Port Wings Maritime Exim Weekly Newspaper 22 July 2020 E-paper

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July 22nd - 28th Issue

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Wednesday, July 22, 2020

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Routeing System in South West Indian Waters Separated for Merchant and Fishing Vessels: Mandaviya New Delhi Port Wings News Network eeting the long–pending demand, the Ministry of Shipping has separated the operation routes of merchant vessels and fishing vessels in South West Indian waters, considering the safety and efficiency of navigation.

The Arabian Sea around the south-west coast of India is a busy sea route, with substantial number of merchant ships passing through the area, along with large number of fishing vessels operating in the area. It sometimes causes accidents between them, resulting in damage of property

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and environmental pollution, and in several instances has resulted in loss of lives also.

Union Minister for State for Shipping (I/C) Shri Mansukh Mandaviya has said that the

decision reflects our commitment for ensuring ease of navigation in Indian waters. “It will also ensure improvement in avoidance of collision, ease in flow of traffic along with safety of life at sea and enhance protection of marine environment. It is a very proactive and positive step of Directorate General of Shipping which will efficiently regulate shipping traffic in this region.”, Shri Mandaviya said.

The coordinates of the routeing system in south-west of Indian waters is notified by DG Shipping through M.S. Notice-11 of 2020.

The new routes come into force with effect from 1st August 2020.

Ship Registration Process Goes Online Mumbai

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Port Wings News Network n a digitalisation drive, the government has made ship registrations online, pledging to complete the entire process within seven days,. Earlier this exercise used to take up to one year, according to a BusinessLine report.

“Everything is online now. Within seven days, if all the documents are in order, the ship will be registered,” said Captain Daniel Joseph, nautical surveyor in the Directorate-General of Shipping, the country’s maritime administration.

Ease of doing business It will help promote ease of doing business because ship owners were finding it difficult to get their

ships registered. There was no transparency, everything was manual and the entire process used to take three months to one year, he added.

Two ships — Sagar Energy owned

by S S Offshore and Blossom owned

by Seven Islands Shipping — have been registered through the online mode. Two more ships are in the process of being registered digitally.

The process Registering a ship in India typically goes through 7-8 processes, with each taking as much as 30 days. There was no timeline for any of the processes. Now, each of these processes will be completed within a timeline of 24 hours.

A ship will be allotted a call sign name and call sign number which

are to be carved on the ship within a day. Then, the ship owner can call for survey and within 24 hours, the survey will be completed and a certificate will be issued online.

Once that is done, the ship owner can go for tonnage certificate. This can also be applied online and it will be issued within 24 hours.

After the tonnage certificate is issued, the certificate of inspection has to be obtained for the vessel.

“Like this, step-by-step, everything will be done within seven days,” Joseph stated.

Ship owners are not required to visit the ship registrar’s office in the mercantile marine department attached to the DG Shipping for registering their ships.

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Wing 6 Feather 49

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CBIC & CBDT sign MoU to facilitate smoother bilateral exchange of data New Delhi Port Wings News Network Memorandum of Understanding (MoU) was signed between the Central Board of Direct Taxes (CBDT) and the Central Board of Indirect Taxes and Customs (CBIC), for data exchange between the two

duly incorporated in the MoU signed on 21 July.

This MoU will facilitate the sharing of data and information between CBDT and CBIC on an automatic and regular basis. In addition to regular exchange of data, CBDT and CBIC will also exchange with each other, on request and

organisations on 21 July 2020.

The MoU was signed by Shri Pramod Chandra Mody, Chairman, CBDT, and Shri M. Ajit Kumar, Chairman, CBIC, in the presence of senior officers from both the organizations.

This MoU supersedes the MoU signed between CBDT and the erstwhile Central Board of Excise and Customs (CBEC) in the year 2015. Significant developments have taken place since the signing of earlier MoU in 2015 including introduction of GST, incorporation of GSTN and change in the nomenclature of Central Board of Excise and Customs (CBEC) to Central Board of Indirect Taxes and Customs (CBIC).

Changed circumstances, including advancements in technology, are

spontaneous basis, any information available in their respective databases which may have utility for the other organisation.

The MoU comes into force from the date it was signed and is an ongoing initiative of CBDT and CBIC, who are already collaborating through various existing mechanisms. A Data Exchange Steering Group has also been constituted for the initiative, which will meet periodically to review the data exchange status and take steps to further improve the effectiveness of the data sharing mechanism.

The MoU marks the beginning of a new era of cooperation and synergy between the CBDT and CBIC.

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Inside Govt Open To Announcing More...

India’s First Port Based SEZ -JNPT...

CONCOR Privatisation Plan Takes...

DP World in Talks To Buy Indian...

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Vessel Position at Terminals and Ports... Pg-6 Latest Customs Exchange Rates... Pg-7 Etihad Cargo Enhances Export... Pg-7 Crew Kidnappings Surge in Seas off... Pg-8

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July 22nd - 28th Issue

Daily Fuel Price Hike May Push Up Freight Charges By 20pc, Say Truckers Wednesday, July 22, 2020

Wing 6 Feather 49

On the Horns of a Dilemma

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ne big reason for the countries around the world to worry about the trade war between the US and China is that both countries are huge markets for international goods. Tariffs, and fears of tariffs, could mean consumers and businesses in both countries end up buying less.

The trade war between the US and China has sucked into the battle, countries and firms around the world, forcing them to take sides in a conflict which is fracturing the international supply chains and sending the industry out of lucrative world markets.

The latest casualty is TikTok, which is owned by a Chinese company, but run by an American CEO. Tik Tok - a video app that is popular with teenagers and which has hundreds of millions of devoted fans across markets such as India and the United States.

The first major hit came last month, when TikTok was blocked in India after a heated border clash with China left at least 20 Indian soldiers dead.

Then US authorities said they would look at banning the app because they consider it a possible threat to national security. That news broke as the company said it would leave Hong Kong because of concerns over a sweeping national security law China imposed on the city.

The fight right now between the world's two largest economies cuts to the heart of that issue. The United States and China are competing over artificial intelligence, super-fast 5G mobile networks and other technology.

Although the countries have long-running economic ties that enable some collaboration, recent tensions over national security have pushed their governments and businesses to reconsider those partnerships.

The United States and China have for decades held opposing views on how to wield technology. While IBM and Microsoft were driving American innovation in the 1980s, China was laying down the foundation for its Great Firewall — a massive censorship mechanism that shuts out content widely available elsewhere on the internet.

In the years since then, China has created a closed and controlled internet that has found fans among other authoritarian countries: Russia, for example, has moved to restructure and rein in its once freewheeling internet with the assistance of Chinese tech.

China's investments in technology have grown even more rapidly in recent years because of "Made in China 2025," Beijing's ambitious plan to shed the country's reliance on foreign tech by spending billions of dollars in areas such as wireless communications, microchips and robotics. (Last year, for example, the country imported $306 billion worth of chipsets, or 15% of the value of the country's total imports.)

The United States has responded by seeking to limit China's advance.

Washington has for more than a year been giving pressure to its allies to keep the Chinese company's telecommunications equipment out of their 5G networks. That campaign may be producing some results in Europe: UK authorities said last week that US sanctions on the company will likely hurt Huawei's viability as a 5G network provider there.

TikTok seems to be trying the second approach. While the app is owned by Beijing-based ByteDance, it has taken great pains to distance itself from its parent company. In May, it hired former Disney executive Kevin Mayer as its CEO, and it has repeatedly said that its data centers are located entirely outside of China where that data is not subject to Chinese law.

It is learned that the close connection to the Chinese government is what has shut Huawei out of so many markets. But, Huawei maintains Sample that it is a TEXT private firm owned by its employees. TikTok knows that and wants to distinguish itself from Huawei.

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The trade war isn't a good thing even for countries that seem to be benefiting from it at the moment. There is an old proverb: ``When two elephants fight, it is the grass which suffers." In other words, everyone else is trampled, regardless of who wins. It's in everyone's interest to see this spat gets resolved and go back to normal trade relations between the US and China.

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Port Wings News Network emanding monthly or quarterly revision in diesel prices, which saw an increase for 23 days on the trot last month, a truckers body on 19 July 2020 warned that transporters may be forced to increase freight charges by 20 per cent as the daily hikes in fuel prices are making operations "unviable," according to a news report in The Economic Times.

Fuel charges account for as much as 65 per cent of the operating cost of a truck. Toll charges are another major component, which is about 20 per cent of the operating cost.

"Already the demand is low and the idling of the vehicles (trucks which are off-road) is at about 55 per cent. It has become difficult to sustain operations. The road transport sector is devastated due to back-to-back lockdowns amid COVID-19," Bal Malkit Singh, chairman core committee and former president of All India Motors Transport Congress (AIMTC) said in a statement.

