Port Wings Maritime Exim Weekly Newspaper 28 Oct 2020 Issue

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Through Maritime Cluster, Goa Can Become Manufacturing Hub: Gadkari Panaji Port Wings News Network oa has the ability to become a manufacturing hub of international standards for the maritime sector and could also play a role in promoting the country’s blue economy, union minister for road, transport and highways Nitin Gadkari said on 25 October 2020, according to a news report in The Times ofn India daily.

Laying the foundation stone for the Konkan Maritime Cluster, Gadkari said that the maritime cluster will contribute to the country’s economy and Prime Minister Narendra Modi’s call for Atmanirbhar Bharat.

“Goa can be a growth centre for marine hub and maritime cluster, which is a need for future of India and this will be a historical contribution

by Goa to the country,” Gadkari said.

“Konkan Maritime Cluster will be a growth engine for the development of Goa creating employment potential for thousands of Goan youths.”

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Gadkari said that there is a need for ships with new designs which can fish 100 nautical miles out at sea. He also said that India’s shipping sector needs new ships, technology and engines.

Chief minister Pramod Sawant who was present for the function, said that even though Goa has 11 rivers and one major port, the waterways and ports are not utilised to their optimum potential.

“The government is ready to give required support. Goa has a lot of scope for blue industry. This industry should come forward and

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Govt Moves To Ease Ship Registration Rules To Tap ‘Make In India’ Policy Mumbai

approach the government,” Sawant said.

The maritime cluster, a consortium of 49 Goan enterprises, is coming up at Verna industrial estate where the Goa Industrial Development Corporation has allotted 14,380 sqm of land to setup a common facility for manufacturing, design and allied services for the shipbuilding industry.

According to chairman and managing director of the Konkan Maritime Cluster Suraj Dialani, the cluster aims to represent the community, which stands unified to empower themselves and future generations.

“The cluster aims at augmenting ship and boat building and marine equipment manufacturing in India,” Dialani said.

Industries and health minister Vishwajit Rane said that Goa’s maritime industry needs to evolve and rise. Rane added that the Centre has also agreed to setup a medical device park in Goa.

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Port Wings News Network he government is weighing a plan to ease nationality norms for registration of ships by allowing vessels that are substantially owned by Indian entities and those owned by overseas corporate Indians (OCI) and Limited Liability Partnerships (LLPs) to register under the Indian flag, says a BusinessLine report.

Ships purchased through bareboat-charter-cum-demise (BBCD) route will also be permitted to register in India before the end of the charter period. Currently, a BBCD ship is allowed be converted to an Indian flag ship only when the last instalment of the charter hire is paid to the overseas owner. Till then,

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it flies the flag of the jurisdiction where it is registered.

At present, only vessels whollyowned by Indian entities’ are allowed to be registered under the Indian flag.

“A ship shall not be deemed to be an Indian ship unless whollyowned by persons to each of whom the following description applies - a citizen of India, a company or a body established under any state or central act having its principal place of business in India or a cooperative society registered or Contd. on page -2

Inside Customs Clearance Regulations...

India Opposes Binding...

India’s Container Market To...

Nitin Gadkari Lays Foundation...

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Vessel Position at Terminals and Ports... Pg-6 Latest Customs Exchange Rates... Pg-7 Russian Railways Plans to... Pg-7 MSC Cruises To Implement...

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Oct. 28th - Nov. 3rd Issue

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Govt Moves To Ease Ship Registration Rules...

Wednesday, October 28, 2020

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Kangaroo Joins the ‘Quad’

he Malabar naval exercise began in 1992 as a training event between the United States and India. Japan joined it in 2015, but Australia has not participated since 2007.

Australia will join three-way naval exercises involving the United States, Japan and India, in a move that could provoke concern from China, which has criticized similar joint drills in the past.

The exercise was conducted off the coast of Guam in the Philippine Sea in 2018 and off the coast of Japan in 2019.

This year’s drills are likely to be held in the Bay of Bengal and the Gulf, India’s defense ministry says. Dates have not yet been confirmed.

It will be the first time that the United States, India, Japan and Australia - the informal grouping known as the ‘Quad’ - have participated in a joint military exercise of this size.

The four democracies in the Indo-Pacific hope the exercise can act as a counterweight to Chinese military and political influence in the region.

India, which is locked in a military stand-off on the disputed land border with China, hopes the expansion of the exercise will contain what it sees as Beijing’s intrusion into its territory, analysts say.

This time around it will be the best of the best ships participate in the exercise and India, which last year sent two smaller warships, was likely to send a larger carrier this time as smaller distances are involved.

The United States already has the supercarriers Nimitz in the Gulf and Ronald Reagan in the Bay of Bengal, both possible participants in the drill.

Japan’s navy is likely to send one of its two ‘Izumo-class’ helicopter carriers, the largest in its fleet and which have been part of the exercise for several years.

Australia could send one of its newest ships, such as the destroyer Hobart.

The Indian Ministry of Defence issued a release on the upcoming trilateral India-U.S.-Japan Malabar exercises, noting that this year’s iteration would include Australia The decision to add Australia will make the upcoming iteration of Malabar the first exercise to include all four Quadrilateral Security Dialogue, or “Quad,” states since the grouping’s reconvening in November 2017 after a decade-long hiatus.

The Royal Australian Navy last participated in Malabar 07-02 in September 2007; that iteration of the exercises also included a small Singaporean contingent.

That exercise also coincided with the original convening of the Quad. The grouping was later disbanded after Chinese opposition.

Australia’s return to Malabar will no doubt be framed as growing evidence of the seriousness of the reconvened Quad. Canberra’s inclusion in the drills comes at a time of heightened tensions between China and the Quad states.

The Indian Ministry of Defence’s announcement on Malabar this week makes crystal clear that Canberra’s inclusion is meant to be read in the context of ongoing efforts by the Quad countries to “collectively support [a] free, open and inclusive Indo-Pacific.” “The participants of Exercise Malabar 2020 are engaging to enhance safety and security in the maritime domain,” the release added.

The expansion of Malabar is likely to further the integration of the Quad and reflects positive trends in India-Australia security cooperation. Arguably, the Canberra-New Delhi relationship has been the weakest of the Quad’s constituent bilateral relationships. That’s quickly changing as the two countries expand cooperation on defense policy planning and keep up high-level exchanges, including a “2+2” dialogue between their top foreign and defense officials set up in 2017.

Having started as bilateral U.S.-India naval exercise in 1992, Malabar was formally trilateralized in 2015 to include the participation of the Japan Maritime Self-Defense Force on a permanent basis. The decision to add Japan came seven years after India and Japan signed a 2008 joint declaration on security cooperation, reflecting growing convergence between New Delhi and Tokyo.

Continued from page -1 deemed to be registered under the Co-operative Societies Act or any other law relating to co-operative societies,” according to Section 21 of the Merchant Shipping Act. The easing of ship registration rules will be affected by re-writing the Merchant Shipping Act and forms part of the Maritime India Vision 2030 to help raise Indian shipping tonnage (capacity).

Drawing FDI India allows 100 per cent foreign direct investment (FDI) into the shipping industry, but foreign fleet owners have so far shied away from setting up shop in India citing unfavourable tax regime and operating conditions.

Chennai Port Wings News Network mporters are getting anxious that Customs clearances of their consignments are being delayed deliberately. Many feel that the government is making conscious attempts to discourage imports, especially those originating in China and East Asia.

The stated policy of the government is to make it easy to do business. However, it is getting more difficult to clear the import consignments, since the Prime Minister’s call for ‘Atmanirbhar Bharat’ i.e. ‘self-reliant India’.

Many have understood the policy as substitution of imports through domestic production, although top government functionaries have come out with many different, often contradictory, interpretations on what the policy of self-reliance means.

The government has raised import duties on several items and restricted import of many items subjecting them to import licensing.

Besides, non-tariff barriers have also been introduced by way of mandatory quality control and pre-import registration processes.

However, it appears whispers have also gone through the hierarchy to subject most goods originating from China and East Asia to greater levels of examination and to raise queries on classification and valuation.

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NEW RULES CASTING ONEROUS OBLIGATIONS ON THE IMPORTERS The introduction of new rules casting onerous obligations on the importers who want to claim preferential tariff under various trade agreements has also made importers more nervous. They fear that any doubts raised about the Certificate of Origin will result in clearance of their goods under provisional assessment against 100 per cent bank guarantee and denial of lower duty rates later.

