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JNPT pavilion gets excellent response at Magnetic Maharashtra

Vol. XVII-No. 20

n BSN Network / Mumbai NPT pavilion at the Magnetic Maharashtra Convergence 2018 met with excellent response from dignitaries who attended the 3-day Convergence 2018 as well thousands of delegateswho attended the event in Mumbai. Magnetic Maharashtra Convergence 2018 was


(Shri Neeraj Bansal, Chairman in-charge(JNPT) signed MoU with BMCTPL in the presence of Hon’ble Chief Minister of Maharashtra, Shri Devendra Fadnavis)

THURSDAY, 08 MARCH 2018 organised from February 18-20 at BKC Grounds in Mumbai, to attract investment in the state. An investment agreement between the State of Maharashtra with JNPT for the Fourth container terminal was exchanged between JNPT and Bharat Mumbai Container Terminals Pvt Ltd. (SPV of PSA) in the presence of the Hon’ble Chief Minister of Maharashtra, Shri Devendra Fadnavis.Total Investment is of Rs. 7915 Croreswhich is being implemented in two Phases. i.e Phase–I and Phase–II. Rs. 4719 Crores in Phase-I has already been invested and put into operations, and investment of Rs. 3196 Crores is expected in Phase-II by 2022 JNPT pavilion showcased investment related projects like the Fourth Container Terminal, JNPT SEZ, Tank farms, the upcoming dry ports at Jalna Contd. on page 4

Price: Rs. 10/-

CMA CGM to revise Swahili Express service rotation

n Agencies CMA CGM informs that its Swahili Express service operated between India/Middle East and East Africa changes as follows: l Shorter voyage duration: 28 days with 4 vessels up to 3,400 TEU nominal capacity l Djibouti Northbound call is cancelled: last vessel is m/v NORO voy. 2322SN, expected at Djibouti berth on March 10th, 2018 l Kenyan export cargo to Northern Europe, the Mediterranean and the USA is routed via Colombo (Sri Lanka) with reliable transit times l Rotation: Nhava Sheva - Mundra - Khor Fakkan Jebel Ali - Mombasa - Dar Es Salaam - Nhava Sheva.





It was with Harley Davison. Now the troubles are gripping everywhere. The US plan to tax steel and aluminium imports may not hurt India’s exports much but it may prompt countries like China to divert a part of their supplies to India, raising chances of dumping here, industry and analysts said. Also, any ensuing trade war involving large players like China and the European Union that would seek to retaliate against the US curbs will potentially dent global trade growth and impact India as well, they said. The government is already closely tracking US trade policies to gauge if the largest economy is going to impose curbs on products — including gems and jewellery, garments and textiles, and pharmaceuticals — where India has huge interest, a senior official told FE. It is also examining if the Trump administration’s move to impose a duty of 25% on steel and 10% on aluminium imports is consistent with the US commitments under the World Trade Organisation (WTO). India’s steel and iron supplies account for just 4% of its overall goods exports to the US and aluminium just over 1%. Nevertheless, the tax casts a shadow over India’s growing supplies of certain steel and aluminium products in recent years and also hurts its policy to diversify its markets. India’s iron and steel exports to the US jumped to $2,352 million in 2016-17, against $1,638 million in the previous year. Such exports to the US touched $1,319 million in the April-November period of the current fiscal, up almost 43% from a year earlier. India’s aluminium exports to the US rose over 80% to $358 million between April and November this fiscal, albeit on a small base. “If other countries retaliate against the US move, a trade war will follow, which will adversely affect the growth prospects of world trade. And that’s a worry. Also, some amount of diversion of items like steel from countries like China can’t be ruled out,” said AjaiSahai, director general of FIEO. Global trade in goods will continue growing above trend during the second quarter, the WTO’s quarterly outlook indicator showed last month. “The recovery of 2017 seems to be extending into the first quarter of 2018 at least, based on things like strong export orders, strong air freight and container shipping and other indicators. So it seems like there hasn’t been any slackening of momentum,” it said. The WTO has forecast overall growth in world goods trade will most likely be around 3.2%, compared with an estimated 3.6% in 2017. “In India it would not have significant impact as of its total steel imports, US imports only 2% and the market for steel consumption in India is growing,” said Sanak Mishra, former managing director, SAIL’s Rourkela Steel Plant. According to Essar Steel, the US decision to levy tariff across board on steel products is not compliant with WTO regulations.