"Course correction" in freight (charges) is definitely required sooner or later for the survival of the truck operators, he said, adding,"we have no option but to pass on the increased hike to the consumers as to run the trucks in losses is not

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possible in the longer term."

"At present a 20 per cent hike in freight rates is a must for sustaining business," he said.

He said that hike in fuel prices

always has a cascading effect right from top to bottom and in the wake of a daily price hike, it is becoming increasingly difficult for operators to recover running costs.

"Losses are mounting as diesel prices have rose sharply, which has already impacted the operating costs by about 20-25 per cent," Singh said. The Last revision in diesel prices was carried out on July 17 when the prices were increased by 7 piase.

Oil companies revised upward diesel prices for 23 consecutive days between June 7 and 29, pushing up the prices by Rs 11.79 per litre.

"Transporters demand roll back of fuel price hike reasonably and

rationalisation of taxes on fuel.

The Central Government should reduce excise duty while the state government should reduce VAT," he said.

Singh also demanded uniform rates for diesel across the country by bringing diesel under the GST and also said that the price revision should be carried out on a monthly or quarterly basis.

At present, rates differ from state to state depending on the incidence of valueadded tax (VAT).

Besides diesel and tolls expenses, maintenance, spares, tyres, oil and manpower are the other cost components in truck operations.

"These costs along with driver and labour shortage are also resulting in higher cost of operations and needs to be factored in as well. Once the demand picks up, the freight rates will shoot up much higher," Singh said.

Stating that there has been a "consistent increase" in petrol and diesel prices in the country, he said "the government must provide relief to the trucking sector so that the pressure on the transportation costs is contained and it does not have an impact on viability of operations or prices of the commodities."

Govt Open To Announcing More Measures To Boost Growth, Says FM Nirmala Sitharaman New Delhi Port Wings News Network inance Minister Nirmala Sitharaman on 21 July 2020 promised more policy interventions to revive the economy, and emphasised that green shoots are visible and the agriculture sector is driving growth, according to a news report in Financial Express quoting news agency the PTI. Indicators like electricity and fuel consumption, inter and intra-state movement of goods, PMI data and retail financial transactions are witnessing a pickup, she said.

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Earlier this month, Prime Minister Narendra Modi too had

said the Indian economy has started seeing “green shoots” of recovery and the country remains one of

the most open economies in the world. Speaking at the India Ideas Summit, Sitharaman said the government has announced a stimulus package totalling 10 per cent of the GDP which was having its impact on economic revival.

“All options are open… interventions will happen in future,” Sitharaman said, assuring the industry that the government will not shy away from taking more steps to ensure early revival of the economy. The minister further said the “agriculture sector is driving the growth.”

Maersk Takes Up 200,000 Sq Ft On Lease In Godrej Property Chennai

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Port Wings News Network lobal logistics firm AP Moller-Maersk has taken 200,000 sq ft of office space from Godrej Fund Management, the private equity arm of Godrej group, in Vikhroli area of Mumbai.

The space has been leased in commercial project Godrej Project Two at Vikhroli, the company said in a statement. Both companies did not disclose the rent to be paid by AP Moller-Maersk.

The project is the first of its development assets under GFM's Godrej Build to Core-1(GBTC-1)

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programme, and is jointly owned along with Godrej Properties.

File Photo

AP Moller-Maersk has brought

its seven business units from four different locations under one roof at Godrej Two. Maersk will initially occupy around 140,000 sq ft with an option to take additional space, following which the total space occupied would be about 200,000 sq ft.

An estimated 1,100 employees will work at the new office, once this is ready towards the end of 2020.

July 22nd - 28th Issue

India’s First Port Based SEZ JNPT SEZ - is Now Operational Mumbai

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Port Wings News Network NPT, the premier container port in the country is developing a multi-product Special Economic Zone (SEZ) in its owned free hold land of 277 hectares at Navi Mumbai. The multi-product port based SEZ aims to boost exports by enabling port-led industrialization under Sagarmala initiative of Ministry of Shipping. The foundation stone of the project was laid by the Prime Minister, Shri Narendra Modi in August 2014.

JNPT reached yet another mile stone in development of SEZ by becoming the first of its kind operational Port based multiproduct SEZ. Two units in JNPT SEZ namely, M/s OWS LLP and M/s Krish Food Industry (India) have completed their first phase of operational activity and are declared operational units by Development Commissioner, SEEPZ, SEZ. The efforts rendered by these units during the challenging times of Covid-19 are commendable. Apart from the first 2 companies, 3 more companies are likely to commence their construction activities soon.

Commenting on the progress of SEZ, Mr. Sanjay Sethi, IAS, Chairman, JNPT said, “For JNPT,

this is truly a great occasion as JNPT becomes the first port where Port-led economic development is evolving successfully. JNPT is confident of attracting leading global companies for making India a manufacturing hub as

the infrastructure development underway in JNPT SEZ is as per the international benchmark.

The potential units investment and the employment generation will give a boost to the entire entire eco-system around JNPT region. I thank Development Commissioner, SEEPZ, Ministry of Commerce, GoI for their timely support and guidance in developing and operationalizing the first Port based multiproduct SEZ and I thank all the stakeholders too for the timely support in making this possible.”

All together there are 19 MSME and 1 Free Trade Warehousing Zone (FTWZ) co-developer who have been allotted the plots in JNPT SEZ till date. It is expected that all the remaining units will follow the suit and become operational in the near future. Over the last months, JNPT has been continuously working towards successful operationalization of the SEZ. The SEZ once fully occupied is expected to generate Rs 4,000 Crores of investments and create 57,000 jobs in the SEZ. JNPT is leaving no stone unturned to ensure world class infrastructure and facilities to units in the SEZ. JNPT enjoys the Special Planning Authority (SPA) status for the SEZ project. Also, the Electricity distribution license from MERC, GoM is provided to JNPT SEZ. All the clearances for setting up of SEZ are in place.

This will further help in reducing setup time and cost for the units being setup in JNPT SEZ and will further enhance the “Ease of Doing Business”.

Monthly Figure Yet Again Shows Drastic Arrest in Decline of Exports: FIEO New Delhi Port Wings News Network esponding to June export figures, FIEO President Mr Sharad Kumar Saraf said that monthly figures have yet again shown drastic arrest in decline of exports on the back of the opening of business activities across the major economies of the globe. Though the monthly exports data depicts a double-digit decline in exports by 12.41 percent at USD 21.91 billion, this has to be seen in the context of a whopping decline of 60% in April and 35% in May. The recovery has exceeded our expectation and full credit goes to our Commerce & Industry Minister Mr Piyush Goyal, who is constantly interacting with exporters, understanding and more importantly addressing their problems said President, FIEO. Mr Saraf further added that the June figures also show a trade surplus of USD 0.79 billion, which further adds to our encouragement as last time when the trade surplus was in positive territory was in January 2002 more than 18 years back. However, we have to analyse imports as such a steep decline in imports may hamper the industrial recovery in coming months.

Mr Sharad Kumar Saraf also lauded the efforts of the exporters, who have worked exceptionally hard to recover from the lockdown setback so quickly, and reach such levels. FIEO President reiterated that the achievement becomes all

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the more remarkable because many of the areas in the country are still under containment zones and under severe restrictions. Further, many economies have not been able to make such a remarkable comeback.

President FIEO is of the view that all this has been possible

Mr. Sharad Kumar Saraf, President, FIEO because of the start of businesses activities across the country and business/order enquiries from almost all major economies like US, EU, Canada, Japan, South Korea, Australia and New Zealand. With the global revival and business sentiments still at its low, impacting the supply chain and bringing slump or recessionary conditions in the economies across the world, Mr Sharad Kumar Saraf is of the view that the focus should be on FTAs to further revive our exports and take up competition coming from smaller countries like Vietnam.

Mr Saraf added that the exports during the month for emergency and essential items like drugs & pharmaceutical, organic & inorganic

chemicals along with agri and plantation products besides iron-ore were in positive territory showing signs of further revival with few showing impressive double digit growth. Mr Saraf again expressed his serious concerns over sharp decline in employmentintensive sectors of exports which has serious ramifications for the jobs in the country particularly as domestic demand will also not be robust.

Mr Sharad Kumar Saraf said that 12 out of the 30 major product groups were positive territory during June 2020 and imports during the month also showed a high doubledigit decline of 47.59 percent with USD 21.11 billion.

FIEO Chief reiterated that with the global trade forecast showing a gloomy picture, there is an urgent and immediate need for a special exports package for the employment and labour-intensive sector of exports for reviving India’s foreign trade sector. Besides implementation of the economic measures announced, creation of an Export Development Fund with 1% percent corpus of the total value of exports during the last fiscal, MEIS of 2% across the board and 4% for labour-intensive sectors and addressing "risky exporters" issues are some of key concerns, which should be considered to give a much-needed boost to the exports sector and the overall economy.