The faceless assessment scheme has meant that the bills of entry go for assessment to officers located away from the port of import, who raise their queries through email. Many licensed Customs brokers are used to explaining the correct position to the assessing officers in person.

Now the option is closed and they have to reply to the queries through email and try to convince the officers through written communication.

Not all are very good with their written communication skills. This also causes delays and hold-ups of import consignments. The Central Board of Indirect Taxes and Customs has issued all the right kinds of instructions to expedite import clearances but at the operating levels, the delays and uncertainties have increased.

UNCERTAINTIES AND DELAYS Even the importers of raw

materials and components required for manufacturing activity face uncertainties and delays in getting their imported consignments cleared through the Customs. Even after clearances, the government officers visit them to investigate whether they have imported sub-standard items.

Drug control inspectors have visited the premises of highly quality conscious pharmaceutical manufacturers, well established since several decades and exporting to dozens of countries since long, to draw samples from consignments of imported raw materials and to subject them to tests in government laboratories to check whether they are of standard quality.

So, it is not that only the domestic slowdown has caused a fall in demand for imports. Even the apprehensions of harassment by the Customs and other government officials are keeping many manufacturers and traders from importing the goods. The net result is that not only have the imports gone down but fewer vessels are coming to India and fewer containers are getting released for exports.

Consequently, non-availability of containers and shipping space for exports and delay in getting vessels to ship the cargo are hurting the exporters besides the steep rise in freight rates due to import-export imbalances and container demandsupply mismatches.

(Credit: Business Standard / TNC Rajagopalan)

WSC Stays In Step With Shipping Act

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Either way, the fact of this year’s exercise should also increase the odds that the four navies conduct coordinated and joint activities elsewhere in the Indo-Pacific.

Enhancing capacity The Shipping Ministry estimates that the revised ‘Make in India’ policy will help double the number of Indian flag vessels employed on overseas trade to at least 900 ships and more over a three-year period.

The Indian controlled tonnage scheme will also be brought under the revamped Merchant Shipping Act. The scheme allows ship owners based in India to acquire ships abroad and also flag them in the country of their convenience- typically taxfriendly jurisdictions to help access cheap source of funds- yet get fiscal and cargo benefits available in India.

Customs Clearance Regulations Making Importers Nervous

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Australia’s return to Malabar underscores the Quad’s expanding agenda in its TEXT post-2017 incarnation and will no doubt be closely watched in China. This year’s Malabar will likely have the effect of raising expectations for the Quad going forward.

For instance, Australia’s potential non-participation next year could be seen as a step back. For now, there’s no indication that Malabar may be formally quadrilateralized, but that would appear to be the next goal for the Quad’s proponents.

Some of these taxes and operational disadvantages have since been removed, raising hope that this would trigger a renewed interest among fleet owners with lesser risk-taking ability to register ships in India and grab a share of the business including India’s cabotage (domestic coastal).

The government is also looking to tap into the revised ‘Make in India’ policy for public procurement of services to boost shipping tonnage.

Under the revised rules, state-run firms and government departments are mandated to hire only ships owned by local firms where the transportation contract value is less than `200 crore.

Chennai Port Wings News Network he World Shipping Council (WSC) has filed an agreement with the U.S. Federal Maritime Commission (FMC) to ensure that its continued container shipping advocacy work complies with the 1984 Shipping Act, according to a report in American Shipper.

WSC submitted the six-page agreement to the agency on Oct. 1. Without objection from the commission, it will become effective Nov. 15.

Since its formation in 2000, the Washington-based WSC has interfaced with governments and advocated positions in regard to laws, policies, rules and regulations of governments and international organizations affecting ocean container carriers.

“Our work in the past has focused on our interactions with governments and international organizations on policy and regulatory initiatives, and that will remain the case in the future,” he added.

“There may be situations in which governments are unable to

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drive solutions, however, and in those cases, we may want to look at how the industry can work together to tackle these challenges.”

WSC has also been instrumental in increasing government and public awareness on the importance of container shipping to the global economy.

“As we look to the future, the nature of the challenges that the industry faces will continue to grow and change,” WSC President and CEO John Butler told American Shipper.

The agreement would authorize WSC members to exchange information, discuss and reach “voluntary, nonbinding agreement (including best practices and/ or guidelines for voluntary implementation of best practices)” with regards to environmental and climate change matters relating to vessels; legal and regulatory matters involving competition and antitrust laws; positions to be taken in respect of international agreements, treaties and conventions; positions related to requirements of or under consideration by state,

national, regional and international governments; safety and security involving packing, labeling, storage and handling of dangerous cargoes; and positions related to matters of information technology, data submission, customs, cybersecurity, and electronic bills of lading.

These types of activities may fall into the category of “cooperative working agreement” under the Shipping Act, thereby potentially triggering a filing requirement, Butler explained.

“We are filing the agreement at this point to make sure that we have access to the appropriate tools to meet the industry’s challenges and out of an abundance of caution to make sure that we are in full compliance with the U.S. Shipping Act. With or without an FMC agreement, the council has and will operate within the boundaries of legal requirements everywhere we are active,” he said.

While not common, the WSC agreement filing with the FMC is not unique. The Cruise Lines International Association, for example, has had a similar agreement on file with the FMC for years.

Oct. 28th - Nov. 3rd Issue

IndiGo Considers Buying Freighters, Aims to Haul Cargo Globally

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Chennai

Port Wings News Network eeing a tremendous growth in the cargo segment, airline major IndiGo might add freighter aircraft in its fleet, according to a news report in news website India.com quoting IANS news agency.

Industry insiders told IANS that the airline is evaluating a proposal to add freighter aircraft, which will help the company expand cargo services to China, Singapore and Malaysia in the near future.

The move to haul more cargo via freighters assumes significance as the segment has seen a massive demand surge due to the pandemic.

When contacted the company did not elicit a response.

According to industry insiders, with air passenger numbers expected to remain low, the industry is look at other avenues to augment revenues such as the dedicated Cargo services.

In the initial days of the lockdown, the sudden demand for freight and high charges allowed airlines to gain some revenue. This trend is expected to continue. At present, the airline continues with “CarGo in cabin” operations. These type of services are expected

to be retained even after resumption of full schedule.

Currently, the airline has 10 passenger aircraft completely deployed for cargo operations in freighter mode. The airline has managed to earn marginally higher revenue within the last five to six months at limited capacity as compared to the last financial year.

It has already transported cargo equivalent to the loads carried in the last financial year.

Till September, the airline has operated over 1,700 cargo charters, transporting more than 14,300 MT of supplies since April 18th across 21 destinations within India and internationally, including new stations like Bishkek in Kyrgyzstan, Cairo in Egypt, Almaty in Kazakhstan and Tashkent in Uzbekistan.

Besides, the move allows it to become the only second player in the airline industry that has freighter aircraft in its fleet.

The proposal also provides the airline with a differentiated service standards than the aircraft belly space provide in other type of passenger planes. Such a differentiated standard would include temperature controlled cargo service essential for ferrying vaccines and perishable items. The airline has been an active participant in the Centre’s ‘Lifeline Udan’ scheme.

GMR Planning Logistics Park Near Mopa Airport

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Panaji

Port Wings News Network MR Goa International Airport Limited (GGIAL) plans to set up a logistics park on the 232 acres of commercial land available at Mopa, where Goa’s new greenfield airport is set to come up. With an eye on freight cargo, GGIAL plans to outsource the handling of the cargo to a specialist company through a concessionaire agreement, and has also started marketing activities, said deputy CEO Kanwarbir Singh Kalra.

Kalra, who was speaking at the CII Goa conference on logistics, said that GGIAL is working on all aspects required to promote logistics and cargo movement in Goa, particularly for the pharma sector. “We are planning to do something like a logistics park there,” said Kalra. GMR, which operates the Hyderabad and Delhi airports, expects cargo movement from Goa to cross 1,00,000 metric tonnes by around 2045.

“We are planning for that, we have earmarked that much space in our land to handle air cargo movement, and we have kept the facility for a cargo terminal,” said Kalra.

Kalra said that despite the challenge posed by the Covid-19 pandemic, construction work on the airport is on at full speed.

“Work on the airside, ATC towers, passenger terminal building and admin building is currently on in full swing. We are targeting 2022 for the airport launch. We are on track and should be able to deliver the airport by August 2022.”

