TIOL-DDT 2639 · Monday, 13 July 2015 · story 5 of 6

Augmentation of infrastructure at JNPT and at Air Cargo Complex

AN interactive session with trade and stakeholders on "Ease of Doing Business - Single Window clearance" was held in Mumbai recently with Mr.Jayant Sinha, Minister of State (Finance) chairing the session. Several issues were discussed in the meeting.

Issue: Multiple/non-transparent charges by Shipping Lines/Shipping Agents under various heads such as Off-dock charges.

The Indian Merchants Chambers suggested that Multiple/non-transparent charges by Shipping Lines/Shipping Agents under various heads such as Off-dock charges, Equipment Imbalance Charges, Washing Charges, Port Congestion Surcharge etc, should be done away with and the Freight must include all the charges. They made a strong plea for transparency in shipping line charges and that freight charge must include all other miscellaneous charges citing the example of Sri Lanka where appropriate legislation has been enacted whereby recovery of terminal handling charges and other charges by Shipping Lines and Shipping Agents have been discontinued.

Representative from CSIA stated that they have given a link in their website regarding the scale of rates and all charges are transparent. JNPT informed that 13 shipping lines have forwarded their rate-lists to them so far and the rest are being pursued.

The Minister observed that this issue needs to be taken up with the Shipping Ministry and accordingly requested IMC to send a detail letter to the Ministry.

Issue: Delay in shifting of containers from JNPT by Rail/Road to CFS or other destinations.

BCHAA highlighted the above issue and submitted that such delay in shifting of containers result in payment of demurrage charges, apart from the delay in clearance of the imported goods and consequent increase in transaction costs.

CSIA replied that elsewhere in the world, only port clearances take place and there is no global practice of CFS-delivery concept, hence there are no global best practices to follow.

Since this issue also pertains to Shipping Ministry, the Minister advised BCHAA to include this issue also in their reference to the Ministry.