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Cochin Shipyard Signs Contract For Construction of Autonomous Electric Vessels For ASKO Maritime AS, Norway Kochi

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Port Wings News Network ochin Shipyard Limited (CSL), Kochi signed contracts for construction and supply of Two Autonomous Electric Ferry for ASKO Maritime AS, Norway with an option to build two more identical vessels.

CSL is the largest commercial shipbuilder in India. The company clinched this prestigious export order from ASKO Maritime AS, the subsidiary group of Norges Gruppen ASA, one of the largest players in the Norwegian retail segment.

This Autonomous Electrical vessel project is an ambitious project in Norway partially funded by the Norwegian Government aimed at emission-free transport of goods across the Oslo fjord.

These vessels will be managed by M/s. Massterly AS, the first company setup to take technical management and operate autonomous vessels, a joint venture between M/s. Kongsberg, the world leader in autonomous technology and M/s. Wilhelmsen, one of the largest Maritime shipping companies. Once in operation, this vessel will create a new benchmark for the merchant shipping world in the field of Autonomous Vessels with Zero Carbon Emission.

The 67 Mtr long vessels will initially be delivered as a FullElectric Transport Ferry, powered

by 1846 kWh capacity battery. After commissioning of autonomous equipment and field trials in Norway, it will operate as a fully autonomous ferry of ASKO that can transport 16 fully loaded Standard EU trailers in one go across the fjords. The Vessels are designed

by Naval Dynamics Norway using Kongsberg Maritime systems, with detailed engineering to be carried out by CSL. They will be built under DNV GL Classification and flagged in Norway.

CSL won this export order after detailed evaluation of various global shipyards and based on its value proposition to the customer. CSL’s proven capability & track record

to deliver world quality high-end vessels to prestigious clients in Western Europe also found favour with the Client. CSL holds this Contract, obtained within the current constraints posed by the pandemic, in high significance. CSL is already constructing 23 Hybrid Electric boats for the Kochi Water Metro.

This project is expected to catapult CSL into the league of premier Shipbuilding yards in the world capable of handling high tech vessel construction.

Shipping Minister Mandaviya Reviews Progress of India’s First Transshipment Hub Vallarpadam New Delhi Port Wings News Network inister of State for Shipping (I/C) Shri Mansukh Mandaviya has reviewed the development activities of Vallarpadam Terminal of Cochin Port. It is envisaged as first transshipment port of India, managed by DP World.

for the onward destination. The Kochi International Container Trans-shipment Terminal (ICTT), locally known as the Vallarpadam Terminal is located strategically on the Indian coastline. It successfully fulfills all the criteria which are needed to develop it as transshipment hub which include: It is best positioned Indian port with regard to proximity to International

Shri Mandaviya directed officials to chalk out the strategy to tackle the various challenges and actualize the vision of Trans-shipment Hub of India and pioneer hub in the South Asia. Shri Mandaviya said: “We are developing trans-shipment facility on Indian port to ensure that Indian cargo trans-ship through Indian Port. Resolving various issues of Vallarpadam Terminal is one of the top priority of the Ministry of Shipping.”

Trans-shipment Hub is the terminal at the port which handles containers, stores them temporarily and transfers them to other ships

sea routes; It is located at least average nautical distance from all Indian feeder ports; It entails a connectivity which has multiple weekly feeder connections to all ports on West & East Coast of India, From Mundra to Kolkata; It has proximity to key hinterland markets of India; and It has the infrastructure to manage large ships and capacity to scale it up as per requirement.

Vallarpadam Terminal of Cochin Port is proposed to be developed as most preferred gateway for South India and leading trans-shipment hub of South Asia.

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July 22nd - 28th Issue

Shipping Minister Flags Off First Container Ship From Kolkata Port to Agartala via Chattogram Port New Delhi Port Wings News Network nion Minister of State for Shipping (I/C) Shri Mansukh Mandaviya on 16 July 2020 flagged off the first trial container ship from Kolkata to Agartala through Chattogram Port of Bangladesh, in a virtual ceremony.

This has been done under the Agreement on use of Chattogram and Mongla Ports for movement of India’s transit cargo through Bangladesh.

Speaking on the occasion, Shri Mansukh Mandaviya said that

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the route will open doors of new opportunities for both the countries.

It will provide the alternative and shorter route to connect the North East Region through Bangladesh.

Shri Mandaviya said that this is a historic move to utilize Chattogram and Mongla Port for movement of India’s transit cargo. It will be a new chapter in India-Bangladesh maritime relations, he added.

The consignment of the trial movement includes two TEUs carrying TMT steel bars destined for West Tripura district and two TEUs carrying pulses destined for

Karimganj, Assam. After reaching Chattogram, the consignment will move to Agartala on Bangladeshi trucks.

The trial runs highlight the efforts that both sides have undertaken to strengthen the connectivity between Bangladesh and the North Eastern states of India, as per the understanding reached between the two countries at the highest level, during the visit of Prime Minister Sheikh Hasina to India in October 2019, when the Standard Operating Procedures for the use of Chattogram and Mongla ports for movement of goods to and from India, were concluded.

This movement further strengthens

long standing partnership between India and Bangladesh.

It will reduce distance and time taken in transportation of goods for India and is a win-win for both the economies.

Job creation, investment in the logistical sector, enhanced business services and revenue generation are advantages that will accrue to Bangladesh.

Bangladeshi vessels and trucks will be utilized to move the Indian cargo.

India and Bangladesh have enhanced cooperation in shipping and inland water trade in the recent years. Under the Protocol on Inland Water Transit and Trade, in addition to the six existing Ports of Call, five more in each country have been added recently.

Dredging of inland waterway routes is ongoing under an MoU, signed by the two countries on development of fairway in selected stretches of Bangladesh waterways with the Government of India bearing 80% of the project expenditure and the balance being borne by the Government of Bangladesh. Cruise services have also commenced between the two countries promoting tourism and people to people contacts.

CONCOR Privatisation Plan Takes a Controversial Turn Mumbai

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Port Wings News Network he government’s move to privatise Container Corporation of India Ltd (CONCOR) has taken a new turn, with the Railways Ministry weighing a potentially controversial plan to ‘grandfather’ - a grandfather clause is an exemption that allows persons or entities to continue with activities or operations that were approved before the implementation of new rules - the land lease agreements by transferring them to the private entity winning the deal on the same terms as granted to the state-run rail hauler, reports BusinessLine.

Some 25 of the rail hauler’s 64 inland container depots (ICDs), including its flagship facility at Tughlakabad near Delhi, are running on land leased from Indian Railways at concessional market rates. So far, the land licence fee for the lease was paid by CONCOR at the rate of ₹1,175 per loaded twenty-foot equivalent unit (TEU). In FY20, the land license fee pay-out was about ₹140 crore.

On March 19 this year, the Railways Ministry issued a circular stating that the land licence fee will be charged from FY21 onwards as per a Railway Board letter of February 2005.

Accordingly, from April 1, the revised land licence fee will be calculated at the rate of 6 per cent

per acre of the industrial land value where the terminal is located.

T h e c u r r e n t concessional market value of Indian Railways’ land leased to CONCOR, according to calculation based on the February 2005 Railway Board letter, is about ₹7,500 crore. On this, the 6 per cent land licence fee works out to about ₹450 crore a year.

The revised land licence fee calculation will be valid till CONCOR’s lease agreements – typically in the range of 10-12 years (for Tughlakabad it runs through 2032) – with Railways are in force.

But once the private owner of CONCOR takes over, all lease agreements will have to be rewritten to bring the land value to rates prevailing in the market, to avoid allegations of transferring Indian Railways land to a private entity at below market rates.

The current market value of the Railways land would be in the range of ₹14,000 to ₹16,000 crore. Thus, for the private owner of CONCOR, the annual land licence fee at the rate of 6 per cent would zoom to about ₹1,000 crore, rendering the terminals unviable to operate.

Lower realisation Consultants tracking the sector

reckon that the steep hike in land licence fee will impact CONCOR’s valuation and could fetch lower realisation for the government during the sale, apart from depressing bidder interest.

“To address this issue, the Railways Ministry is looking at resorting to grandfathering by transferring the land lease agreements to the private owner on the same terms,” said a person briefed on the development.

Private firms running container trains, however, fear that such a plan would extend a big undue favour to the entity buying CONCOR, apart from helping it become a dominant player as well as a private monopoly, throwing others out of business.

“The objective of disinvestment in PSUs is to bring in competition.