GGIAL also said that wide body aircraft will be able to operate from the airport. “Goa’s industry is mostly pharma, and we understand that an ecosystem is required to handle such cargo. Our team is already working on airline marketing, and we are participating in global forums related to airline marketing. We are meeting airlines directly,” said Kalra.

Kalra also said that the marketing for cargo services will be done by both the concessionaire and GGIAL. “We will be there to make sure that the concessionaire does what is required. This is an ecosystem that has to work together. There will be a concessionaire and there is a dedicated marketing team within GGIAL that is working with airlines and airports,” said Kalra.

ITIC Warns Against Letting Speed Affect Accuracy

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Chennai

Port Wings News Network o maintain flexibility, charterers often request that the shipbroker fix the vessels to discharge at a specified number of ports within a defined range. But it’s important that the broker clearly understands the definition of that range and which ports it includes.

A recent claim handled by the International Transport Intermediaries Club (ITIC) involved a fixture identifying a discharge in a north China range designated as “1-2 port(s) QuingdaoDongying”. This fixture was completed and, later, the same broker was asked by the same charterer to place a further cargo – this time destined for Jinzhou. The broker approached the same shipowner and agreed terms on the basis of the original fixture. An approaching holiday encouraged the broker to fix quickly, which he did but without checking if Jinzhou was within the designated range – it wasn’t.

When voyage orders were passed, the vessel owners were not happy to proceed to Jinzhou as it was outside the range and located in a potential ice zone. The vessel was not ice classed.

After discussion, the shipowner agreed to discharge at Jinzhou for an additional US$

25,000 and full protection against any issue or damage involving ice. With ITIC’s agreement, the shipbroker was able to indemnify the charterer.

Whilst intermediaries face many pressures, it is important for agreements to be checked and rechecked, even when haste is deemed necessary.

International Transport Intermediaries Club (ITIC) is the world’s leading provider of professional indemnity insurance to transport professionals across the globe. As a mutual insurer, it has over 90 years’ experience providing cover to companies in the marine, naval architecture, aviation, rail, offshore and hydrographic industries. With 3,100 members in over 110 countries and with a worldwide network of correspondents, ITIC is the acknowledged leader in its field.

ITIC’s insurance has been developed primarily to cover claims of negligence – errors or omissions. Cover can also extend to specialist areas such as debt collection, loss of commission income, cyber liability, cash in transit and directors’ and officers’ insurance. ITIC’s wide cover also includes a unique discretionary insurance which could support claims not normally be paid by other professional indemnity insurers.

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Infra Being Built Is Not For Coal Sector, Says Goa CM Panaji

Port Wings News Network ven as opposition to coal transportation and major infrastructure projects increases across the state, chief minister Pramod Sawant said on Sunday that the state government is not creating infrastructure for the coal industry, according to a news report in The Times of India daily.

Sawant, who was speaking at the foundation stone ceremony for the construction of the Konkan maritime cluster at Verna industrial estate, urged locals and activists not to launch agitations against coal.

“There is a wrong mindset among many that Goan ports are only for coal business, which needs to be changed,” said Sawant.

“There is no need for agitation..,” he said.

Goencho Ekvott, Goyant Kolso Naka

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and Goencho Avaaz have launched multiple agitations across the state against coal transportation, coal handling at Mormugao Port Trust and against South Western Railway’s double tracking project.

Sawant said that development of Goa’s ports and other infrastructure is to facilitate exports, trade and shipment of manufactured goods from Goa’s industries. The chief minister also said that Goa has a lot of scope to become a maritime and logistics destination as it has the capabilities and skilled manpower required to efficiently use waterways and ports for different kinds of industries.

Sawant said that the use of waterways for Goa’s tourism industry can benefit the state, as it could improve connectivity with Goa International Airport at Dabolim. He said that the state government is planning to develop a connectivity through public private partnership.

India Opposes Binding Commitments For Easier Cross-Border Goods Clearance Chennai Port Wings News Network ndia has opposed binding commitments on countries to put in place practices for faster clearances of cross-border merchandise even as it has implemented almost 75% of its commitments ahead of schedule under the global trade facilitation agreement (TFA), according to a news report in The Economic Times.

New Delhi’s stance comes amid the US, Brazil, Colombia and Japan urging the World Trade Organization (TO) members to speed up implementation of the agreement, arguing that trade is a critical channel for getting essential products to those in need amid the Covid-19 pandemic. “New Delhi has said that countries should not be saddled with binding commitments as they are best placed to determine when to implement them,” said a Geneva-based official.

The agreement is a global protocol that has articles covering provisions such as information availability and publication,

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advance rulings, review procedures, customs cooperation and exportation-importation of goods, and seeks to reduce the cost of global trade. The benefits are pegged at over a trillion dollars. It is part of the WTO’s Bali ministerial package of 2013.

Separately, India told the WTO members that it has implemented several of its TFA commitments ahead of the originally scheduled dates and that it has now put into place more than 73% of its commitments.

“The US welcomed India’s implementation of commitments such as those improving transparency in customs practices and allowing for the processing of goods before arrival,” the official said.

Separately, India told the WTO members that it has implemented several of its TFA commitments ahead of the originally scheduled dates and that it has now put into place more than 73% of its commitments.

The US also said that these actions will have an immediate impact on traders and that India was an example of how the TFA is helping traders respond to the Covid-19 pandemic

Lack of New Orders Underpins Recovery In Tanker Shipping

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Port Wings News Network he lack of tanker newbuilding orders, coupled with reduced freight and asset values over the past few months, are current developments that would lead to a more positive market in 2021 and beyond, according to a panel of industry players at the Saudi Maritime Congress webinar.

The decline in orderbook across the broad tanker shipping segments are mainly due to uncertainties over future oil demand, tanker earnings, and requirements of engine designs in view of IMO regulations, according to Hisham Alnughaimish, vice president commercial & operations of Bahri Oil. “There is also a lack of financing as many traditional shipping banks have reduced their lending or withdrawn themselves altogether,” Alnughaimish said.

“However, the lack of newbuildings today will lead to a bullish market for tankers in the coming years,” he said, adding that scrapping, though, will need to happen especially for the aging fleet.

Alnughaimish shared that around 25% of the world’s approximately 800 VLCCs are over 15 years old, and they can only command low rates. “If tanker rates remain depressed, all the aging ships will need to exit the market.

Only then will we see a slow recovery but much better tanker demand-supply market by 2023,” he said.

For the rest of this year, tanker shipping is expected to stay under pressure due to the decline in oil demand of 2.2m barrels per day compared to 2019 levels as a result of the coronavirus (Covid-19) pandemic.

“It will still take some time for the market

to recover and recovery will be gradual rather than V-shaped,” Alnughaimish said.

Jens Christophersen, evp commercial of Hafnia Pools, pointed out that shipping players are currently trying to deal with high inventory of both floating and land-based stocks which would need to be drawn down before the market can return to normalcy.

“We believe there may be a gradual recovery during the fourth quarter (of 2020) and the first quarter (of 2021) though the recovery will be less pronounced than usual,” Chrisophersen said.

Trade flows for both crude and product tankers are also going through a “shake-up” with tonne-miles expected to increase due to the west sourcing for more oil from the east, as western refineries are facing pressures from low margins and high inventories due to Covid-19 lockdown measures. “With some European refining capacity shutting down due to the impact of Covid-19, and new refinery capacity coming up from the Middle East and Asia, crude trades will travel a greater distance translating to more tonne-mile,” observed Ugo Romano, managing director of Scorpio ME. Denis Petropoulos, chairman of Baltic Exchange Board and non-executive director of Tsakos Energy Navigation, commented: “Tanker orderbook has indeed fallen and it is at that low point now, as regulations and the governments are not aligned in their messages to shipping.

The shipping business requires big investments and big commitments and people are not in the mood to take risks on what might or might not happen. “But, whenever there’s a void space in shipping, it will eventually get overbuilt,” Petropoulos said.

Oct. 28th - Nov. 3rd Issue

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India’s Container Market To Rebalance Shortly: FIEO New Delhi Port Wings News Network rowing demand from India’s consumer and industrial sectors could help boost imports and rebalance the country’s container markets over the next three months, according to Ajay Sahai, the Director General and CEO of the Federation of Indian Export Organization (FIEO), reports Platts.

Speaking to S&P Global Platts recently, Sahai said Indian exporters were waiting for year-end demand signals before making long-term commitments.

Edited excerpts of the interview follow: Platts: How are the country’s imports and exports faring? Is rebalancing of the market in sight?

