid is equal to 14% of 2019’s total airline revenues ($838 billion). The regional variations of the aid dispersion indicate that there are gaps that will need to be filled.

There are still large gaps in the financial aid needed to help airlines survive the COVID-19 crisis. The US government has led the way with its CARES Act being the main component of financial aid to North American carriers which in total represented a quarter of 2019 annual revenues for the region’s airlines.

This is followed by Europe with assistance at 15% of 2019 annual revenues and Asia-Pacific at 10%.

But in Africa, the Middle East and Latin America average aid is around 1% of 2019 revenues.

“Many governments have stepped up with financial aid packages that provide a bridge over this most difficult situation, including cash to avoid bankruptcies. Where governments have not responded fast enough or with limited funds, we have seen bankruptcies. Examples include Australia, Italy, Thailand, Turkey, and the UK. Connectivity will be important to the recovery.

Meaningful financial aid to airlines

Chennai

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Port Wings News Network he International Air Transport Association (IATA) released analysis showing that the airline industry’s global debt could rise to $550 billion by year-end.

That’s a $120 billion increase over debt levels at the start of 2020. $67 billion of the new debt is composed of government loans ($50 billion), deferred taxes ($5 billion) and loan guarantees ($12 billion). $52 billion is from commercial sources including commercial loans ($23 billion), capital market debt ($18 billion), debt from new operating leases ($5 billion), and accessing existing credit facilities ($6 billion).

Financial aid is a lifeline to get through the worst of the crisis without folding operations. But during the re-start period later this, the industry’s debt load will be near $550 billion—a massive 28% increase.

“Government aid is helping to keep the industry afloat. The next challenge will be preventing airlines from sinking under the burden of debt that the aid is creating,” said Alexandre de Juniac, IATA’s Director General and CEO. In total governments have committed to $123 billion in financial aid to airlines. Of this, $67 billion will need to be repaid. The balance largely consists of wage subsidies ($34.8 billion), equity financing ($11.5 billion), and tax relief / subsidies ($9.7 billion). This is vital for airlines which will burn through an estimated $60 billion of cash in the second quarter of 2020 alone.

now makes economic sense. It will ensure that they are ready to provide job-supporting connectivity as economies re-open,” said de Juniac.

The Impact of Debt The kind of aid provided will influence the speed and strength of the recovery. IATA urged governments still contemplating financial relief to focus on measures that help airlines raise equity financing. “Many airlines are still in desperate need of a financial lifeline.

For those governments that have not yet acted, the message is that helping airlines raise equity levels with a focus on grants and subsidies will place them in a stronger position for the recovery,” said de Juniac.

“A tough future is ahead of us. Containing COVID-19 and surviving the financial shock is just the first hurdle. Post-pandemic control measures will make operations more costly. Fixed costs will have to be spread over fewer travelers. And investments will be needed to meet our environmental targets. On top of all that, airlines will need to repay massively increased debts arising from the financial relief. After surviving the crisis, recovering to financial health will be the next challenge for many airlines,” said de Juniac.

Last week, the IATA Board of Governors committed to five key principles for the industry re-start.

Among these are commitments to the safety and security of staff and travelers, to meeting the industry’s environmental targets and to being a meaningful driver of the economic recovery with affordable connectivity.

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May 27th - Jun. 2nd Issue

American Waterways Operators Elect Crowley Maritime’s Art Mead as Chairman Chennai

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Port Wings News Network rt Mead, vice president and chief counsel of Crowley Maritime Corp., was elected chairman of the American Waterways Operators, the national tugboat, towboat and barge industry association, during the association’s spring board of directors and annual membership meeting, which was held virtually.

In accepting the leadership role, Mead emphasized the resilience and adaptability of the tugboat, towboat and barge industry as it continues to serve the nation during the COVID-19 pandemic.

“The response to this crisis by AWO member companies, staff and our mariners has been nothing short of extraordinary,” Mead said.

“While shelter-in-place and workfrom-home orders proliferated from state-to-state, our mariners and our workers continued delivering millions of tons of needed raw materials, consumer goods and energy.

“But during COVID-19, our industry has shown the nation what we’ve always known to be the case – our industry is resilient and adaptable,” Mead said.