National Waterways

n BSN Network / New Delhi The Government has got a budget allocation of Rs. 228.00 crore for the development of Inland waterways transport, which also includes Rs. 126.00 crore for North Eastern Region, for the year 2017-18. The proposal for raising Extra Budgetary Resources (EBRs) of Rs. 1,000 crore through bonds was approved by Ministry of Finance in 201617. Out of Rs 1000 crore, Rs. 340.00 crore was raised during 2016-17. Remaining amount of Rs 660.00 crore has been raised in the Financial Year 2017-18. Out of 111 National Waterways declared by the




National Waterways Act, 2016, National Waterway-1 (Ganga-Bhagirathi-Hooghly river system from Allahabad to Haldia), National Waterway-2 (River Brahmaputra from Dhubri to Sadiya) & National Waterway-3 (West Coast Canal from Kottapuram to Kollam along with Udyogmandal and Champakara Canals) are already operational. Contd. on page 3


The CMA CGM BIANCA, largest ship to call in Cameroon (Kribi) n Agencies l CMA CGM BIANCA (8721 TEUs), 335 meters long, becomes the largest ship to call in Cameroon l A significant strengthening of our offer in the region with 4 new weekly services at Kribi l Strategic hub to connect Democratic Republic of Congo and Gabon (feeder service) l New multimodal opportunities from Kribi to domestic destinations in Cameroon, Chad and Central African Republic The CMA CGM Group, a leader in maritime transport, announced the start of its commercial operations at the Kribi Container Terminal. On this occasion, the CMA CGM BIANCA, 8721 TEUs and 335 meters long, became the largest container ship to call in Cameroon on 2 March 2018. 4 new weekly direct services The CMA CGM Group is deploying four new weekly direct services in Kribi to northern Europe, the Mediterranean and Asia. The services concerned are: l EURAF 4, connecting the Mediterranean and West Africa with the following rotation: Marseilles, Barcelona, Valencia, Casablanca, Algeciras, Tangier, Dakar, Lome, Bata, Malabo, Apapa, Tincan, Onne, Kribi, Port Gentil, Libreville, Douala, Algeciras, Marseilles l EURAF 5, connecting Northern Europe and West Africa with the following rotation: Antwerp, Le Havre, Lisbon, Algeciras, Pointe Noire, Luanda, Kribi, Douala, Abidjan, Algeciras, Antwerp l ASAF, linking Asia and West Africa with the following rotation: Qingdao, Xingang / Tianjin, Busan, Shanghai, Ningbo, Nansha, Tanjung Pelepas, Singapore, Pointe des Galets, Cape Town, Pointe Noire, Kribi, Luanda, Cape Town, Port Kelang, Singapore, Qingdao l West Feeder Service, connecting Kribi, Port Gentil, Boma, Matadi and Libreville Thanks to its strategic positioning, the Kribi hub will also significantly reduce transit times. Kribi, a major hub in West Africa for the CMA CGM Group Located in Cameroon, a growing market, the Kribi terminal aims to act as a major port in Cameroon in addition to Douala and as a hub by offering the Cameroonian supply chain a modern infrastructure adapted to the new generation of transoceanic vessels. The opening of Kribi is part of the strategy implemented by Rodolphe Saadé, Chairman and Chief Executive Officer of the CMA CGM Group, which aims to develop the Group’s terrestrial and door-to-door activities in order to offer its customers a quality global transport offer backed by CMA CGM’s global maritime network. The Kribi container terminal is jointly operated by CMA CGM, Bolloré Transport & Logistics and the Chinese group CHEC as part of a 25-year public-private partnership with the State of Cameroon.

Untapped Opportunity n BSN Network / Mumbai The government of Nepal has failed to utilise land leased at Kolkata and Haldia ports in India for screening and storing export and import cargoes. Nepal Transit Warehousing Company (NTWC), a government entity under the Ministry of Commerce, leased 4,886 square metres of land at Kolkata Port about 45 years ago. Likewise, it leased 6,985 square metres at Haldia Port about 34 years ago. The property was acquired to facilitate Nepal’s third country exports and imports besides providing warehouse space. However, no warehouses have been built at either port. Kolkata Port handles the highest amount of Nepal’s ocean freight shipments to

and from third countries. Although NTWC maintains a branch office on the leased land at Kolkata Port which is staffed by about half a dozen employees, the property is not being used. NTWC also has a branch office at Haldia Port which performs tasks like clearing and forwarding cargo. However, the office does not handle cargo like chemical fertiliser, coal, gypsum and crude oil imported from third countries. The office has not been able to handle storage for bulk cargo that requires huge space. The government of Nepal has been paying Rs50,000 per year for the land in Kolkata and Rs127,000 per year for the land in Haldia in rentals. Contd. on page 19