Sahai: Imports are down to a large extent due to local lockdown and other uncertainties but in the next three months we see imports bouncing back because the demand from the consumers and industry is expected to come back.

On the exports front, we have done reasonably well, particularly in sectors such as chemicals, plastics, petrochemicals, food products and pharmaceuticals. In the lifestyle products like apparel, gems and jewelry, footwear, handicraft and carpets the demand is still low and we feel that pain for these sector may be a bit longer.

Even though we are getting a lot of inquiries, converting that into an order, that to a long-term order is a challenge. Whatever orders in this segment are coming to the country are for a short duration of time as buyers are still wary of the kind of demand the festive season will bring.

Platts: How has the recent surge in container freight rates impacted India’s exports?

Sahai: The cost of freight is definitely a pain point for exporters in India, especially if you have contracted under the cost, insurance and freight (CIF) or on cost and freight (CNF) basis then it is an issue.

This is probably because of two

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reasons; because imports are down, many of the shipping liners had to redistribute empty containers from other regions to India to serve for exports. Secondly, many of the File photo

large shipping liners are deploying smaller vessels to India as demand is low.

With small vessels, overall costs of shipping liners go up leading to higher freight rates. Once the import is close to normal, these issues will be addressed. We have been in touch with Container Shipping Line Association as well and we have been given to understand that the situation should ease to a large extent.

Platts: Will increased spot freight rates impact negotiations for long-term contract rates which are expected to be signed next year?

Sahai: Many Indian shippers who work on a freight on board basis are not worried about the freight rates going up. However, exporters who have got into contracts on CNF and CIF basis and, thereafter, if freight rates go up, it is a loss to the exporter, they are definitely concerned.

Secondly, even if the freight is to be paid by a foreign supplier, what matters is the landed price. If the landed price of the product goes up this will definitely affect the exporters.

At this point of time, no one is keen on getting on a yearly contract as they are still not sure on the business outlook and demand.

Nobody is taking a long position.

Many exporters have indicated that they will decide on a position based on what kind of demand will come from the advanced economies like Europe and US during

Christmas and New Year. If the trend is encouraging then chances of a rebound in exports is expected. If not, it will be a painful process for all of us.

Platts: Are you in touch with shipping liners over their preference over longer routes as compared to shorter routes?

Has this caused any friction between shippers and shipping liners?

Sahai: I do not think there is any friction over such issue. Preference for longer route maybe because of the volumes. It is a call which market forces decide.

Platts: The dwell time for exports has significantly deteriorated at Indian ports.

What are the key factors behind it?

Sahai: That could be because of lack of manpower. We have been studying it over a period of time and have observed that dwell time has definitely been hit due to COVID-19 lockdowns and lack of manpower which has caused these aberrations.

But I think when we look at the overall improvement in the port efficiency we are definitely looking to further compress the dwell time at ports. The dwell time is being monitored by the government on a day to day basis it is expected to come down in the coming months.

Platts: US and Chinese authorities have intervened as freight rates and void sailings shot up? Do you think such an intervention will be effective?

Sahai: I personally feel that it should be left to the market forces unless you feel that there is a monopolistic trend in increasing the freight.

If there is no monopolistic trend or cartelization then market forces should be left to decide. This is an extraordinary situation and will take some time to normalize, when shipping liners were bleeding nobody came forward at that point of time, we did not even discuss it.

Paradip Port Trust’s Marine Team Rescues 3 Bangladeshi Sailors From Sea Paradip

Port Patrolling Craft and Tug Boat

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Port Wings News Network hree Bangladesh crew members along with their rescue boat fell into the sea, while their ship Ocean Century was awaiting at the PPT Anchorage Point, on 22 October 2020 afternoon.

The Malta Flag bearing ship has come to PPT for Iron ore loading.

After receiving information, Marine Rescue Team of PPT led by Harbour Master Capt. A.C. Sahu came to the rescue by rushing in the

for the concerned 2nd Engineer, 3rd

Engineer and Electrical Engineer, who have fell into grave danger.

According to a media statement, they have been brought to the PPT Hospital, where their condition is said to be stable.

The rescue boat was being brought from the deep sea to the PPT Harbour. The timely step taken by the Port Marine Department has been the talk of the Paradip Town.

Kerala Maritime Board Sets Terms For Agents On Crew Change At Vizhinjam Mumbai

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Port Wings News Network erala Maritime Board has imposed conditions for granting no objection certificate (NOC) to shipping agents to undertake crew change on board ships at Vizhinjam near Thiruvananthapuram, a development which steamer agents say was unheard of anywhere in the country, reports BusinessLine.

The agents must keep Rs3 lakhdeposit in the bank account of Kerala Maritime Board, which will be used to recover “any liability caused by the shipping agents”, according to a October 21 letter written by the Kerala Maritime Board to three shipping agents – Dowins Resources Pvt Ltd, Atlantic Global Shipping Pvt Ltd and Capital Holdings.

The agents must hold a license from the Customs Department to operate in Vizhinjam port for carrying out crew change and must have a functional office in Vizhinjam.

The agents should have experience in similar activity supported by documents, clearance from the police and should give an undertaking to pay port dues, port charges, tug charges and all related charges, the letter stated.

“All conditions should be complied within ten days or before next crew change operation,” the latter added.

Kerala Maritime Board is the state government agency tasked with overseeing the state’s maritime sector.

Shipping agents said that the conditions set by the Kerala Maritime Board would deter more agents from undertaking crew change at Vizhinjam which has seen staff swap on about 50 ships since opening-up for crew change in July.

Vizhinjam emerged on the world crew change map given its close proximity to the main shipping lane with least deviation as embattled ship owners and managers sought newer locations to swap staff on ships after travel restrictions imposed by nations to deal with the spread of coronavirus disrupted this key activity globally since March.

“It is wrong to impose such conditions. Crew change all over India is governed by the standard operating procedures issued by the Directorate General of Shipping,” said a Mumbai-based shipping agent, adding that no port in the country is asking for a Rs3 lakh cash deposit as sought by the Kerala Maritime Board.

Shipping Ministry Throwing Its Weight Behind Vizhinjam Transhipment Port Mumbai Port Wings News Network he Shipping Ministry is throwing its weight behind the under-construction container transhipment port at Vizhinjam in Kerala in a bid to raise the level of Indian cargo transhipped at local ports to over 75 per cent by 2030 from about 25 per cent, says BusinessLine.

Prioritising and extending development support to Vizhinjam port in a time-bound manner by 2023 forms part of the Maritime India Vision 2030 drafted by the Shipping Ministry.

Post stabilisation of Vizhinjam and techno-economic feasibility, the government can develop another transhipment port in Kanyakumari region by 2030, the Vision document said.

Currently, only 25 per cent of Indian cargo transshipment is handled by Indian ports resulting in $80-100 per twenty-foot equivalent unit (TEU) higher cost to exporters and importers for routing their containers through hub ports such as Colombo, Singapore and Jebel Ali. Adani Ports and Special Economic Zone Ltd, India’s biggest private port operating company, was awarded the rights by the Kerala government to build and run the facility in a public tender in

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2015 for 40 years and extendable by another 20 years.

A container transhipment port such as the one planned at Vizhinjam acts like a hub, into which smaller feeder vessels bring cargo which then gets loaded onto larger ships for transportation to final destinations. Larger vessels bring about economies of scale, and lower the cost of operations for shipping lines, which then translates into lower freight rates for exporters and importers.

Vizhinjam is being developed as a container transhipment port with an investment of `5,552 crore to compete with Colombo because its basic infrastructure such as deep draft and proximity to the main shipping lane is better than Colombo’s, which is the biggest transhipment facility in the region.

The project is entitled to receive a viability grant funding or VGF of `1,635 crore to be shared equally by the Central and State governments to boost its viability, making it the first port project to be offered such a grant.

The first phase of the Vizhinjam port will have an 800-metre long berth capable of handling One million twenty-foot equivalent units (TEUs). The berth length will be extended to 2 kms in three phases with a capacity to load 3 million TEUs.

Visit

www.portwings.in for Latest News

Oct. 28th - Nov. 3rd Issue

Ministry of Shipping Amends “Right of First Refusal” Licensing Conditions To Boost Shipbuilding in India

Nitin Gadkari Lays Foundation for Country’s First Multi-modal Logistic Park in Assam New Delhi Port Wings News Network nion Minister for Road Transport, Highways and MSMEs Shri Nitin Gadkari laid the foundation for country’s first Multi-modal Logistic Park at Jogighopa in Assam on 20 October 2020.

