India's Port of Mumbai cuts box charges
India’s Port of Mumbai agreed to extend concessions on empty container storage charges for a further period of one year ending September 2010 in response to appeals from port users and the trade.
The discounted rates, slated to take effect on Sept. 9, will apply to containers handled at designated yards and container freight stations, and not to units stored at the regular docks.
The port authority earlier announced plans to levy lower charges for container stuffing and de-stuffing, and allow additional free storage time.
The new incentives are aimed at boosting box traffic moving through the west coast hub that has seen sharp declines in recent years, particularly since the global economic slowdown.
While Mumbai remains a major gateway for general cargo, having racked up throughput of 17.4 million tons in the April-July period compared with 17.7 million tons in the same period last fiscal year, its container volume fell by about 50 percent to 18,903 20-foot equivalent units from 38,422 TEUs.
In fiscal 2008-09 ended March 31, container traffic dropped to 92,000 TEUs from 118,000 TEUs the previous year.
In a bid to attract more containerized cargo, Mumbai is building a $300-million offshore container terminal through private participation. Expected to be ready in 2010, the project will enable the port to handle 6,000-TEU vessels and compete with the neighboring Port of Jawaharlal Nehru, India’s largest box gateway.
The discounted rates, slated to take effect on Sept. 9, will apply to containers handled at designated yards and container freight stations, and not to units stored at the regular docks.
The port authority earlier announced plans to levy lower charges for container stuffing and de-stuffing, and allow additional free storage time.
The new incentives are aimed at boosting box traffic moving through the west coast hub that has seen sharp declines in recent years, particularly since the global economic slowdown.
While Mumbai remains a major gateway for general cargo, having racked up throughput of 17.4 million tons in the April-July period compared with 17.7 million tons in the same period last fiscal year, its container volume fell by about 50 percent to 18,903 20-foot equivalent units from 38,422 TEUs.
In fiscal 2008-09 ended March 31, container traffic dropped to 92,000 TEUs from 118,000 TEUs the previous year.
In a bid to attract more containerized cargo, Mumbai is building a $300-million offshore container terminal through private participation. Expected to be ready in 2010, the project will enable the port to handle 6,000-TEU vessels and compete with the neighboring Port of Jawaharlal Nehru, India’s largest box gateway.