If the existing land lease agreements are continued as it is, then the spirit of disinvestment is compromised and defeated,” said an executive with a private train operating company.

CONCOR, on its part, has urged the Railways Ministry to continue with the practice of charging the land license fee on a per TEU handled basis till the time the company is owned by the government, to maintain the value of the company.

“Whenever privatisation happens, the new land licence fee calculation can be implemented,” the person mentioned earlier said.

GST fraud: 1,377 Exporters, 10 ‘Star Exporters’ Go Untraceable After Illegally Claiming Crores in Refund New Delhi Port Wings News Network s many as 1,377 exporters have fraudulently claimed IGST refund amounting to Rs 1,875 crore, sources in the indirect tax department said, according to a news report in Financial Express.

They added that there are at least 10 ‘star exporters’ among these who have illegally availed of Rs 28.9 crore in refunds. “These exporters have been found untraceable at their principle place of business,” a tax official said.

Star Export House exporters are certified by the government on the basis of export performance (Rs 15 crore to Rs 5,000 crore FOB in the current and three preceding years).

They are extended certain benefits including customs clearance on selfcertification basis and exemption from furnishing bank guarantee under certain schemes.

Sources said that 7,516 exporters have been put on the ‘risky’ exporter list as on date. Out of these, 2,830 exporters are being currently denied IGST refund and drawback facility worth Rs 1,363 crore. Further, adverse reports have been received in respect of 2,197 risky exporters.

Exporters are identified as ‘risky’ on the basis of specific risk indicators based on Customs, GST, Income Tax and DGFT data. The identified risky exporters are shared

A

with the CGST formations for physical and financial verification in terms of the standard operating procedure (SOP) laid down by the GST policy wing.

Further, after receiving positive reports from field formations on 695 exporters, the Directorate General of Analysis and Risk Management (DGARM), in its supply chain analysis, found that their suppliers had availed ineligible credit. In 461 of these cases, IGST refund and drawback amounting to Rs 273 crore is under suspension, sources said.

Earlier in the year, the government had found that in some instances an exporter with over Rs 50 crore of exports of readymade garments has taken refund of Rs 3.9 crore while the entity’s total GST payment in cash was a mere Rs 1,650. In another case, tax payments in cash were Rs 51,201 while the exporter obtained refund of Rs 9.59 crore.

Sources said that such cases involve fake invoicing and fraudulent tax credits, which have been encashed through the facility of IGST refunds. The finance ministry earlier this year had asked DGFT to continuously (or annually) seek a compliance and verification report from other regulators or obligate the exporters to produce statutory records of compliance, including certifications from the banks of “No NPAs”.

FIEO Offers all Support to Locate "Untraceable Exporters," Demands Sternest Actions Against Them New Delhi Port Wings News Network esponding to the media reports highlighting that 1377 exporters, who fraudulently claimed IGST refund worth Rs 1,875 Crore, are untraceable at their place of business, Mr Sharad Kumar Saraf, President, FIEO said that this has caused great anguish and setback to the exporting community as it indirectly reflects adversely on them as well. While the number of untraceable exporters as a percentage of total number of exporters is not much yet untraceability of such a large number of exporters requires concerted efforts by all of us to trace them and bring them to books.

On behalf of export organisations, Mr Sharad Kumar Saraf extended full co-operation to the Government to trace them. President FIEO said that every exporter has a PAN and a bank account before he applies for Importer Exporter Code. For opening the bank account, necessary KYC is done by banks also besides introduction of account by another customer. DGFT also keeps their email, telephone and bank details including the photograph of the person who applies for IEC. Exporters are also required to have GST registration providing email and mobile number, which is cross verified through electronic mode. The

R

registration of exporters is also done at Customs Mr. Sharad Kumar Saraf, and bank details President, FIEO are captured in which IGST amount is credited.

These exporters may also be members of some Export Promotion Councils/ Authorities/Commodity Boards/ FIEO who can also help in providing necessary information available with them. The Star exporters also submit Chartered Accountant Certificates, which are also at times verified by the licensing authorities.

We need to pool the information available, with all the agencies, said Mr Saraf, to locate them as a few black sheep should not dent the image of genuine exporters of the country.

Mr Saraf added that the Government should further proceed in the matter by immediately issuing them suitable show cause notices. If they do not respond, DGFT should initiate action to suspend/cancel their IEC making them ineligible for further exports/imports and authorities should initiate proceedings against them to recover Government money, added President, FIEO.

July 22nd - 28th Issue

DP World in Talks To Buy Indian Flag Carrier Shreyas Shipping Mumbai Port Wings News Network lobal port operator DP World Ltd is in advanced talks to buy Shreyas Shipping and Logistics Ltd and Avana Global Logistek Ltd from Dubai-based Transworld Group promoted by Indian businessman Ramesh Ramakrishnan, according to multiple sources, reports BusinessLine.

Mumbai-listed Shreyas Shipping is the Indian flagged vessel owning unit of Transworld Group, running a fleet of 13 ships, the largest along the Indian coast.

Shreyas has a market share of over 90 per cent in the export-import (EXIM) transhipment business and more than 52 per cent in the domestic container business. It is a preferred partner of most Main Line Operators (MLOs) for EXIM transhipment services at various Indian ports. It also runs a service to Colombo and Jebel Ali in Dubai.

Avana Global Logistek Ltd is the freight forwarding arm of Transworld Group.

The deal would be DP World’s third acquisition in the container feeder segment in two years since it ventured into this business seeking to build an end-to-end logistics capability by offering integrated services.

“I have no information on that. Just because we have shifted to DP World’s terminal in Chennai doesn’t mean anything. We have shifted to DP World’s terminal in Chennai for a different reason because we don’t want to call (at) Krishnapatnam and Kattupalli ports. Instead of that we are calling only in Chennai on the PIX 2 service. I will not be able to tell anything,” a top Shreyas Shipping executive said.

DP World hasn’t responded to an email seeking comment.

“The deal is at a very advanced stage,” said a person briefed on the talks. “Since promoters of both the companies are based in Dubai, relations at higher levels are very good,” he said. “An Indian flag carrier going into foreign hands would be an interesting development,” he added.

DP World ventured into feeder operations in 2018 by acquiring Unifeeder, which runs feeder and shortsea services around Northern

G

Europe and throughout the Mediterranean and Northern Africa regions.

In December 2019, Unifeeder acquired a 77 per cent stake in Singapore-based Feedertech Group which provides similar services connecting ports in South East Asia, the Indian subcontinent and the Middle East.

DP World has now integrated the acquisitions on to one platform, creating a feedering and shortsea network, serving hundreds of ports across the globe.

The Unifeeder and Feedertech platforms further strengthen the capabilities of DP World’s main ports in Dubai’s Jebel Ali, and ports in India, Africa and Europe as key hubs of the world’s trade, as shippers and consignees worldwide can ship goods via the most important ports of DP World to final destinations across the Middle East, South Asia, Europe and Africa, using DP World’s integrated land and marine logistics network, it said.

The Unifeeder Group is now working on further expanding its coverage to include additional trade routes and destinations, thereby linking more areas to the global economy.

The next and imminent stage of this development will be to launch a dedicated and efficient India-Gulf region service, which is an important route for our customers, the company said.

“DP World’s vision is to become the leading end-to-end supply chain solutions provider.

Our smart logistics and feedering and shortsea services, combined with our network of ports, terminals and storage facilities around the world, together with our increasing logistics capabilities on land, as we own rail services in Europe and India, mean that we can offer truly innovative solutions to our customers,” Sultan Ahmed Bin Sulayem, Group Chairman and Chief Executive Officer, DP World, said on June 30.

DP World has invested $1.2 billion in India since 1997 and is currently the only foreign port operator running six terminals at Mundra, Jawaharlal Nehru Port Trust, Chennai, Cochin and Vizag, with a combined capacity of over six million TEUs, accounting for a market share of about 30 per cent of India’s annual container volumes shipped through its ports.

Foreign Seafarers Allowed To Sign Off At Indian Ports And Go Abroad Mumbai Port Wings News Network he Government has allowed foreign seafarers to sign off at Indian ports and permitted them to go abroad in Vande Bharat flights, non-scheduled commercial flights or chartered flights, according to a BusinessLine report.

The permission is applicable to foreign seafarers employed on ships other than cruise ships.

The Ministry of Home Affairs (MHA) had issued an office memorandum in this regard on Friday.

It has also been decided to permit, as a special case, grant of temporary landing permit (TLP) for up to one month by the Immigration Officer concerned to such foreign seafarers who have expired Indian visas subject to their having valid passport and valid seaman's Identity document (CDC).

