It is now up to the union ministry of shipping to take action over a controversy regarding a Directorate General of Shipping circular. The contentious circular bans old foreign ships (over 25 years) chartered by Indian shipping companies from plying on Indian waters. However, the circular did not curtail movement of Indian ships of the same age. The circular dated April 25 has ruffled feathers in the shipping trade circles. Matters came to a head when some MPs objected to the circular. The category of ships that came under ban included general cargo vessels, chemical tankers and bulk container ships.
A letter by MP Dawa Narbula dated June 12, addressed to union shipping minister TR Balu said it was surprising that DGS had okayed the movement of local ships of the same age, but prevented old foreign vessels. He said most of the foreign ships chartered by Indian shipping companies conformed to higher and more stringent international navigation and coasting trade license standards. Also some top foreign classification societies give formal approval to ships chartered by Indian shipping companies for years together.
The circular has caught companies that charter such ships, like Varun Shipping Company Ltd, ONGC, Essar Shipping, and Samson Maritime and Tide Water, on wrong footing.
However, top DGS officials said the circular was issued following a survey of ground realities. The directorate had, on June 13, issued a memorandum on the circular - which added to the confusion.
“Often the technical fitness and seaworthiness of ships registered with foreign agencies are not found to be up to the mark, which is what prompted the decision to ban old ships,” deputy director general of shipping (technical) Deepak Kapoor said. Kapoor refused to comment on the controversy over the circular.
A letter by MP Dawa Narbula dated June 12, addressed to union shipping minister TR Balu said it was surprising that DGS had okayed the movement of local ships of the same age, but prevented old foreign vessels. He said most of the foreign ships chartered by Indian shipping companies conformed to higher and more stringent international navigation and coasting trade license standards. Also some top foreign classification societies give formal approval to ships chartered by Indian shipping companies for years together.
The circular has caught companies that charter such ships, like Varun Shipping Company Ltd, ONGC, Essar Shipping, and Samson Maritime and Tide Water, on wrong footing.
However, top DGS officials said the circular was issued following a survey of ground realities. The directorate had, on June 13, issued a memorandum on the circular - which added to the confusion.
“Often the technical fitness and seaworthiness of ships registered with foreign agencies are not found to be up to the mark, which is what prompted the decision to ban old ships,” deputy director general of shipping (technical) Deepak Kapoor said. Kapoor refused to comment on the controversy over the circular.