By Arun Kumar Shrivastav
India’s busiest container port, Jawaharlal Nehru Port Trust (JNPT) is grappling with operational challenges that have resulted in long truck queues and delays for cargo. These disruptions are primarily attributed to a berth upgrade project at APM Terminals Mumbai, which has temporarily reduced capacity. The upgrade project, aimed at enhancing productivity and capacity, has taken one of the berths out of commission for six months. This has put immense pressure on the remaining terminals, leading to vessel bunching and increased yard inventory levels.
Major shipping lines like Maersk, Hapag-Lloyd, and Cosco Shipping have reported delays and disruptions due to the capacity constraints. APM Terminals Mumbai has acknowledged the challenges and is working to mitigate their impact by optimizing operations and collaborating with stakeholders. The timing of these disruptions is particularly concerning as India’s fiscal year-end shipping rush coincides with seasonal fruit export demand, increasing the volume of cargo passing through JNPT. This combination has further tightened vessel operations and exacerbated the delays.
These bottlenecks have created frustration for truck drivers and freight forwarders, who are facing changing gate cut-off schedules and longer waiting times. As JNPT continues to address these challenges, it remains crucial for stakeholders to work together to ensure efficient cargo flow and minimize disruptions to the supply chain.
In a related development, a planned work stoppage by the JNPT Container Operators Association has been postponed until September 9, 2024. This decision comes after a productive meeting between the association and the Jawaharlal Nehru Port Trust (JNPT) Chairman, Unmesh Wagh. The initial work stoppage was planned for August 20 due to ongoing challenges faced by operators at empty container yards, impacting their efficiency. Recognizing these concerns, Chairman Wagh promptly convened a meeting with all key stakeholders.
The meeting resulted in several positive developments. A Standard Operating Procedure (SOP) will be drafted to streamline and regulate operations at empty container yards. This SOP aims to provide clear and consistent protocols for addressing current issues. Furthermore, a significant change will be implemented starting September 1st, 2024. All payments related to empty yards will be made online directly by importers and exporters. This eliminates cash transactions at the yards, promoting transparency and efficiency.
In light of these proactive measures, the JNPT Container Operators Association has agreed to postpone their planned work stoppage. This delay allows time for implementing the SOP and assessing its effectiveness. This collaborative effort demonstrates a joint commitment by JNPT and its stakeholders to tackle issues at the empty container yards and enhance overall operations.
On another note, the Jawaharlal Nehru Port Authority (JNPA) has secured government approval to establish a state-of-the-art agricultural commodity processing and storage facility. The project, valued at Rs 285 crore, will be implemented under a Public-Private Partnership (PPP) model and a Design-Build-Finance-Operate-Transfer (DBFOT) framework. The facility, which will be the first of its kind in India, aims to reduce wastage in the agricultural supply chain by providing modern processing, sorting, packing, and laboratory facilities. It will cater to a wide range of agricultural products, including those from Maharashtra, Madhya Pradesh, and Gujarat.
The facility will be built on 27 acres of land and will include features such as cold storage, pre-cooling facilities, frozen storage, and dry warehouses for both export and import operations. By utilizing advanced technology, the facility is expected to significantly reduce post-harvest losses and enhance the overall efficiency of the agricultural supply chain. The project is part of JNPA’s broader efforts to promote “port-led industrialization” and contribute to the economic development of the region.
Meanwhile, the Western Dedicated Freight Corridor (WDFC) project, a critical infrastructure initiative aimed at enhancing India’s logistics sector, has faced significant delays due to land acquisition challenges. Approximately 102 kilometres of track between Vaitarna and Jawaharlal Nehru Port Trust (JNPT) remain incomplete. This section traverses three districts: Raigad, Palghar, and Thane. The primary obstacle has been the relocation of approximately 3,000 individuals residing in encroached areas along the proposed corridor.
While the Eastern Dedicated Freight Corridor is already fully operational, the WDFC’s completion is now anticipated by December 2025. The delayed completion of the WDFC has implications for the efficient movement of freight, particularly between the northern and western regions of India.
The Dedicated Freight Corridor Corporation of India (DFCCIL) is actively working to address the land acquisition issues and expedite the project’s completion. Successful resolution of these challenges will be crucial for realizing the full potential of the WDFC and improving India’s logistics infrastructure. (IPA Service)
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