The sign-off of foreign seafarers at Indian ports and their repatriation to their home countries will be subject to the standard operating procedures (SOP) framed by the Directorate General of Shipping.

The global shipping industry has been battling a crew change crisis after the pandemic-induced travel restrictions and closure of borders halted staff swap on board ships.

The decision was taken on a proposal forwarded by the Shipping Ministry which said that there has been a wide-spread demand from the international organisations, maritime community, international trade unions and the International Transport Workers Federation to facilitate movement of seafarers to allow crew change on foreign going and domestic vessels.

The International Maritime Organization

T

has prescribed SOPs for a crew member to join a vessel or disembark from it and travel to or from their country of residence. The IMO Secretary General has urged the Member States to implement the SOP to facilitate crew transfer from their ports and airports.

“This move will not only help India in meeting its international obligation to facilitate movement of ship crew, but would also create job opportunities for Indian seafarers awaiting to join a vessel,” Satinder Pal Singh, a joint secretary in the Shipping Ministry said.

A container ship run by Mediterranean Shipping Company, S A, will be the first to utilise the permission to sign off foreign seafarers in India and replace them with Indian crew.

Some 73 foreign seafarers have already signed off at Indian ports and they have been allowed to go abroad after taking special permissions from the authorities.

On April 21, the government allowed Indian seafarers to sign off at Indian ports and anchorages by following SOP. Since then, some 18,581 Indian seafarers have signed-off from Indian ports while another 7,994 have joined ships.

From May 19, chartered flights run by ship managers, ship owners and crewing companies helped 10,679 Indian seafarers to join ships at overseas locations while another 18,396 were brought back. "The government has taken steps which resulted in crew change involving 55,750 Indian seafarers in 117 days (from March 22) of the coronavirus," said Sanjay Prashar, managing director, V R Maritime services Pvt Ltd. "Other countries must learn from India," he added.

5

India Risks Losing Its Grip Over Chabahar Terminal New Delhi Port Wings News Network mid rising geopolitical tension between India and Iran, shipping sector experts fear that India may risk losing its grip over Iran’s Chabahar port, a strategic transit point to access Afghanistan, Central Asia, Russia and Africa. This follows China’s growing influence in Iran, says a BusinessLine report.

The last few days have been abuzz with reports of China’s growing influence in Iran, coinciding with signals from the latter that it could curtail India’s strategic ambition to fund and build a rail link between Chabahar and Zahedan (Afghanistan border). Two business leaders BusinessLine spoke to admitted that the industry is rattled about the emerging geopolitical uncertainty between the two countries as well as China’s increasing sway in Iran, and expect the government to clear the air on India’s continued operations at the Chabahar port.

There is a lurking fear among businesses that China’s increasing influence in Iran might make it unviable for India to operate the Chabahar port if China were to flex its muscles, said an industry watcher.

“We have got feedback from exporters as well as bankers that they are unwilling to send products to or through Iran as companies fear losing their business in the US, which is a bigger market than Iran,” TS Ahluwalia, President, North India Shippers Association, told BusinessLine.

China has reportedly committed to investing $400 billion over several years to build infrastructure including rail links, ports and telecommunication.

A

Waiting for response This coincided with Iran stating that it would build the rail link — which India had been eyeing — on its own. This rail link was a longpending project that India’s Ircon International was planning to build with funding from the Indian government. India’s External Affairs Ministry on Thursday stated that it has been waiting to hear from Iran on technical and financial issues for several months now.

Officially, India has maintained that the use of a terminal at Chabahar Port, operated

by Indian Ports Global Private Ltd, has improved. Transit of export consignment from Afghanistan through Chabahar, which started in February 2019, has now shown a healthy upward trend, the Shipping Ministry stated on July 6. Port operations have steadily scaled up with Chabahar port, echoed External Affairs Ministry on Thursday, adding that in the last 12 months, the port has handled 52 vessels with bulk and container cargo.

Shipping sector sources maintain a regular container liner service between India and Iran, and Iran and Africa can lure more businesses to use Chabahar as a transit port. Also, shipping companies from India point out that by using Chabahar, the transportation cost of Indian products exported to other countries can drop sharply.

Many note that despite the US sanctions on Iran, which were aimed to prevent countries from trading with Iran, the US has not created barriers for India to use Iran as a transit hub.

But, India’s relationship with Iran has strained – in terms of trade – ever since it chose to align with the US. India used to depend on Iran for low-cost crude till about a few years ago. “However, today (given the global crude prices), India can get cheaper oil from other countries, not just Iran,” said another industry source. But, for India, the US is a larger market than Iran.

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6

Vessel Position at Terminals - (22.07.2020 To 29.07.2020)

July 22nd - 28th 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

24/07

25/07

CCG

MESSINI

104W

EMC

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

23/07

24/07

MD1

TRF KAYA

1679E

BTL

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

22/07

23/07

SIF

SPIRIT OF MUMBAI

30

MSC

Colombo

24/07

25/07

CI3

ALEXANDRIA BRIDGE

ONE

Port Kelang(North port), Singapore, Shanghai

26/07

27/07

ECH

SSL KOCHI

186

SHR

26/07

27/07

ADHRCL

DANU BHUM

435E

RCF

23/07

24/07

ECC

ASIATIC DAWN

18

SHR

27/07

28/07

TCX NEW

VERMONT TRADER

010E

RCF

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

27/07

28/07

FME

TABEA

889E

FTD

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

22/07

23/07

TCIX

TCI PRABHU

TCI

Port Klang, Singapore, Laem Chabang

Kattupalli ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

22/07

23/07

CCG

NEYYAR

12W

SIM

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

22/07

23/07

ECS

MCP SALZBURC

43

SCI

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

SCI

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

23/07

24/07

ECS

MCP LINZ

2

NCT, Krishnapatnam ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

20/07

21/07

CHX

Rio Centaurus

030E

Maersk & Safmarine

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

23/07

24/07

ACS

HYUNDAI PRESTIGE

074W

HMM

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

25/07

26/07

ECS

SCI CHENNAI

478

SCI

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

26/07

27/07

IEX

E.R. Los Angeles

004W

Hapag ONE, COSCO, OO

Colombo, Damietta Piraes Rotterdam, London

26/07

27/07

TCX

VERMONT TRADER

10

RCF

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

24/07

25/07

CHK

RHL AURORA

SH030R

MSC

27/07

28/07

SHTL

MAERSK KENTUCKY

2020

MSK

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

Port Kelang(North port), Singapore, Shanghai

21/07

22/07

VCH-1

Kapitan Afanasyev

4-21

MSC & NVOs

Ennore, Krishnapatnam, Visakhapatnam ,Tanjung Pelepas, Xingang, Qingdao

25/07

26/07

MAERSK SHUTTLE

Maersk Kentucky

7-12

Maersk & Safmarine,XCL

Colombo, Salalah

29/07

30/07

C13

ALEXANDRIA BRIDGE

111

ONE

DAKSHINBHARATH GATEWAY TERMINAL / Tuticorin ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

21/07

22/07

BOX

MV.XPRESS MAHANANDA

20149s

BTL

COLOMBO, TUTICORIN, COLOMBO

22/07

23/07

CTS

MV.VLADIVOSTOK

140s

FAR SHIPPING

COLOMBO, TUTICORIN, COLOMBO

23/07

24/07

TUX

MV.OEL SHARVAN

20051

TWF

COLOMBO, TUTICORIN, COLOMBO

20151S

BTL

COLOMBO, TUTICORIN, COLOMBO

1415

FAR SHIPPING

COLOMBO, TUTICORIN, COLOMBO

24/07

25/07

BOX

MV.XPRESS MAHANANDA

26/07

27/07

CTS

MV.VLADIVOSTOK

NSICT - Mumbai ETA

22/07

ETD

23/07

Service

ME3

Vessel Name

Voy

MAERSK KIMI

Vessel Name

Voy

Agent/Line

Calling Ports

24/07

25/07

KAK>HAL

OEL SINGAPORE

75

SAMSARA

Halida

26/07

27/07

KAK>IXZ

TCI LAKSHMI

720

BOTHRA

Halida, Colombo

VCTPL, Vizag ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

22/07

23/07

CHX

RIO CENTAURUS

030E

MSK

Port Elizabeth, Durban, Port Louis...

24/07

CVK

MSC JANIS 3

XA029A

MSC

24/07

25/07

MDM

TRF KAYA

1679E

BTL

Colombo

24/07

25/07

ADHOC

MCP LINZ

41

AVB

Nhava Shiva, Mundra, Khor Al Fakkan...

MSK

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

25/07

26/07

IEX

E.R. LOS ANGELES

004W

OCL

Colombo, Damietta Piraes Rotterdam...

26/07

27/07

CCG

MESSINI

104

EGI

Cochin , Nhava Sheva, Mundra...