Based in Jacksonville, Fla., Mead joined Crowley in 1996 as an associate corporate counsel. Prior to joining Crowley, Mead worked at the U.S. Department of Justice, Admiralty and Shipping Division,

and held commercial marine transportation related positions at Stolt-Nielsen, Inc., and Maersk Line Limited. Mead also served as a U.S. Navy commander with the reserve component of Military Sealift Command. He has a bachelor’s degree in marine transportation from the State University of New York Maritime College, and a law degree from Golden Gate University.

In addition to Mead, the AWO elected Del Wilkins, president of Illinois Marine Towing, Inc., as vice chairman; and Clark Todd, president and chief operating officer of Blessey Marine Services, Inc., as treasurer. Mead succeeds outgoing Chairman Scott Merritt, former chief operating officer with Foss Maritime Company, LLC. AWO President and CEO Jennifer Carpenter welcomed and thanked the newly-constituted Board of Directors, saying: “My vision is of an AWO that is, and is experienced by our members as, your indispensable organization, crucial to enabling your companies and our industry to survive, adapt and thrive in a rapidly changing business and public policy environment. COVID-19 is the latest challenge and is one for the history books, but it is not the only one, and it won’t be the last.”

Cargo, Export, Handling on the Rise in Omani Ports Amid Corona Pandemic

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Chennai

Port Wings News Network high rise in number of handling, cargo and export operations marked the quarterly performance of Omani ports in 2020 at a time direct import from global destinations also saw a boost, thanks to tremendous efforts exerted by Asyad Group, which linked the Sultanate’s ports with regional counterparts, Oman News Agency says.

Working in cooperation with other government departments concerned, Asyad launched a promotional campaign targeting international routes and showcasing a range of competitive incentives, including facilitation of customs and clearing formalities.

In the first quarter of 2020, Omani ports received a total of 16.6 million tons of general and liquid products, of them 12.1 million were general goods and 4.5 million as liquid derivatives. As for containers, the Sultanate’s ports received a total of 1.4 million standard containers (TEUs) during the first quarter of 2020.

As many as 2,500 vessels visited the Sultanate’s ports over the first three months of 2020.

In terms of imports, a total of 35,000 vehicles and equipment were received, in addition to a total of 588,300 heads of cattle.

Under current circumstances of coronavirus (Covid-19) pandemic, Asyad offered all possible incentives to secure local market requirements for livestock from different Asian, African and European countries. As a result of direct and consistent import, the Sultanate’s markets enjoy abundance in display.

Eng. Said bin Hamoud al-Ma’awali, CEO of Oman Dry Dock and Oman Shipping, said that his company transported more than 22,000 containers along its route with Indian ports. He added that Oman Shipping continued

to operate its fleet in full swing during the coronavirus pandemic.

Al-Ma’awali explained that the company allocates four container carriers and operates three direct shipping lines, saving the time and money of investors. The company’s fleet, which consists of 56 carriers, reaches out to 200 different ports in the world’s continents.

By the beginning of 2020, four new dry bulk carriers joined the company’s fleet.

First quarterly results of the Port of Sohar point to 18% increase in dry bulk handling, in addition to 2% increase in liquid product handling the number of ships that called on the Sultanate’s ports over the first three months of 2020 increased by 4% to 852 vessels, compared to the corresponding period in 2019. This coincided with a 15% rise in port operations for the same period while ship operations increased by 90% during the first quarter.

Mohammed bin Oufait al-Shanfari, Manager at Port of Salalah, said that container handling operations in the first quarter of 2020 increased by 28%, compared to the corresponding period last year. The volume of import also increased, to keep pace with the rising demand for foodstuff (vegetables, fruits).

Port activity at Salalah also saw an 18% rise, while imports increased by 13% and container handling volume surged by 23%.

Dr. Ahmed bin Mohammed al-Abri, CEO of Asyad’s Marafi, said that more than 50 direct voyages were operated with Bandar Abbas port and Jasek Port of the Islamic Republic of Iran since the launch of the regional maritime route. The number of vessels increased to 14, said al-Abri, adding that Marafi increased the number of direct import voyages from country of origin through the operation of a number of vessels used exclusively for the transport of various types of vegetables and fruits by using large deep-cool containers in cooperation with government departments concerned.

Port Wings - Maritime Exim Weekly Newspaper : Published by K.Sivakumar on behalf of Universal Media Associates, Old No.72, New No.149, 1st Floor, Srinivasa Complex, Linghi Street, Mannady, Chennai - 600 001. And Printed by V.Meganathan at Web Kingdom, No.115, Jani John Khan Road, Royapettah, Chennai – 600014. Editor: K.Sivakumar.