An inter-ministerial meeting in New Delhi on Thursday, chaired by Union Minister of Commerce and Industry Piyush Goyal, focused on addressing significant challenges faced by exporters, including rising freight costs, shipping delays, container shortages, and port congestion. With ongoing geopolitical tensions impacting global trade, the meeting aimed to implement immediate solutions to alleviate the burdens on Indian exporters.
Goyal emphasised that the concerted decisions made during the meeting would lead to a considerable reduction in shipping costs, improved availability of containers, and faster evacuation of export consignments. Among the key announcements, the Container Corporation of India (CONCOR) revealed that it would allow empty containers to be stored free of charge for up to 90 days at the Jawaharlal Nehru Port Authority (JNPA). Additionally, loading and handling charges were significantly reduced, with storage rates for containers dropping from ₹9,000 to ₹2,000 for 40-foot containers and from ₹6,000 to ₹1,000 for 20-foot containers.
In a collaborative effort, stakeholders were urged to adopt a “whole of the government” approach to effectively tackle the issues exporters face. Goyal highlighted the importance of engaging multidisciplinary teams, especially in light of the Red Sea Crisis and other international conflicts affecting trade routes.
The Shipping Corporation of India (SCI) announced plans to charter container ships to increase capacity, adding 9,000 twenty-foot equivalent units (TEUs) immediately and acquiring five additional container ships for further enhancements. The SCI also committed to embedding all transportation and handling charges within the delivery orders to streamline costs for shippers.
Secretary of the Ministry of Ports, Shipping and Waterways, T.K. Ramachandran, noted that port capacities have already been enhanced by 2.3 million TEUs. He stated that private container yards would now be required to register with GST authorities to eliminate cash transactions that could lead to illegal profiteering during times of shortage.
Unmesh Sharad Wagh, Chairman of JNPT, assured that measures were underway to eliminate congestion and traffic delays near JNPA. Initiatives include simultaneous container scanning at the port to speed up clearances and reduce turnaround times for exporters.
The Civil Aviation Secretary also pledged to expedite air cargo movements to support exporters further, while Revenue Secretary Sanjay Malhotra confirmed that the Central Board of Indirect Taxes and Customs (CBIC) would implement simultaneous screening of two twenty-foot containers to expedite customs clearance processes.
To provide ongoing support to exporters, a multidisciplinary help desk is set to be established, facilitating faster resolution of issues as they arise. Representatives from the Federation of Indian Export Organisations (FIEO) expressed their satisfaction with the current availability of containers and welcomed the government’s proactive measures aimed at reducing congestion, delays, and freight hikes.