26/07

27/07

ADHOC

MCP SALZBURG

43

AVB

Nhava Shiva, Mundra, Khor Al...

27/07

28/07

VKS

ASIATIC DAWN

18

SSL

YARAN

RIS

23/07

24/07

INDUS

MSC HEIDI

MSC

Colombo, Damietta Piraes Rotterdam, London

23/07

24/07

ADHOC

CONTI EVEREST

JMB

Nhava Shiva, Mundra, Khor Al Fakkan, Port Klang, Singapore, Shanghai,

24/07

25/07

IPAK

LE HAVRE

MSC

26/07

27/07

MECL

MAERSK DENVER

MSK

27/07

28/07

MWE

LISA

27/07

28/07

HEX

SEAMAX NORWALK

SANTA CRUZ

Service

23/07

IIX

ME3

ETD

Calling Ports

23/07

30/07

ETA

Agent/Line

22/07

29/07

Kakinada Container Terminal

APM Terminal - Mumbai ETA

ETD

Service

Vessel Name

25/07

26/07

FM3

22/07

23/07

MSK

23/07

MSK

MSK

Haldia, Paradip

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

Voy

Agent/Line

Calling Ports

MAERSK TAURUS

MSK

Pipavav, Hazira, JNPT, Jebel Ali...

ADHOC-ME1

MAERSK KOTKA

MSK

Pipavav, Hazira, JNPT, Jebel Ali...

24/07

MINA

MAYSSAN

HLI

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

24/07

25/07

PS3

ONE CONTRIBUTION

ONE

Jebel Ali, Mundra, Hazira, Nhava Sheva

26/07

27/07

TIP

MOL GLOBE

ONE

Pipavav, Hazira, JNPT, Jebel Ali...

26/07

27/07

CIX3

BERNADETTE

GLD

Jebel Ali, Mundra, Hazira, Nhava Sheva

27/07

28/07

CIX

NORTHERN PRIORITY

HLI

Jebel Ali, Mundra, Hazira, Nhava Sheva

28/07

29/07

CWI

AKINADA BRIDGE

GLD

Pipavav, Hazira, JNPT, Jebel Ali...

Bharat Mumbai Container Terminal

ICTT - Vallarpadam

ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

22/07

23/07

ADHOCMHIMALAYA

MSC REGULUS

L0450

MSC

MUN, KAC, GIT, SIE, FXT, RTM, HAM, ANR, SLL, IST

23/07

24/07

PIC-2 E

SSL KRISHNA

020E

SHR

Colombo,Tuticorin, Cochin

24/07

25/07

SWAX

RHL CALLIDITAS

L0465

HLI

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

23/07

24/07

IWCS

PAMBA1

95

SMI

Qingdao, Shanghai, Ningbo, Shekou...

23/07

24/07

WCC

SSL MUMBAI

109

SHR

24/07

25/07

EPIC2

HONG KONG EXPRESS

L0466

HLI

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

23/07

24/07

PIC-1

SSL GUJARAT

85

SHR

Colombo, Tuticorin, Cochin

26/07

27/07

AACI

COSCO ASIA

L0445

COS

CMB, NGB, SHA, LGB, LCH, OAK, HPH

24/07

25/07

ADHOC

SSL SABARIMALAI

65

SHR

Nhava Shiva, Mundra, Khor Al Fakkan...

24/07

25/07

TCICOSTL

TCI ANAND

1500820

TCI

Cochin , Kanda , Mangalore ,Cochin

27/07

28/07

CIX

HYUNDAI PRESTIGE

L0498

HMM

SHK, DCB, PUS, MUN, SHA, NGB, PKG, SIN, KHI, KAN, HZA

25/07

26/07

SMILE

SCI MUMBAI

SM479

SCI

Tuticorin, cochin, Pipava, Kandla....

26/07

27/07

CCG-W

NEYYAR

0012W

SMI

Cochin , Kanda , Mangalore ,Cochin

26/07

27/07

WCC

SSL GANGA

51

SHR

26/07

27/07

CCG-E

MOGRAL

0027E

SMI

Colombo ,Chennai

26/07

27/07

PIC-2 W

SSL DELHI

44

SHR

Colombo, Tuticorin, Cochin

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.

July 22nd - 28th Issue

Etihad Cargo Enhances Export Control Compliance With New E2open Partnership Chennai

E

Port Wings News Network tihad Cargo, the cargo and logistics arm of the Etihad Aviation Group, is set to streamline regulatory compliance screening processes for shipments via a new partnership with E2open, a leading provider of intelligent supply chain solutions.

Scheduled to be fully operational by November, the E2open application implementation will enable Etihad Cargo to automate cargo screening against global regulations and sanctions leveraging E2open’s global trade content.

The automated solution will simultaneously improve efficiency, streamline workflows, minimise the risk of fines and penalties, and reduce the manual time associated with screening cargo.

“Aside from being labour intensive, navigating the constantly changing regulations and export/ import requirements often requires coordination across multiple parties

and compliance checks,” said Andre Blech, head of operations and delivery at Etihad Cargo. “Our partnership with E2open, which shares our vision for a truly digital logistics supply chain, increases

Etihad Cargo’s service quality to customers, who benefit from the increased efficiency of real time verification.”

"As carriers move goods around the globe, they face major challenges navigating through relevant trade regulations, sanctions and embargoes. Together with Etihad Cargo, E2open is streamlining the process to dramatically simplify the complexity of staying abreast of ever evolving trade regulations,

automating the screening of shipments, thereby providing best in class compliance safeguards for Etihad customers while reducing shipment processing costs," said Santosh Nanda, general manager of E2open's Logistics Service Providers business unit. "This partnership with Etihad Cargo, one of the world's leading air cargo carriers, will allow air cargo shippers to benefit from automated screening capabilities by simplifying global shipping and ensuring rapid screening so that products consistently arrive on time thereby increasing customers satisfaction."

In addition to comprehensive compliance checks based on global regulations, the E2open carrier cargo screening application also ensures alignment with Etihad Cargo’s strict protocols that prevent the carriage of endangered and threatened species, hunting trophies containing any animal parts, shark fins and live animals intended for use in scientific research.

Hyderabad Airport Launches "Multi ULD Cool Dolly" for Unbroken Cold Chain Hyderabad Port Wings News Network ajiv Gandhi International Airport here managed by GMR group has ramped up its cargo capabilities by inducting a unique Multi ULD Cool Dolly on 21 July 2020 to maintain unbroken cold chain for time and temperature sensitive shipments such as pharmaceuticals and perishables, according to a news report in Outlook Online quoting news agency the PTI. The Multi ULD (Unit Load Device) Cool Dolly at the airport''s cargo was virtually launched

by Vandana Aggarwal, Senior Economic Advisor, Ministry of Civil Aviation, during the third

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webinar on "Air Cargo-Changing Dimensions" organised by GMR Group as part of its ongoing webinar series on ''Reposing the faith in flying'', it said.

With the Multi ULD Cool Dolly, the airport is now poised to serve its customers with a seamless and controlled environment at the airport for handling their critical and highly temperature-sensitive commodities, according to the release.

Sources at the airport said the facility is immensely useful in the present situation wherein a lot of temperature- sensitive vaccines and drugs are expected to be moved in and out.

Consisting of a steel trailer and an aluminium insulated container, the Cool Dolly acts as a mobile

storage unit from air cargo terminal to the aircraft.

They provide an unbroken cold chain to all the perishable shipments of temperatures of +2C to +8C and +15C to +25C and can handle around 7-tons of cargo in a single trip, the release said.

Pradeep Panicker, CEO, GHIAL, said, "Cool Dolly is a crucial value addition to the unbroken cold chain at Hyderabad International Airport for life saving and temperature sensitive cargo. With more than 70 per cent of cargo being pharma, our Cool dolly has enhanced the airports capabilities multi-fold in our efforts to provide customers safe handling of the essential cargo such as pharmaceuticals, vaccines, fruits, vegetables and other perishables."

Trade Officials Equipped to Manage Nontariff Measures Amid COVID-1920 Chennai

Port Wings News Network n the heels of the COVID-19 pandemic, governments worldwide have implemented new import and export measures as part of their health and economic responses.

Nearly 80 countries, for example, have imposed some form of restriction on the export of medical supplies, reducing the availability and affordability of certain lifesaving products.

Some of national policy responses to the crisis have included nontariff measures (NTMs) – policy requirements other than tariffs – that are impacting international trade in goods.

To help countries better respond to the pandemic with policies that don’t hinder trade, UNCTAD has trained 207 trade experts from 67 countries on NTMs, with 156 trainees – 86 men and 70 women – successfully completing a new online course.