A.P. Møller - Mærsk A/S receives regulatory approval for divestment of Maersk Oil

n Agencies The Danish Energy Agency has issued its approval of A.P. Møller - Mærsk A/S’ [A.P. Moller - Maersk’s] sale of Mærsk Olie & Gas A/S [Maersk Oil] to global oil major Total S.A. [Total], including the conditions for such a transfer. As part of the agreement Total will take over Maersk Oil’s organisation, portfolio, obligations and rights with minimal pre-conditions. The Danish Energy Agency’s approval of the transfer contains conditions, including that A.P. Moller - Maersk, as seller, assumes a secondary liability for the decommissioning of existing Danish offshore facilities corresponding to Maersk Oil’s 31.2 % interest in the Danish Underground Consortium, should Total be unable to cover such costs. The information in this announcement does not change A.P. Moller - Maersk’s

National Waterways Contd. from page 2 In addition, in National Waterway-4 (KakinadaPuducherry canals along with Godavari to Krishna rivers) fairway development works in Vijayawada – Muktyala stretch of river Krishna have commenced under the Phase-I. Work for installation of floating terminals at four locations has commenced. A Memorandum of Understanding (MoU) has been signed between Inland Waterway Authority of India (IWAI), Govt. of Odisha, Paradip Port Trust and Dhamra Port Company Ltd. for the development of NW-5 (East Coast Canal integrated with Brahmani river and Mahanadi delta rivers). As per the feasibility reports completed so far, 36 new NWs have been found technically viable. Out of these 36 NWs, developmental activities have been initiated on 8 most viable NWs in 2017-18.

previous financial guidance for the financial year 2018. The agreement to sell Maersk Oil to Total was announced on 21 August 2017, subject to regulatory approval from relevant authorities. As previously communicated, the closing of the transaction is expected to take place during first quarter 2018.


n Agencies Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Junichiro Ikeda) has introduced an upgraded stowage planning system for car carriers called “MOL-CAPS”. The MOL-CAPS system generates a voyage-by-voyage stowage plan that determines where to stow specific vehicles in consideration of different factors, such as the onboard structure, the type of vehicles being transported, and calling ports.


MOL Introduces Cutting-edge Stowage Planning System for Car Carriers

- Aimed at Optimizing Loading for FLEXIE Nextgeneration Car Carriers Contd. on page 4




Warehousing space leasing rockets by 85% across key Indian markets: Knight Frank Warehousing Report 2018

n BSN Network / Mumbai Manufacturing, 3PL Knight Frank India launches and retail sectors drive the third edition of its flagship India warehousing Warehousing Market Report 2018. growth, sector attracts massive The report unravels the present scenario of the Indian logistics institutional funds sector along with providing a definitive view on the country’s top warehousing markets which include Mumbai, NCR, Bengaluru, Chennai, Pune, Hyderabad and Ahmedabad. Key Takeaways: l Leasing transactions in the warehousing sector across key Indian markets burgeoned to 25.7 mn sq. ft in 2017, recording 85% spike YoY l The National Capital Region (NCR) attracted the highest footprint in terms of transactions in the warehousing space with leasing of 6.5mn sq.ft in 2017, followed by Mumbai at 5.2 mn sq. ft. l Mumbai recorded the largest YoY growth over other key Indian markets with a staggering 231% jump in warehousing space leasing in 2017. NCR followed closely with 129% YoY increase l Bengaluru (90%), Ahmedabad (86%) and Hyderabad (68%) witnessed flourishing double digit growth l From a sectorial perspective manufacturing, 3PL (3rd Party Logistics), and retail accounted for two-third of the share in terms of leasing volumes in the warehousing space in 2017 l While 3PL and manufacturing continued to be dominant sectors, retail eclipsed e-commerce as the third major occupier for warehousing in India in 2017 l When assessed separately the share of the manufacturing sector tapered from 30% to 21% while that of 3PL nearly doubled from 16% to 29%. Retail more than doubled its share from 9% to 16%, albeit on a smaller base l More than one out of four (26%) private equity Investments in the Indian real estate sector between January 2014 and January 2018 went into the warehousing industry l Around USD 3.4 billion (INR 22,100 crore) of institutional capital poured in the warehousing sector between January 2014 and January 2018 l Greenfield projects or new developments attracted more than two-third of these investments followed by 27% for acquisition of complete projects