The Rs 693.97 crore park will provide direct air, road, rail and waterways connectivity to the people. It will be developed under the ambitious Bharatmala Pariyojana of the Government of India. Chief Minister Shri Sarbananda Sonowal presided over the virtual function, which was attended by Union Ministers of State Dr Jitendra Singh, Gen (Retd) Dr V K Singh and Shri Rameshwar Teli; Ministers from the Assam State, Members of Parliaments, MLAs and senior officers from the Centre and the State were also present on the occasion.

An MoU was signed between NHIDCL and Ashoka paper mills, Govt of Assam on the occasion for sharing of land and logistics in Jogighopa.

Speaking on the occasion, Shri Nitin Gadkari said that his Ministry e n v i s a g e s developing 35 Multi-modal Logistic Parks (MMLPs) in the country, of which work on preparing DPR and feasibility report is underway. He said, SPVs will be formed for all these MMLPs, and professionally qualified CEOs will be appointed for each separately. The first such MMLP is being made by NHIDCL in Jogighopa of Assam, which will be connected to road, rail, air and waterways. This is being developed in 317-acre land along the Brahmaputra. Shri Gadkari said, the first phase of construction is scheduled to be completed by 2023. He informed that works worth Rs 280 crore have already been awarded, including Rs 171 crore for road construction, Rs 87 crore for erecting the structure, and Rs 23 crore for rail lines.

The work will begin next month, he said.

The Minister expressed hope that this project will provide direct or indirect employment to nearly 20 lakh youth in the State.

The Minister added that the distance of 154 km between Jogighopa and Guwahati will be covered by making a 4-lane road on this stretch, a 3-km rail line will connect Jogighopa station to the MMLP, another 3-km rail link will connect it to the IWT, and the road to newly developed Rupsi airport will be upgraded to 4-lanes for easier connectivity.

He said, the MMLP will have all the facilities like, warehouse, railway siding, cold storage, custom clearance house, yard facility, workshops, petrol pumps, truck parking, administrative building, boarding lodging, eating joints, water treatment plant, etc.

Shri Gadkari informed that the initial report and master plan is ready for the 346 acre MMLP with JNPT in Wardha Dry port area of Nagpur. Feasibility reports are being

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prepared for the Bangalore MMLP, Sangrur warehouse complex in Punjab, Surat, Mumbai, Indore, Patna, Hyderabad, Vijayawada, and Coimbatore. DPR is being made for MMLP near Chennai port, and studies have begun for MMLP in Pune and Ludhiana. Other 22 MMLPs are proposed in Ahmedabad, Rajkot, Kandla, Vadodara, Ludhiana, Amritsar, Jullundur, Bhatinda, Hissar, Ambala, Kota, Jaipur, Jagatsinghpur, Sundarnagar. Delhi, Kolkata, Pune, Nashik, Panaji, Bhopal, Raipur, and Jammu.

The Minister further informed that his Ministry has plans for National Highway works worth Rs 80,000 crore in Assam. He said, NH works for 575 km worth Rs. 3,545 crore are going to be completed within this financial year. NH works of nearly Rs 15,000 crore will be awarded by next year, while DPRs will be completed for works of Rs 21,000 crore for the State. He said, under the CRIF scheme, 203 km NH length at a cost of Rs 610 crore has been approved for 2020-21.

The Minister also announced clearing of a number of Road proposals from different MPs and MLAs for the State.

Shri Gadkari also informed that a total of 12 accident black spots have been identified on National Highways in Assam, of which three have been temporarily improved. He said, all the black spots will be eradicated by the year 2023.

Union Minister of State (I/c) for Development of North Eastern Region and Minister of State for Prime Minister’s Office; Personnel, Public Grievances and Pensions; Department of Atomic Energy and Department of Space Dr Jitendra Singh outlined the efforts of Shri Nitin Gadkari in clearing the developmental projects in the NE. He said, it was due to the herculean efforts of Shri Gadkari that today, we have a wide network of roads in the region.

He introduced inland waterways to us, now more than 10 waterways are being developed, which will bring down the logistic cost by one fourth. Dr. Jitendra Singh said Shri Gadkari has also addressed the problems of dilapidated and orphaned roads through Special Road Development Schemes. He said, this cost effective mode of transport will be cheaper option for trade, business and transportation and will boost the trade across the borders especially with our eastern neighbours by leaps and bounds. He said, MMLP is a novel idea, and will be replicated by other states soon.

The minister said, due to several unique and innovative mega projects, NE has emerged as a model of development in the country, similarly, roads have improved in the region.

Chief Minister Shri Sarbananda Sonowal, Union Minister of State for RTH Gen (Retd) Dr V K Singh, MoS for Food Processing Industries Shri Rameshwar Teli, Ministers from the State Dr Himanta Biswa Sarma, Shri Chandra Mohan Potwary, and Shri Phani Bhushan Choudhury also addressed the event.

Port Wings plans to bring out a special edition on account of Diwali The special edition will carry articles from all verticals of EXIM trade and special interviews from well-known personalities in the sector.

For Pre-booking Advertisement space, Contact:

K.Sivakumar - 9444222056, C.U.Satheesh - 9444158179 Marketing Executive : 7305315408 M.Richard Collins - 7358020375 (Tuticorin), Email: marketing@portwings.in

New Delhi Port Wings News Network n pursuance of ‘Make in India’ policy of the Government of India, Ministry of Shipping has reviewed the ROFR (Right of First Refusal) licensing conditions for chartering of vessels/Ships through tender process for all types of requirements.

To promote the demand of the ships built in India, priority in chartering of vessels is given to vessels built in India, flagged in India and owned by Indians under the amendments in the guidelines of ROFR (Right of First Refusal).

Minister of State for Shipping (I/C) Shri Mansukh Mandaviya said, “Ministry of Shipping is working with a focused approach to promote shipbuilding in India as per AatmaNirbhar Bharat vision of our Prime Minister Narendra Modi. The revision of RoFR licensing conditions is a giant step towards AatmaNirbhar Shipping. It will promote ‘Make in India’ initiatives through self-reliance and will give a strategic boost to domestic Ship building industries, contributing towards long-term economic growth of India”.

Now it has been decided that for any kind of charter of a vessel undertaken through a tender process, the Right of First Refusal (RoFR) would be exerted in the following manner: i. Indian built, Indian flagged and Indian owned; ii. Foreign built, Indian flagged and Indian owned; iii. Indian built, foreign flagged and foreign owned; Provided that: All vessels flying the flag of India (i.e. registered in India) up to the date of issue of new circular

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5

by the Director General of Shipping shall be deemed to be Indian built vessels and will fall in category (i) above and The foreign flagged vessels permitted by DG (Shipping) under Section 406 of the Merchant Shipping Act, 1958 for chartering by an Indian citizen/ company/society, who is building a ship in an Indian shipyard for registration under the Indian flag, as a temporary substitute for the Indian ship under construction, meeting the following two conditions shall be deemed to fall under Category (i) above. a. 25% of the contract money has been paid to the Indian shipyard b. 50% of the hull fabrication has been completed, as certified by Recognised Organisation.

The duration of licence to such chartered vessel shall be limited to the period of building of the ship, as mentioned in the shipbuilding contract.

It is to be noted that Ministry of Shipping has made provision for long-term subsidy for shipbuilding activities under shipbuilding financial assistance policy (2016-2026). The Ministry has already disbursed an amount of Rs 61.05 crores till date under this policy.

It is an endeavour of the Government to further incentivise shipbuilding by providing additional market access and business support to ships built in India.

The revised guidelines will give a boost to the domestic shipbuilding and shipping industries. It will encourage the domestic shipping industry to support the domestic shipping industry.

AirBridgeCargo Airlines Transports Vaccine Manufacturing Equipment from Frankfurt to Atlanta Chennai Port Wings News Network irBridgeCargo Airlines (ABC), one of the leading air cargo carriers for transportation of special cargo, has been aiming at 360-degree support of COVID-19 vaccine manufacturing, including through stable shipments of vial-producing equipment.