The training, which holistically covered the objectives and implications of NTMs, took place from 15 June to 10 July, as part

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of UNCTAD’s ongoing efforts to help developing countries alleviate the socio-economic impacts of COVID-19.

The participants from all over the world included government officials, trade practitioners from public or private sectors, and researchers from universities, academic institutes and civil society organizations.

"Learning the relevance of NTMs to the COVID-19 response was very useful,” said Rose Masita, assistant director at Kenya’s ministry of industry, trade and enterprise development.

“The training brought out the various ways in which NTMs are being applied the world over and the impact they are having on trade,” Ms. Masita said. “The knowledge I gained will enable me to formulate the right policies and strategies postCOVID-19.”

Deepened knowledge Over 85% of the participants said the training deepened their knowledge on NTMs, while 76% of them noted that it helped them better understand the policy issues faced by their countries in international

trade.

"The part most relevant to my work was the information on the analysis tool,” said Ahmed Abdelmaksoud, an Egyptian customs and international trade senior manager, referring to the UNCTAD Trade Analysis Information System.

The system provides information on the NTMs applied by more than 190 countries.

“It’s a very helpful tool that I can use to provide more reliable advice to businesses that would like to do trade across different territories,” Mr. Abdelmaksoud said.

The online course also covered the connection between NTMs and the UN Sustainable Development Goals (SDGs).

As NTMs are increasingly shaping trade, influencing who trades what and how much, understanding them is critical to crafting strategies and actions to meet the SDGs. Since 2014, UNCTAD has offered annual online courses on NTMs and certified almost 350 graduates. This year’s course was adjusted to respond to the COVID-19 crisis, with support from the UN Development Account.

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NEWS - BITS Bahri Logistics delivers largest cargo for Saudi Electricity Company

Bahri Logistics, one of the six Bahri business units, has reached a new milestone with the completion of the shipment of mobile stations with a voltage of 132 and 110 kV and a capacity of 67 MVA for Saudi Electricity Company (SEC). Marking the largest cargo that the company secured after it signed a contract with SEC in May 2016, the shipment consisted of seven sets of transformers manufactured by Siemens France, the company said in its release.

Divided into 21 trailers, the mobile stations were transported from the Port of Fos-sur-Mer in France to their final destinations in Saudi Arabia in two batches during the third and fourth quarters of 2019. Two transformer sets were shipped in the first batch and the remaining five sets in the second batch.

Both shipments were cleared and delivered without any port demurrage.

Ahmed Al-Ghaith, President of Bahri Logistics, said: “The shipment of the largest cargo for SEC is yet another major accomplishment for Bahri Logistics and reinforces the company’s standing as a leading total logistics provider.

We will continue to cater to the needs and expectations of our long-standing partner SEC and remain committed to further enhancing our capabilities to firmly establish our leadership position in the industry.”

IMO to reset meetings calendar

The International Maritime Organization (IMO) has announced that the original 2020 calendar of meetings has now been rescinded, as work gets under way to reschedule IMO meetings.

The Organization advised in a Circular Letter that the IMO Council, which is meeting by correspondence for its thirty-second extraordinary session (C/ES.32), is considering the reconstruction of the schedule of meetings for 2020, including the possibilities for virtual meetings. As discussions on the reconstruction of the schedule are still under way, the previously issued programme of meetings for 2020 (and preliminary programme for 2021) should not be used for planning purposes. Information regarding the rescheduling of postponed meetings and scheduling of future meetings will be made available in good time, to allow Member States and other participants to make appropriate arrangements.

All IMO meetings originally planned to be held between late March and July 2020 have been postponed due to the COVID-19 pandemic.

Resuming physical meetings will depend on guidance from the World Health Organization (WHO) and the UK Government, as well as the situation of IMO Member States.

Philippine Ports Authority digitizes personnel recruitment, system now online

A week after launching its electronic payment portal, the Philippine Ports Authority (PPA) on Monday, formally launches its Online Recruitment Portal (ORP), digitizing the agency’s recruitment processes from application to appointment.

The ORP is also in response to the ‘new normal’ being implemented by the government to help prevent the spread of the dreaded Coronavirus Disease 2019 by reducing, if not eliminating, face-to-face transactions—one of the single biggest contributors in the spread of the virus.

It is also in accordance with the directive of the Civil Service Commission to formulate and adopt guidelines allowing for online recruitment and selection processes.

The PPA has approximately 3,500 plantilla positions and some 1,700 are already occupied. More than a thousand positions shall be filled using the ORP in order to provide vital personnel in all of PPA’s Port Management Offices and Terminal Management Offices as the agency has been undermanned for a sometime already. It is also expected to help the government in its employment drive after massive unemployment and lay-offs have been experienced by Filipinos here and abroad because of the pandemic.

Commissioned by PPA in 2019, Cosmotech Philippines designed and developed the system in such a way that all interested parties, including incumbent PPA personnel in all corners of the country and abroad can access the portal.

CUSTOMS EXCHANGE RATES Notification No.59/2020 (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 17th July 2020

RATE (INR) Import Export 53.80 206.00 56.70 10.90 11.75 87.35 9.90 252.35 50.70 8.20 96.10 21.35 20.70 54.95 4.65 8.40 81.15 11.30 21.15 76.10 71.65 6.45

51.50 193.45 54.75 10.60 11.30 84.25 9.55 236.90 48.45 7.95 92.85 20.05 19.45 53.15 4.35 8.15 78.05 10.65 19.85 74.40 69.05 6.05

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

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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

Crew Kidnappings Surge in Seas off West Africa: International Maritime Bureau’s Latest Piracy Report Chennai

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Port Wings News Network iolent attacks against ships and their crews have risen in 2020, with 77 seafarers taken hostage or kidnapped for ransom since January, reveals the ICC International Maritime Bureau’s (IMB) latest piracy report.

The Gulf of Guinea off West Africa is increasingly dangerous for commercial shipping, accounting for just over 90% of maritime kidnappings worldwide. Meanwhile ship hijackings are at their lowest since 1993.

In total, IMB’s Piracy Reporting Centre (PRC) recorded 98 incidents of piracy and armed robbery in the first half of 2020, up from 78 in Q2 2019.

The increasing threat of piracy adds to hardships already faced by hundreds of thousands of seafarers working beyond their contractual periods due to COVID-19 restrictions on crew rotations and international travel.

“Violence against crews is a growing risk in a workforce already under immense pressure,” says IMB Director Michael Howlett. “In the Gulf of Guinea attackers armed with knives and guns now target crews on every type of vessel. Everyone’s vulnerable.”

So far this year, 49 crew have been kidnapped for ransom in the Gulf of Guinea and held captive on land for up to six weeks. Rates are accelerating, with 32 crew kidnapped in the past three months alone. And they are happening further out to sea: two-thirds of the vessels were attacked on the high seas from around 20 to 130 nautical miles off the Gulf of Guinea coastline.

IMB PRC urges vessels to report any attacks promptly. It can then liaise with coastal agencies, international navies and vessel operators, encouraging a quick response to deter piracy and armed robbery and improve the security

of seafarers. The Piracy Reporting Centre also broadcasts to shipping via GMDSS Safety Net Services and email alerts to Company Security Officers.

“We need to change the risk-toreward ratio for pirates operating within the Gulf of Guinea. Without

an appropriate and proportionate deterrent, pirates and robbers will get more ruthless and more ambitious, increasing the risk to seafarers,” says Howlett.

In one recent case commended by IMB, the Nigerian Navy responded promptly to a distress call from a fishing vessel boarded and hijacked by armed assailants in Ivory Coast waters. As a result the crew were saved and the ship was prevented from being used as a possible mother vessel to carry out further attacks.

In another incident, a product tanker was attacked while underway around 127 nm off Bayelsa, Nigeria.

Eight armed pirates kidnapped ten crew as well as stealing cash, personal valuables, and ship’s property. IMB PRC contacted regional and international authorities, and a Nigerian Navy Security Vessel was dispatched. A nearby sister vessel helped the four remaining crewmembers to sail the tanker to a safe port. The kidnapped crew were released three weeks later.

Singapore Straits The Singapore Straits saw 11 incidents in the first half of 2020, raising the risk of collisions in this busy shipping channel, especially at night. Although most are

opportunistic, low-level attacks that are aborted once the alarm is sounded, two reports in May 2020 indicated crew were threatened with knives, taken hostage and injured.

There were ten attacks in Indonesian anchorages and waterways in Q2 2020, up from five in Q1 2020.

Americas – Call for more reporting IMB is recording more incidents in new areas of Latin America, but says many further attacks go unreported, making the problem more difficult to tackle.

The four attacks that were reported in Mexico all targeted offshore vessels, and all happened within a span of 11 days in April.