News Release The table below depicts the Warehouse Transaction Volume Warehousing leasing City Ahmedabad Kolkata Pune NCR Chennai Hyderabad Mumbai Bangalore Total




(in mn sq ft) 1.7 1.4 2 2.8 1.9 1.2 1.6 1.3 13.9

(in mn sq ft) 3.3 1.6 2.5 6.5 2.4 2.1 5.2 2.5 25.7

(YoY) 86% 15% 22% 129% 24% 68% 231% 90% 85%


JNPT pavilion gets excellent response at Magnetic Maharashtra Convergence 2018 Contd. from page 1 and Wardha. Various Ease of doing Business initiatives taken by JNPT to increase efficiency of the Port, which would create more value for the Investors, were highlighted. The JNPT SEZ received enquiries from potential investors ranging from SMES to the Multinationals. The JNPT SEZ has started civil construction & engineering to provide the infrastructure & utility in time bound manner to the investors. In Jan 2018, JNPT achieved a key milestone by allocating the first 6 land parcels in the SEZ, totaling 15 acres, to companies from the Micro, Small and Medium Enterprise (MSME) segment via. Tendercum-auction methodology.

The successful completion of these projects will not only have economic impact, it will also provide direct and indirect employment opportunities to the people from the nearby catchment areas. Hon’ble Prime Minister, Shri Narendra Modi visited the stall after the inauguralsession. Other dignitaries who took time to visit the stall included Hon’ble Chief Minister of Maharashtra, Shri Devendra Fadnavis,Honourable Minister for Power, Shri Chandrashekar Bawankule, Honourable State minister for PWD, Shri Madan Yerawar, along with Senior Secretaries from the state government and several other dignitaries.

MOL Introduces Cutting-edge Stowage Planning System for Car Carriers

The new version has a highspeed processing planning function based on know-how of car carrier stowage, which MOL has accumulated over 50 years. In addition, it can be used in offices in Japan and overseas Contd. from page 3 as well as on the calling ports The company introduced all over the world with globally MOL-CAPS in 1999, and will linked booking system. This The tablethis belownew depicts the stowage plans to adopt version for the always 2016 2017 allows Growth Warehouse Transaction car carriers, reflect the latest conditions and next-generation Warehousingseries, leasing Volume the FLEXIE which ensures optimal loading at every City (in mn sq (in mn sq ft) (YoY) Looking to the future, MOL will be delivered starting in ft) port. Ahmedabad 86% to adopt the March 2018. The new 1.7 version is3.3studying ways Kolkata 1.4 1.6 15% system for onboard use. of the system allows optimal Pune 2 2.5 22% MOL Group provides stowage, with the maximum NCR 2.8 6.5 129% transport services that meet use of the FLEXIE series’ Chennai 1.9 new 2.4 24% customer needs by deck structure (*), which1.2offers diversified Hyderabad 2.1 68% using cargo231% transport knowa greater range of adjustment Mumbai 1.6 5.2 Bangalore 2.5 accumulated 90% over decades in the liftable deck 1.3 height, how Total 13.9 85% of25.7 successful operation, providing greater flexibility compared to car carriers now in and the latest systems and technologies. service.

News Release

The table below depicts Equity IRR for Development Projects across Warehousing Clusters The table below depicts Equity IRR for Development Projects across Warehousing Clusters City

Warehousing cluster

Ahmedabad Ahmedabad Bengaluru Bengaluru Chennai

Changodar-Bagodara Aslali-Kheda Hoskote-Narsapura Nelamangala-Dabaspete Sriperumbudur-Oragadam cluster Chennai NH 5 - Periyapalayam cluster Hyderabad Jeedimetla - Medchal Bhiwandi The table below depicts Equity IRR for Development Projects Mumbai The tableWarehousing below depictsClusters Equity IRR for Development Projects across Warehousing Clusters Mumbai Panvel across NH – 48 Cluster The table below depicts Equity IRR for Development Projects NCR Ghaziabad Cluster Warehousing Quoted land Quoted NCR Equity IRR The table below across Warehousing Clusters City cluster Warehousing cluster Pune Chakan- Talegaon achievable for a rate (` mn/ rentals (`/sq depicts Equity IRR (` formn/ acre) Quoted land rate Quoted rentals (`/sq ft/month) Pune Wagholi-Ranjangaon

