Ocean freight is expected to increase again in june month ,Exporters to get tax refund within 6–10 days, Shipping lines plan to charge no-show penalty & more weekly insights from PORTEXCEL

Ocean freight is expected to increase again in june month ,Exporters to get tax refund within 6–10 days, Shipping lines plan to charge no-show penalty & more weekly insights from PORTEXCEL

A maritime news and analysis weekly, to help you make informed decisions in the weeks ahead. Over 1000 senior executives and officials from the Export, Import, Trading House and Manufacturing industries benefit from the insights provided by portexcel.com

What is happening this week?

India Market watch

  • In a recent development, Import process has further been simplified for Air Cargo. As per public notice issued by ACC Sahar, Mumbai dated 12/5/17, It has clarified that there is no need for the final signature from customs officer in OOC print out.
  • Few shipping lines are now proposing that they will charge a penalty in case of “no show” on the confirmed export bookings.
  • Feeder Operator like Samudra and OEL are planning to increase rates from 1st June on trade between Singapore to India. It will impact all NVOCC operators operating 7 Main line feeder connection from various ports in India, the maximum increase is likely in Singapore — Kolkata sector.

Container Freight Rates Pulse

  • Exporters to get tax refund within 6–10 days. Union commerce minister Nirmala Sitharaman assured the exporters that they would get their refund tax claims within 6 to 10 days under new goods and services tax (GST) regime. “90 per cent of the advanced paid money will be refunded within 6 to 10 days. Post which, an interest of six per cent would be given for any delay by the government to exporters,” the minister said in New Delhi.
  • GST rollout may turn Nagpur into India’s warehouse. Nagpur is in the dead centre of the country, at the crossroads of a busy road and rail corridors that bisect India east to west and north to south. Now, India is on the cusp of a sweeping tax overhaul that could turn the city of 2.4 million people into one of the nation’s biggest logistics hubs.

Container Shipping Sailing

  • CMA CGM launched second Midas container service, which will connect India and the Middle East with Southern and Western Africa through the Indian Ocean. The container carrier offers its customers a new service to Africa, which will reduce the transit time and will give new ports of call to accompany its classic Midas service. The Midas 1 and Midas 2 services will be operated with two partners, through a VSA that will allow the deploying of 16 ships on 21 ports of call on both services.
  • French liner CMA CGM has returned to profit in Q1 2017 following lower costs, an acquisition and improvement in freight rates. CMA CGM posted a US$86 million net profit, has made a turnaround from $452 million consolidated net loss last year. Its acquisition of Singapore-based container ship operator APL, which it completed less than a year ago in 2016, contributed $26 million to revenue growth of 36%.

Shipping Infrastructure Roundup

  • Visakhapatnam Port Trust (VPT) is planning to set up a multi-purpose warehousing zone in association with the National Highways Authority of India (NHAI) at a cost of Rs 403.07 crore to cater to the growing cargo from the major port. VPT is among the first major ports to tie up with NHAI for the development of such a multi-purpose warehousing zone in the country. The proposed MMLP is expected to handle container cargo of around 57,474 TEUs and breaks bulk of 1.25 million tonnes, once the project is completed.
  • Gadkari invites investors to India’s Infrastructure sector. The minister of road transport and highways and shipping made out the invitation in his address to the London Stock Exchange (LSE) after “opening the market for trading”. Besides, the National Highways Authority of India (NHAI) listed its rupee denominated masala bonds at the LSE. The NHAI’s initial benchmark issue of Rs 1,500 crore was up-sized to Rs 3,000 crore by 3.00 p.m. (GMT) at a price yield of 7.30 per cent annually. The transaction marks the largest ever five-year issuance and the largest inaugural transaction in masala bond market.

Global Market Buzz

  • Project Aims for World-First with Autonomous Ship System. A team of partners are jointly developing the world’s first system of autonomous ships in a project called One Sea, which aims to enable fully remote-controlled vessels in the Baltic Sea for three years’ time and achieve autonomous commercial maritime traffic by 2025.Founded in 2016, the project is led by DIMECH (Digital, Internet, Materials & Engineering Co-Creation), with support from MacGregor, part of Cargotec, the association of Finnish Marine Industries and the Finnish funding agency TEKES.
  • Qingdao New Qianwan Container Terminal (QQCTN) in China has become Asia’s first fully automated port terminal after servicing its first container ship. After three years of development, the 5.2 million TEU terminal has completed its first fully automated phase to upgrade two berths across 660 metres of quay with seven STS cranes operated by remote control, 38 automated stacking cranes (ASCs) and 38 battery-powered automated guided vehicles (AGVs).The terminal is controlled by laser scanners and positioning systems that can locate the four corners of each container to accurately clamp and move them onto driverless trucks. This technology allows the terminal to operate in complete darkness during the night, which has helped reduce the terminal’s labour costs by 70% and increase efficiency by 30%.

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