One anchored accommodation barge was boarded by six people wearing face masks and armed with automatic weapons and pistols.

They attempted to enter, and opened fire, injuring a crewmember and damaging three windows. The Master raised the alarm, sent a distress message, informed the CSO, and the crew mustered in the citadel.

The incident was reported to the Marine Control via VHF Ch16 and a naval boat was dispatched, but the attackers escaped with the barge’s high value project equipment.

Incidents continue to be reported off Callao anchorage, Peru.

Meanwhile, vessels off neighbouring Ecuador have recorded incidents each year since 2017, with at least three container ships attacked while underway in Q2 2020. In one case, two crew were taken hostage for the duration of the robbery and in another the perpetrators fired on the ship when they were unable to gain access.

Somalia No incidents were reported off Somalia. Vessels are urged to continue implementing BMP5 recommended practices while transiting these waters.

The Somali pirates still maintain the capability for carrying out attacks.

TAPA Appoints Advisory Board To Help Shape Its Future In EMEA As The World’s Leading Supply Chain Resilience Association Chennai

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Port Wings News Network he Transported Asset Protection Association (TAPA) has established a new Advisory Board in its Europe, Middle East & Africa (EMEA) region to spearhead its transformation into an end-to-end supply chain resilience organisation under the leadership of President & CEO, Thorsten Neumann.

The four Advisory Board members are: Gilad Solnik, Director Security & Loss Prevention, EMEA, Amazon; Michael Schmidt, Chief Security Officer, Volkswagen; Frank Ewald, Head of Corporate Security & Crisis Management, Deutsche Post DHL Group; Paul Linders, Global Head of Security, CEVA Logistics.

Under its new organisational structure, TAPA EMEA will also retain elected Officers in the roles of Chair, Vice Chair and Treasurer, namely Marcel Saarloos of HP, Jason Breakwell of Wallenborn Transports, and Ap Boom of Amazon respectively.

Thorsten Neumann said: “COVID-19 has placed more emphasis on supply chain resilience than ever before, and that’s why we are achieving record growth – but we plan to deliver much more. Our

new structure retains the outstanding stewardship we have enjoyed from

our Officers in recent years and now also injects the knowledge and expertise of highly experienced and respected Chief Security Officers representing some of the world’s biggest brands to inspire, sensecheck and spearhead our growth strategy and digital transformation.

The willingness of Gilad, Michael, Frank and Paul to join our new Advisory Board in EMEA reflects their personal commitments to achieving the very highest levels of supply chain security and resilience, and promises significant benefits for our members as we move forward.

We are proud of have executives of their calibre helping to shape our future.”

TAPA was founded in 1997 to help Manufacturer and Logistics Service Providers minimise losses from their supply chains. In June 2019, the appointment of Thorsten Neumann as TAPA EMEA’s first full-time President & CEO, after his previous 13 years as Chairman,

heralded the Association’s plans to shift from being managed solely by volunteers to a new professionallyled structure. It also signalled its intention to focus on all aspects of supply chain resilience to maximise the value of membership.

In the EMEA region, TAPA is now reporting all-time highs for the number of member companies, incident data and intelligence reports, and certifications for its Security Standards for facilities, trucking and secure parking.

TAPA was formed in 1997 to tackle the multi-billion euro problem of cargo thefts from supply chains.

Today, it boasts over 800 member companies globally, including many of the world’s biggest manufacturers and logistics service providers as well as leading SME freight forwarding and transport operators, and other stakeholders.

TAPA’s mission is to minimise cargo losses from the supply chain by helping its members manage risk and achieve the highest levels of supply chain resilience. TAPA achieves this through the development and application of its global supply chain Security Standards, collating and sharing of incident intelligence, training, networking and through its support of, and collaboration with, governmental and regulatory bodies.

July 22nd - 28th Issue

EU Grant For Hydrogen Project In Inland Shipping Chennai

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Port Wings News Network he transport of cargo with hydrogen-powered inland vessels along the freight corridor between Rotterdam and Genoa has just come a step closer.

The European Commission has awarded 0.5 million euros in funding for further research to the RH2INE partnership, whose members also include the Port of Rotterdam Authority. The application was jointly submitted by the Province of Zuid-Holland, the German federal state of North Rhine-Westphalia, the ports of Rotterdam and Duisburg and RheinCargo. The partners will also be contributing 0.5 million euros to the research budget.

The target is to have at least 10 vessels running on hydrogen along the Rhine-Alpine Corridor – the main freight route between the port of Rotterdam and Cologne – by 2024. This requires three hydrogen refuelling stations along the way.

In the years following, the number of stations will be expanded so that hydrogen-powered freight vessels can continue to Genoa. To facilitate the use of hydrogen as a transport fuel, twenty parties – from both the public and private sectors – have joined forces in the RH2INE (Rhine Hydrogen Integration Network of Excellence) alliance.

The European grant will be used to fund research into which hydrogen refuelling stations are best suited for this purpose, hydrogen technology and which legislation will be required in the various countries and locations to allow inland vessels to switch to hydrogen. The network members also intend to learn from each other via RH2INE. They will achieve this by exchanging knowledge regarding the use of hydrogen in inland

shipping. Each of these parties plays a role in a future hydrogen economy, from production to distribution to its utilisation in shipping.

European sustainable development goals As far as the European Commission is concerned, the RH2INE grant application came at an excellent time. It aligns seamlessly with Brussels’ sustainability targets in its search for alternative fuels and opportunities to raise sustainability after the Covid crisis. 'It is a wellwritten, solid proposal. It shows the interrelationship between the set objectives, activities and budget,' according to the funding body.

'Hydrogen is an inextricable part of the future economy and is one of the key solutions for the cleaner transport of heavy cargo across longer distances,” says Floor Vermeulen, the Member of the Provincial Executive of ZuidHolland responsible for traffic and transport. “To turn this plan into a reality, you need to work together, and I am proud of the range of parties who have joined the network. From production and distribution to users. I see this grant as an incentive through which the EU confirms that we are on the right track. Furthermore, it connects with Zuid-Holland’s ambition to achieve a better balance between transport and a pleasant social environment.'

'We are delighted with the EU’s positive decision with regard to the cross-border promotion of hydrogen technology. This confirms that with our RH2INE-programme, we have taken new steps forward, towards more climate-friendly freight transport,' says Andres Pinkwart, North Rhine-Westphalia’s Minister of Innovation and Energy. 'The future hydrogen market will be based on international connections.'

Decisions Made at the WTO Will Matter For Economic Recovery From COVID-19 Crisis: Azevêdo Chennai

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Port Wings News Network ddressing heads of WTO member delegations for the last time as Chair of the Trade Negotiations Committee, Director-General Roberto Azevêdo emphasized that “keeping markets broadly open to trade” would help build “a post-COVID economic recovery that is strong, sustainable and inclusive”.

He told the 20 July meeting that members’ policy choices, including at the WTO, would play an important role in laying the groundwork for a return to growth and job creation.

In his remarks, the DirectorGeneral said that the pandemic’s growing economic and social impact would shape the context for the WTO’s work for the foreseeable future. “International cooperation on trade will be critical to help all countries build back better,” he said.

DG Azevêdo emphasized that the year ahead would be a defining one for the WTO. The Twelfth Ministerial Conference (MC12), now postponed to 2021, would be a key milestone for members’ efforts.

“As originally scheduled for this past June, MC12 would already have marked a critical juncture for the organization. Multilateral agreements on fisheries subsidies and agriculture, together with advances in the joint statement initiatives, would have sent a powerful signal that the WTO could continue to provide certainty and predictability for global trade for the next 25 years. Failure to agree,

meanwhile, would have called all of this into question.

"Now, MC12 will have to do this and more. It will mark a key decision point for the direction of the post-COVID global economy.

Will we react to the ongoing shocks with renewed cooperation, leading to shared growth and resilience? Or will we move further on the path towards costly fragmentation? Your work in the months ahead, including in this body, will help provide the answer.”

To maximize their prospects for success at the next Ministerial Conference, the outgoing DirectorGeneral urged members to swiftly agree on his successor, and then “work with her or him to chart a course for MC12 and beyond”.

The existing WTO rulebook continues to provide “a vital anchor of predictability and certainty in the global economy,” DG Azevêdo said.

Nevertheless, like all international organizations, the WTO must adapt to changing economic and geopolitical circumstances.

“Reform is a permanent task for the WTO – but it is a process that will be built by specific negotiated decisions,” he said.

“The past seven years have taught us that multilateral agreements are possible when the political will is there, and when you are pragmatic about the issues to tackle, open to creative approaches and compromise, and inclusive towards the voices of all members,” the Director-General concluded. “These lessons will be useful as you move forward.”

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.