Quoted land


rate (` mn/ acre)

rentals (`/sq ft/month)

Equity IRR achievable for a development project

4 – 35 6 – 32 7 – 15 10 – 23 10 – 40

10 – 18 10 – 20 12 – 16 10 – 16 15 – 28

18% 16% 18% 12% 22%

8 – 150 15 – 50 12 – 50 25 – 50 10 – 25 10 – 40 10 – 30 10 – 35

14 – 24 10 – 18 11 – 20 17 – 25 12 – 22 14 – 22 16 – 28 12 – 22

22% 12% 20% 16% 26% 26% 28% 22%

development ft/month) Development Projects for a development project acre) Equity IRR achievable project Knight Frank India added, “With so much Speaking about the report, Balbirsingh Khalsa, National Research, across Warehousing happening around in terms of the Make in India programme, Director – Industrial and Asset Services, Knight Frank India Speaking Clusters City about the report, Balbirsingh Khalsa, National Director – Industrial and Asset Services, One Nation Tax – GST, traction on industrial corridors and said “Post GST there Changodar-Bagodara has been a spike in demand Ahmedabad 4 – 35 by almost 10 – 18 Knight 18% IndiaOne Frank said “Post GST there has been a spike in demand by almost 100% as companies thewere infrastructure status the logistics 100% as companies who were till now in a 6wait Ahmedabad Aslali-Kheda – 32 and watch 10 – 20 who 16% till now in a wait and watch to mode have now got intosector, executionwarehousing mode. For the first time asareawitnessing real constituent would be a real beneficiary the from mode have now got into execution mode. For 7the consolidation and expansion of warehousing space. This increasein in demand Bengaluru Hoskote-Narsapura – 15first time12we – 16 we 18% estate times toe-commerce, come. Across the topDurables, 8 citiesFMCG in the we have seen like 3PLs, Consumer andcountry, Manufacturing to name a few are witnessing consolidation and expansion 10 of– warehousing Bengaluru Nelamangala-Dabaspete 23 10 – 16 sectors 12% with a requirement larger by sized85% warehouses openedmn up the for more and more transaction volumesforjump YoY has to 25.7 sqfield ft in 2017. space. demand from sectors 10 like– 40 e-commerce, Chennai This increase in Sriperumbudur-Oragadam 15 – 28 coupled 22% players which has ledtaking to a demand. We expectof thethe trend to continue and get better in the Investors had started cognizance opportunities in this 3PLs, Consumer Durables, clusterFMCG and Manufacturing to name a organised days to come.” much before the government could implement the reforms. few coupled with a requirement for larger sized8warehouses has Chennai NH 5 - Periyapalayam cluster – 150 14 – 24 sector22% Dr. Samantak Das, Chief Economist & National Director- Research, Knight Frank India added, “With past few years have witnessed massive participation from opened up the field for more and more organised players has Hyderabad Jeedimetla - Medchal 15 – 50 which10 – 18 soThe 12% much happening around in terms of the Make in India programme, One Nation One Tax – GST, investors. Some of them have purchased ready assets, Mumbai Bhiwandi – 50get better 11 –in20 institutional 20% led to a demand. We expect the trend to continue12and Mumbai Panvel 25 – 50 17 – 25 whereas 16% others are investing in a mix of ready and Greenfield the days to come.” NCRDr. Samantak Das,NHChief – 48 Cluster 10 – 25 Director12 – 22 assets.” 26% Economist & National

News Release

NCR Pune Pune

Ghaziabad Cluster Chakan- Talegaon Wagholi-Ranjangaon

News Release

10 – 40 10 – 30 10 – 35

14 – 22 16 – 28 12 – 22

26% 28% 22%

Speaking about the report, Balbirsingh Khalsa, National Director – Industrial and Asset Services, Knight Frank India said “Post GST there has been a spike in demand by almost 100% as companies











Two Luxury Cruise Vessels Call at NMPT n BSN Network / Mangalore M.V. COSTA VICTORIA with 1771 passengers and 809 crew and M.V. INSIGNIA with 612 passengers and 407 crew called at New Mangalore Port on 3-3-2018.