A total of 840 tonnes of equipment enabling automation lines for the manufacturing of coated cyclo olefin (COP) polymer vaccines containers will be delivered from August till the remainder of the year from Frankfurt (Germany) to Atlanta (USA) onboard Boeing 747-8F in cooperation with ABC’s longstanding partner, Streck Transportges. mbH, who worked in tandem with ZAHORANSKY AG. Yulia Celetaria, Global Pharma Director, AirBridgeCargo Airlines said: “We have already witnessed an emerging demand for COVID-19 vaccine-related shipments, covering vials, ampules, injectors, as well as production equipment. It is amazing to realize that the equipment we transport today will facilitate the production of more secure plastic vials made of COP which we might be delivering later with COVID-19 vaccines

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Special Edition

inside, once the Phase 3 trials are finalized.

With 30 years of experience in the air cargo industry and in-depth knowledge of healthcare logistics, many customers call on our highquality services, capable fleet, extensive network and certified personnel to guarantee safe and reliable transportations, especially when it comes to special cargo.”

It is expected that more than 50% of COVID-19 vaccines will be air freighted with the major manufacturing regions being located in India, China, UK, USA and Europe.

AirBridgeCargo Airlines, as well as other carriers with Volga-Dnepr Group (the Group), has been gearing up its capabilities for vaccine transportation through temperature mapping of all freighters within the Group fleet, working under various options for vaccine delivery onboard all types of the Group freighters (Boeing 747F, Boeing 737F, Boeing 777F, An-124-100/150, Il-76TD-90VD) and regular shipments of other vaccines.

The company pays particular attention to stakeholder relations and organizes workshops with vaccine manufacturers, freight forwarders, ground handling agents, airports, container leasing providers and other stakeholders, as well as conducts internal training of Sales, Marketing, Operations and Procurement personnel.

6

Vessel Position at Terminals - (28.10.2020 To 04.11.2020)

Oct. 28th - Nov. 3rd 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

29/10

30/10

CCG

MOGRAL

31

SMI

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

26/10

27/10

TCXNEW

GLEN CANYON BRIDGE

114E

ONE

29/10

30/10

ECC

SSL SABARIMALAI

73

SHR1

VTZ, CCU, KRI, KAT

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

04/11

05/10

FME

TABEA

891E

FTD

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

Kattupalli ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

28/10

29/10

ECS

SSL CHENNAI

165N

HMM

Kolkata Kakinada, Haldia ,Paradip

28/10

29/10

CCG

MESSINI

107W

EMC

29/10

30/10

TCX

GLEN CANYON BRIDGE

114

29/10

30/10

ADHOC

ASIATIC MOON

035E

Kakinada Container Terminal ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

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

29/10

30/10

KAK>CMB

RHL ASTRUM

SH043R

SAMSARA

Halida, Colombo

ONE

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

30/10

31/10

KAK>CMB

MSC JANIS

SAMSARA

Halida, Colombo

GOL

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

30/10

31/10

ADHOC

BLPL BLESSING

2020E

BLP

2/11

3/11

SHTL

GRACE BRIDGE

044W

MSK

3/11

4/11

C13

OOCL ZHOUSHAN

225W

OIL

Tuticorin, cochin, Pipava, Kandla, Jebel ali

NCT, Krishnapatnam ETA

ETD

Service

Vessel Name

Voy

Agent/Line

26/10

27/10

CHX

Venetia

044E

Maersk & Safmarine

31/10

1/11

Maersk shuttle

Nagoya Tower

044w

Maersk & Safmarine,XCL

DAKSHINBHARATH GATEWAY TERMINAL / Tuticorin 27/10

28/10

ADHOC

MV.HANSA BREITENBURG

20035

LILY

COLOMBO, TUTICORIN, COLOMBO

29/10

29/10

BOX

MV.OEL SHARVAN

20172S

BTL

COLOMBO, TUTICORIN, COLOMBO

FAR SHIPPING

COLOMBO, TUTICORIN, COLOMBO

30/10

31/10

CTS

MV.VLADIVOSTOK

158S

NSICT - Mumbai ETA

ETD

Service

Vessel Name

28/10

29/10

MESAWA

28/10

29/10

28/10

Voy

Calling Ports

VCTPL, Vizag ETA

ETD

Service

Vessel Name

Voy

Agent/Line

Calling Ports

28/10

29/10

CVK

MSC ISHYKA

MSC

28/10

29/10

CHX

VENETIA

MSK

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

31/10

1/11

IEX

AL SAFAT

HLL

Colombo, Damietta Piraes Rotterdam, London

Agent/Line

Calling Ports

31/10

1/11

VKS

SSL KOCHI

SSL

RHONE MAERSK

MSK

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

1/11

2/11

CCG

MOGRAL

SIM

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

BMM

LIBRA

EMS

2/11

3/11

MDM

TRF KAYA

BTL

Colombo

29/10

INDUS

MSC TOMOKO

MSC

28/10

29/10

BLUENLE

MARIA SCHULTE

MSK

30/10

31/10

MIDAS

AS PATRICIA

MSK

30/10

31/10

AIM

NEW JERSEY TRADER

HLI

31/10

01/11

GIX

CAPE MORETON

PRD

31/10

1/11

IIX

YARAN

RIS

31/10

1/11

MWE

SPHENE

MSK

01/11

02/11

MECL

MAERSK SENTOSA

MSK

02/11

01/11

AS1

CONTI COURAGE

CCA

03/11

04/11

ME2

NORTHERN PRIORITY

MSK

03/11

04/11

IEX

BEA SCHULTE

SBG

Colombo, Damietta Piraes Rotterdam, London

04/11

05/11

MESAWA

MAERSK INDUS

MSK

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

04/11

05/11

BLUENLE

TIM S

NSK

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

Nhava Sheva, Mundra, Port Qasim, Singapore

Colombo, Damietta Piraes Rotterdam, London

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

APM Terminal - Mumbai ETA

ETD

Service

Vessel Name

29/10

30/10

PS3

29/10

30/10

27/10

Voy

Marshall Islands Registry Focuses on Enhancing Resources

Agent/Line

Calling Ports

ONE COMMITMENT

ONE

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

UIG

AS ROBERTA

BTL

28/10

NMG

NORTHERN DEMOCRAT

MSK

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

30/10

31/10

FM3

BREMEN BELLE

COS

Pipavav, Hazira, JNPT, Jebel Ali, Salalah, Port Said, Mersin, Ambarli Port...

29/10

30/10

MINA

XIN SHANGHAI

ONE

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

1/11

2/11

CIX3

OOCL HAMBURG

OCL

Jebel Ali, Mundra, Hazira, Nhava Sheva

1/11

2/11

CWI

AKINADA BRIDGE

GLD

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

31/10

1/11

ME3

MAERSK KALMAR

MSK

Port Qasim, Nhava Sheva, Pipavav, Colombo, T.Pelepas,Tanjung, Singapore...

30/10

31/10

ASX

NAGOYA TOWER

TWF

Jebel Ali, Mundra, Hazira, Nhava Sheva

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.

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Chennai

Port Wings News Network fter a banner year for the Republic of the Marshall Islands (RMI) fleet in 2019, with its best ever ranking from port State control (PSC) authorities globally, the RMI Maritime Administrator (the “Administrator”) remained focused on enhancing resources despite the challenges 2020 has brought to the shipping community.

The RMI had its best performance year with the Paris Memorandum of Understanding (MoU), 16th consecutive year with the United States Coast Guard’s Qualship 21 program, remained as one of the top performing flags on the Tokyo MoU, and improved its standing with the Australian Maritime Safety Administration (AMSA).

“COVID-19 restrictions have made it difficult to perform onboard inspections and this year will look very different for both port and flag States boarding ships worldwide,” said Brian Poskaitis, Senior Vice President, Fleet Operations for International Registries, Inc. and its affiliates, which provide administrative and technical support to the RMI Maritime and Corporate Registries.

Unable to maintain normal shipboard operations and inspection schedules due to COVID-19 restrictions, and with regulatory and compliance changes, the Administrator looked to proactively enhance resources to maintain its exemplary level of quality and safety. The RMI Registry quickly enacted guidance on remote inspections, virtual closings, and crew safety, while seamlessly transitioning operations between its 28 worldwide offices.

“The Administrator was well-positioned to adapt to these challenges,” said Poskaitis.

“Our technical and marine safety experts are spread across the world, and today provide more value to our clients than ever before.

In some cases, where superintendents cannot board vessels, flag State inspectors and technical operations teams have served as the eyes and ears of the operator in terms of monitoring compliance,” he continued.

Although the number of in-person RMI

Registry inspections is down compared to 2019, the implementation of a remote inspection program has led to positive results with more effective communication between crew and operators. Statistics on past performance and the RMI Critical Items Checklist have proven to be excellent tools for optimizing these efforts during the pandemic and provide additional value to operators and the crews on board during this uncertain time.