This is the 19th and 20th cruise vessel calling at the port duringthe current financial year 2017-18. Both the vessels berthed at the alongside berths of the Port – 2 to 4. COSTA VICTORIA – an Italian cruise vessel with passengers representing 35Nations of the world in which majority from France, Dutch and Germany came from Colombo and sailed out to Salalah,M.V. INSIGNIA – a Norwegian cruise liner with passengers from US andCanada came from Male and sailedoff to Cochin. Around 1300 passengers from these two vessels opted for ground tour arranged by the local tour operators – M/s Globe Travels and M/s Lia Travels and they have visited

various locations in and around Mangalore like Mangaladevi temple, Gokarnanatha temple, St. Aloysius Chapel, Cashew processing units, Monolithic statue of lord Bahubali at Karkala, Soans farm and 1000 pillar JainBasadi at Moodabidri, Belmont House at Balmatta, city shopping, etc. After enjoying the scenic beauty of Mangalore, the passengers returned to their respective vessels and sailed out to the next port. M/s J.M. Baxi& Co. are the agents of both the vessels Shri Suresh P Shirwadkar, Chairman i/c while recalling the steady growth of cruise vessels calling at the Port has informed that during the current financial year 2017-1820 cruise vessels called at the Port with 20,400 passengers. The captain and passengers of the vessel are very much impressed upon the facilities available at the Cruise Lounge, neat and tidy berth area, concretised roads, security arrangements, Immigration facility, greenery in and around the port, availability of local ground tour operators, proximity to tourist areas, etc. During the interaction the passengers expressed their satisfaction over their short stay at Mangalore.

Untapped Opportunity Contd. from page 2 Consul General Yek Narayan Aryal at the Consulate General of Nepal in Kolkata, said, “Although the lands leased at Kolkata and Haldia ports are not being used for cargo storage, our office is making efforts to utilise them for other purposes. The office has asked for

bushes to be cleared on the land at Kolkata Port in order to bring it into temporary operation within six months.” Aryal said, “If storage facilities along with screening are available at these two ports, Nepali importers and exporters will not have to pay the huge fees they are currently paying for cargo


Edible Oils Newscast


3rd March 2018

Government Raises import duty on crude and refined palm oil :

On 1st March 2018, the government hiked the import duty on crude palm oil to 44% from 30% and increased the import duty on refined palm oil to 54% from 40% earlier. The import duty on these varieties was raised recently in November 2017. While the import duty was hiked for palm oils, it remained unchanged for soft oils like soybean, sunflower and rapeseed. The prime reason behind this move appears to be to reduce the consumption of palm oil and at the same time encourage consumers to move towards other variety of edible oils that are domestically available. Thus, it aims to support oilseed priced and encourage domestic farmers to increase production of oilseeds which, in turn, will increase domestic production of edible oils. Table 1: Production and imports of some of the major varieties of oil in India 2016 - 17 Production (tmt) Imports (tmt)

Palm Oil NA 9341

Soybean 1655 3534

Rapeseed Oil 2200 317

From the table, it can be seen that India depends on imports to meet the requirement of palm oil, while for soybean oil and rapeseed oil the country also depends on domestic production to meet the requirements. Care Ratings View: This move is aimed at supporting oilseed prices and encouraging domestic farmers to increase production of oilseeds . The increase in import duty is expected to result in higher domestic edible oil prices. It remains to watch out for if the hike in import duty on palm oils increases the imports of soft oils or production of these oilseeds. However, the industry’s demand for a duty differential of 15% between crude and refined Source: palm oil imports is still not considered. storage. They will also have to pay low demurrage and detention charges. The offices at the two ports would also jointly earn around Rs700 million as fees for providing various cargo facilities.” The land plots at Kolkata and Haldia are required to operate container freight stations (CFS) for receiving cargoes to be packed into containers. The CFS provides traders with facilities such as container storage for bulk cargoes and also proper unpacking and delivery. “If CFS are available at Kolkata and Haldia ports, especially for goods purchased for government entities like the Nepal Army and Nepal Telecom,

carriers would have to pay low charges compared to what they currently pay for the port facilities provided by the Indian government,” Aryal said. Most cargoes dispatched from Kolkata Port to Nepal enter the country at the Birgunj border point, which is around 740 km from Kolkata Port. Haldia is located about 125 km from Kolkata Port. Aryal said that a building plan for a CFS had been sent to Kolkata Metropolis. He added, “As soon as the plan is approved, the Consulate General will coordinate with the concerned stakeholders of the government of Nepal to build a CFS on the leased land at Kolkata Port.”

Published by Vivek Bhandarkar for Bhandarkar Publications and printed at Navin Printers, 13, Krishna Kunj, 143, S. B. Marg, Matunga (W. Rly.) Mumbai-400 016. Editorial/Advertising/Circulation: Regd. Office: 10, Hammersmith Industrial Premises, Sitladevi Temple Road, Mahim, Mumbai - 400 016. Editor: Mrs B V Bhandarkar, Phone: (+91 22) 40764200 (100 lines), Fax: (+91 22) 24444250, e-mail: / Postal Regd. No. MH/MR/WEST/158/2006-2008 Regd No. MAHENG/2002/7260 Gandhidham: Bhandarkar Shipping News, 18, 2nd floor, Ajanta Commercial Center - 2, Plot No. 279, Ward 12/B, Gandhidham (kutch) 370201. Phone: 09724307499, e-mail:

20 THURSDAY, 08 MARCH 2018


Ethiopia Acquires 19% Stake in DP World Berbera Port

Government becomes strategic shareholder, investing in Berbera trade corridor infrastructure excited about the prospects n Agencies Ethiopia will become a share of working with the Ethiopian Ethiopia is holder of the Port of Berbera government. following the signing of an home to approximately 110 agreement with DP World and million people. The ports the Somaliland Port Authority in of Berbera and Doraleh will provide significant capacity to Dubai. DP World will hold a 51% the region. Both these ports and stake in the project, Somaliland more capacity will be needed 30% and Ethiopia the remaining to serve the region’s growth 19%. The government of potential in the future. “Having the Government Ethiopia will also invest in infrastructure to develop the of Ethiopia as a partner will Berbera Corridor as a trade enable DP World to support the gateway for the inland country, Government in achieving its which is one of the fastest impressive development plans. This development and the growing countries in the world. There are also plans to strengthening of our partnership construct an additional berth at demonstrates our commitment the Port of Berbera, in line with to the people of Somaliland and the Berbera master plan, which Ethiopia and we look forward to DP World has already started working together.” Mr. Bin Sulayem added: implementing, while adding new equipment to further improve ”The economies of the efficiencies and productivity. region are growing at a pace The first cranes are scheduled that needs the development of Berbera supplementing to arrive later this year. and additional Expressing the importance Djibouti of working with the governments gateways in the future.” Republic of Somaliland of Somaliland and Ethiopia on the projects which will Minister of Foreign Affairs and fuel trade and employment International Co-operation Dr. opportunities in the region, Saad Al Shire, said: “This is a DP World Group Chairman very important project that will and CEO Sultan Ahmed Bin address some of the problems Sulayem, said: “I am so facing Somaliland concerning

employment and investment. It is a welcome development that will benefit the region as a whole.The economies of the region are growing at a pace that necessitates the development of multiple ports and outlets. The extension of the port will increase capacity of the region to accommodate the increase in trade.” Ethiopian Transport Minister Ahmed Shide, said: “After a year of serious negotiations, Ethiopia has concluded an agreement with the Somaliland Ports Authority and DP World that will give the Government of Ethiopia 19% stake in the joint venture developing the Port of Berbera. The agreement

will help Ethiopia secure an additional logistical gateway for its ever increasing import and export trade driven by its growing population and economy. In addition, Ethiopian participation in the development of port of Berbera and the Berbera Corridor will help bring increased economic development and opportunity to the people of Somaliland. Ethiopia will continue to further invest in and develop the Djibouti corridor and further consolidate the use of existing ports in Djibouti. It will also look for other opportunities to develop additional ports and logistics corridors in the region.

DP World Group Chairman and CEO Sultan Ahmed Bin Sulayem and government officials from Ethiopia and the Republic of Somaliland at the agreement signing

Published by Vivek Bhandarkar for Bhandarkar Publications and printed at Navin Printers, 13, Krishna Kunj, 143, S. B. Marg, Matunga (W. Rly.) Mumbai-400 016. Editorial/Advertising/Circulation: Regd. Office: 10, Hammersmith Industrial Premises, Sitladevi Temple Road, Mahim, Mumbai - 400 016.

Bhandarkar Shipping News 08 March 2018  
Bhandarkar Shipping News 08 March 2018  

Bhandarkar Shipping News 08 March 2018