With the goal to provide real value to the fleet, the Administrator has focused on strengthening and expanding technical resources worldwide to enhance local expertise. The focus on providing local expertise throughout Australasia began in 2018, when Captain Sascha Dyker was promoted to Fleet Operations Manager.

Since then, there has been a concentration on increasing capacity and quality within the region. To do so, the Administrator has increased the number of inspectors, enhanced onboard training where possible, and deployed an in-house inspector to oversee operations in Australia. RMI inspectors, based in key ports around Australia, are familiar with local port State control (PSC) authorities and communicate closely with PSC when a problem arises.

In October 2020, another step forward in strengthening resources in the region was taken by hiring Alexander SchultzAltmann, formerly of AMSA. Mr. SchultzAltmann brings significant expertise to the Administrator on vessel inspections and quality operations. As the former Chairman of the Tokyo MoU Committee on PSC, SchultzAltmann also brings a wealth of knowledge on PSC procedures and is actively engaged in consulting on training programs, technical operations, and preparation for the upcoming virtual Tokyo MoU meeting.

“This year is unique, but nothing has deterred us from maintaining our high-quality standards fleetwide,” said Captain Sascha Dyker. “The Registry continues to be pro-active in ensuring global resources are available to our owners and operators; having additional resources in Australia has already produced benefits to the RMI-flagged feet,” he concluded.

Oct. 28th - Nov. 3rd Issue

Russian Railways Plans to Increase Volumes Transported by Electric Traction Chennai

Port Wings News Network ‘Russian Railways gives priority to electrification of railway lines when implementing green technologies’, said Sergey Kobzev, Deputy Managing Director - Chief Engineer of Russian Railways, at the plenary discussion ‘Green Swan Solutions. How Railways Set Global Eco Trends?’ of the international transport and logistics forum PRO// Motion.1520.

‘We plan to increase the volume of cargo transportation by electric traction and give priority to electrification of the most busy freight routes that are currently operating on diesel traction’, said Sergey.

Transfer to electric traction along with the planned increase in cargo turnover by 2025 will reduce diesel fuel consumption by 20% (by 191,000 tons per year) and reduce greenhouse emissions by 5.6 % (458,000 tons of CO2 eq.).

According to Sergey Kobzev, train traction is the main cost driver (as of 2019 - 86.4 %) of fuel and energy consumption of Russian Railways.

That is why energy savings of train traction is the most priority.

‘Today, more than 4,000 locomotives are equipped with systems that generate the train movement algorithm with minimal energy consumption and can operate in auto drive. This year we will complete the implementation of this project on the entire railway network,’ said Kobzev.

The Company has approved an Energy Strategy and Energy Savings and Efficiency Improvement Program. According to these documents the technology for driving freight trains on energy-saving schedules has been introduced since 2012.

Russian Railways to Increase the Speed of Transit Container Trains to 1,400 km/day By 2024 Despite the significant increase of container traffic between China and Europe this year, it is necessary to keep increasing the average traffic speed. This will make it possible to transfer shipments of the world’s leading manufactures to rail transport. This opinion was expressed by First Deputy Managing

Director of Russian Railways Sergei Pavlov at the panel discussion ‘Let’s Come Together. How to Improve the Efficiency of International Railway Transportation in the 1520 Area?’ of the international transport and logistics forum PRO//Motion.1520.

According to Sergei Pavlov, the target for the transit speed of a container train for 2024 is 1,3501,400 km/day (1,058 km/day for 2019). Its achievement can be supported by the optimization of parking time and an increase in the distance of the maintenance on the warranty areas.

Pavlov said that the tariff component is one of the key factors of efficient transportation, together with the agreed tariff policy pursued by the railroad workers of

the 1520 area. He also emphasized that special tariffs have been set on Russian railways along the main transit routes long ago. All this taking into account tariffs applied on the adjacent railways provides a competitive through rate on the entire route.

Another source of competitive advantages for any company, according to the First Deputy Managing Director of Russian Railways, is digital technologies.

‘Being consumers of services and goods, we are already accustomed to the fact that the convenience of purchases and the quality of services directly depend on the degree of digitalization of customer - seller communication. Russian Railways is actively working in this direction, creating digital transit corridors’, he said.

According to Sergei Pavlov, international cooperation continues to remain an excellent tool for promoting both the advantages of railway transport in general and specific transport products.

‘Together with our partners in the 1520 area, we make a lot of efforts to preserve the technological integrity of the railways, improve the legal terms of transportation, conduct a dialogue on multilateral platforms with European and Chinese colleagues aimed at creating a transcontinental service that will meet all demands of our clients’, said Sergey Pavlov.

Rail transport is the most environmentally friendly transport in Russia. The share of the railway transport of total greenhouse gas emissions is about 1.8% (share of Russian Railways is less than 1%).

Over 85% of passengers and 86% of cargo are transported by electric traction.

International transport and logistics forum PRO//Motion.1520 was held online on October 2223. The event is organized by the publishing house Gudok.

Atran Airlines Works in Tandem With Volga-Trucks To Complete A Complex Multi-Modal Delivery Chennai

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Port Wings News Network TRAN Airlines (ATRAN), an express cargo carrier within Volga-Dnepr Group (the Group), has recently accomplished a complex multimodal delivery of spare parts for Porus Burner Unit. The delivery was organized in partnership with SIS Logistik GmbH from Frankfurt (Germany) to Perm (Russia) and included various transportation modes.

Once trucked from Frankfurt to Köln, the equipment was loaded onto ATRAN’s Boeing 737-400SF to be further safely transported to Moscow Vnukovo International Airport, where the carrier is based.

With the final destination being Perm, which lies within 1,154 km from Moscow, trucking delivery has been chosen as the most preferable one. Being the part of Volga-Dnepr Group, ATRAN’s specialists have decided in favour of Volga-Trucks which has been part of the Group since 1994 and specializes in road feeder services across Russia, the CIS, the EU, including to

major airports using specialized transport solutions. Volga-Trucks’ experienced team has completed internal customs transit and safely delivered the equipment to Perm.

‘This is a great example of VolgaDnepr’s Cargo Supermarket concept in action and the first time we have organized internal customs transit

in cooperation with Volga-Trucks.

Being experienced in developing various schemes for air freight delivery with the usage of the Group fleet, we are now moving one step further to foster multi-modal transportations using the expertise of the specialists within ATRAN and Volga-Trucks company’,

- commented Vasiliy Zhukov, Commercial Director of ATRAN Airlines.

Ildar Kamaletdinov, Head of Sales of Volga-Trucks, commented: “Completing another delivery under Cargo Supermarket concept is a great achievement and the result of the teamwork which at first glance seems like an easy task. Although there are hours of work behind the scenes and it is all worth it once you accomplish another multimodal transportation together with one of the Group’s carrier.

We have been enhancing our service quality, expanding our fleet and digital capabilities to guarantee fast, reliable and safe trucking options”.

The whole process of a complex delivery was orchestrated by ATRAN’s team of specialists who masterminded the scheme, transportation modes and monitored the documentation flow.

7

NEWS - BITS MPA-ABS MoU to advance R&D activities in maritime Singapore

The Maritime and Port Authority of Singapore (MPA) signed a memorandum of understanding (MoU) with ABS today, to renew its partnership in maritime research, development and innovation. The signing was witnessed by Mr Chee Hong Tat, Singapore’s Senior Minister of State for Transport and Foreign Affairs, at the Singapore Maritime Institute’s SMI Forum 2020 themed “Future of Port and Shipping”, MPA and ABS said in their joint media release.

Under this agreement, MPA and ABS will collaborate on projects relating to decarbonisation, AI-driven decision support tools, predictive maintenance, cybersecurity and other cutting-edge technologies critical to the port and ships of the future. Both parties will also work together to develop the nextgeneration maritime workforce in Singapore, by rolling out relevant industry attachments and training programmes, as well as studying the impact of new technologies on the workforce and efficiency of augmented/virtual reality tools when used in training environments.

Ms Quah Ley Hoon, Chief Executive of MPA, said, “For Maritime Singapore to thrive, we must continue to maintain a vibrant ecosystem where companies see value to base its activities. I am glad ABS views Singapore as a strategic hub to entrench its maritime R&D capabilities in the region.

This MOU strengthens our partnership with ABS, who has a long-standing presence in Singapore. I look forward to both organisations contributing towards Singapore’s growth as a leading international maritime centre through knowledge creation and technology applications”.

Russian President Vladimir Putin signs order on merging Sevmorzavod into USC

Russian President Vladimir Putin signed an order on merging of Sevastopol Marine Plant named after Sergo Ordzhonikidze into United Shipbuilding Corporation. Order dated 21.10.2020 (No 635) “On some issues of the joint stock company “United Shipbuilding Corporation” has been published on the internet portal for legal information.

“To accept the proposal of the Government of the Russian Federation on converting ... Sevastopol Marine Plant named after Sergo Ordzhonikidze (the city of Sevastopol) into a joint stock company with 100-pct of federal ownership for further contribution of 100% of shares into the authorised capital of United Shipbuilding Corporation (the city of Saint-Petersburg) as a payment for the additionally issued shares in the framework of the company’s authorized capital increase”, says the document. RF Government is instructed to ensure implementation of the required activities with 18 months. The Order comes into effect on the day of its signing.

Meeting on implementation of project for development of Kaliningrad seaport infrastructure held in Pionersky

Roman Balashov, Deputy Plenipotentiary Representative of the Russian President in the North-Western Federal District, and Vladislav Stavitsky, Deputy Head of Rosmorrechflot, visited the construction site of the sea terminal for receiving cruise ships and cargo and passenger vessels of the Kaliningrad seaport in Pionersky and held a meeting on the progress of the project during their working trip to Kaliningrad.

According to Rosmorport, the meeting was attended by Vladislav Rassykhin, Deputy General Director for Capital Construction of FSUE “Rosmorport”, Tatyana Mikhailova, Deputy Director for Construction and Operations of the North-Western Basin Branch of FSUE “Rosmorport”, and Andrey Moshkov, Deputy Director of the North-Western Basin Branch – Head of the Kaliningrad Department, and representatives of contractors.

Andrey Moshkov informed the participants of the meeting about the current status of the project, the pace of its implementation in difficult conditions of the sanitary-epidemiological situation in the region, caused by the spread of coronavirus infection.

CUSTOMS EXCHANGE RATES Notification No.99/2020 (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 16th Oct. 2020

RATE (INR) Import Export 53.55 200.95 56.85 11.10 11.80 87.80 9.65 247.80 50.10 8.05 97.15 20.80 20.20 55.00 4.55 8.45 82.00 9.55 20.65 74.25 71.05 6.60

51.25 188.60 54.85 10.75 11.35 84.70 9.30 232.35 47.85 7.80 93.85 19.55 18.95 53.10 4.30 8.15 78.75 9.00 19.35 72.55 68.40 6.20

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

Mansukh Mandaviya launches Development of Indigenous Software Solution for VTS and VTMS New Delhi Port Wings News Network inister of State for Shipping (I/C) Shri Mansukh Mandaviya e-launched the development of Indigenous Software solution for Vessel traffic services (VTS) and Vessels Traffic Monitoring Systems (VTMS) in New Delhi on 20 October 2020.

In the inaugural address, Shri Mandaviya put emphasis on the development of indigenous system as per the requirement of the country instead of relying high costing foreign made software solutions for Traffic Managements of the Indian Ports.

Shri Mandaviya said that aligning with the vision of ‘Aatma Nirbhar Bharat’ of Prime Minster Shri Narendra Modi, ‘Made In India’ VTS and VTMS software will pave the way for ‘Make for the world’ vessel traffic management systems.

VTS and VTMS is a software which determines vessel positions, position of other traffic or meteorological hazard warnings and extensive management of traffic within a port or waterway. Vessel Traffic Services (VTS) contribute to safety of life at sea, safety and efficiency of navigation and protection of the marine environment, adjacent shore areas, work sites and offshore installations from possible adverse effects of maritime traffic.

Vessels Traffic Management Systems are installed in some of the busiest waters in the world, and are making valuable contribution to safer navigation, more efficient traffic flow, and protection of the environment. Traffic flow in busy approach routes, access channels, and harbours can be coordinated safely, in the best interest of port and its users. Incidents and emergency situations can be dealt with quickly. Data from traffic movements can be stored and used as reference information for port administration, port authorities,

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coastguards and search and rescue services.

VTMS is mandatory under IMO Convention SOLAS (Safety of Life at Sea). The VTMS traffic image is compiled and collected by means of advanced sensors such as radar, AIS, direction finding, CCTV and VHF or other co-operative systems and services. A modern VTMS integrates all of the information into a single operator working environment for ease of use and in order to allow for effective traffic organization and communication.

Presently, India has approximately 15 VTS systems operational along the Indian Coast and there is no uniformity of VTS software as each system has its own VTS software.

With the indigenous software development in progress the recent positive cooperation with office of Director General of Light and Lighthouses (DGLL) on joint development of the indigenous VTMS software development as part of the Aatmanirbhar Bharat initiative will strengthen the cooperation in this area. At the same time, it will benefit the port sector, both in India and region. It is expected that a prototype system will be developed in Tenmonth time for testing and to operate as a parallel system until it is robust for day to day operations.

Implementation of National Maritime Domain Awareness programme of Indian Navy and NCVTS by DGLL – a real time, interactive aids to navigation system for coastal shipping shall become feasible with Indian VTS software at low cost.

Ministry of Shipping has sanctioned an amount of Rs. 10 Crore to IIT, Chennai for development of indigenous VTS software.

Senior officials of the Ministry of Shipping, Chairpersons of the Major Ports and representative of IIT, Chennai were also present through virtual means during the event.

FumiGATiON SeRViCeS pVT LTD.,

Oct. 28th - Nov. 3rd Issue

MSC Cruises To Implement Next Generation Air Sanitation System For Global Cruise Industry Chennai

Port Wings News Network SC Cruises will be the first cruise line in the world to install a new and advanced innovative technology sanitation system called ‘Safe Air’ to improve further the quality and cleanliness of the onboard air for its guests and crew.

‘Safe Air’ will be fitted on MSC Seashore, one of the largest and most technologically advanced ships ever built in Italy and currently under construction at shipbuilder Fincantieri’s Monfalcone yard and set to be delivered in July 2021 and be the first of two ‘Seaside Evo’ Class ships.

The announcement is another step forward in MSC Cruises’ ongoing commitment to health and safety that was most recently demonstrated in August when it became the first major cruise line in the world to return to sea with a new and comprehensive health and safety protocol approved by a range of national and regional authorities in Europe following the temporary halt of the global industry in March as a result of the pandemic ashore.

The ‘Safe Air’ next-generation sanitation system is based on the technology of UV-C lamps which are type C ultraviolet rays applied in combination with the ship’s air conditioning system, whereby air flow is radiated at source with a short wavelength light that hits organic particles and prevents the circulation of air pollutants such as viruses, bacteria and mould.

The Institute provides businesses with scientific support to develop innovative technological solutions for the control of virus infections, which is particularly relevant today given the current global pandemic.

MSC Cruises’ effective response to the health challenges faced by the worldwide

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travel and tourism sector has been to set the highest safety standards with a health and safety protocol that has been in operation since 16 August when its ship MSC Grandiosa resumed 7-night sailings in the West Mediterranean. She has now completed nine voyages with more than 16,000 guests and has been joined this week by MSC Magnifica with longer and enriched 10-night cruises in the West and East Mediterranean.

The new health and safety protocol, in fact, went beyond the guidance from the relevant authorities in the countries where the ships sail to set a new standard for the cruise industry, as well as other aspects of travel, tourism, leisure and hospitality, particularly with respect to universal testing.

A Blue-Ribbon COVID-19 Expert Group was also established that comprises a panel of internationally respected highly qualified professionals whose role is to inform and review the MSC Cruises’ protocol to ensure that the cruise line’s actions are appropriate, effective and informed by the best available science and health practices.

MSC Seashore – like all of the Company’s new vessels - will also feature some of the latest technologies and solutions available to reduce her environmental footprint. These notably include a state-of-the-art selective catalytic reduction (SCR) system and a next-generation advanced wastewater treatment (AWT) system.

SCR reduces nitrogen oxide emissions by 90 per cent through advanced active emissions control technology and an AWT systems take wastewater through a comprehensive process of purification and very fine filtration that transforms it into nearly tap-water quality.

MSC Seashore will also be fitted with shore-to-ship power capabilities that allow the vessel to connect to local power grids while at berth, further reducing air emissions.

36

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