Shippers avoid Port of Jawaharlal Nehru as congestion intensifies

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More shippers continue to steer clear of the Port of Jawaharlal Nehru (Nhava Sheva), as the congestion that has been plaguing the largest container gateway in India is further aggravated by the installation of new cranes.

The crane installation at a terminal operated by Jawaharlal Nehru Port Trust (JNPT) has caused nearly 20 vessels to bypass their calls at the port, according to a report by the Journal of Commerce.

The crane replacement work has been the latest in a series of developments that has led to berthing delays and container congestion at the port, which has also been hard hit by equipment breakdowns and heavy monsoon rains.

Gateway Terminals International operated by APM Terminals and Nhava Sheva International Container Terminal—alternative facilities to Port of Jawaharlal Nehru——were already operating at near capacity when the crane installation began in late June and could no longer accommodate additional ship calls.

The three container terminals at the Port of Jawaharlal Nehru handle around 40 percent of India’s total container traffic.

Due to the congestion, carriers like APL and Maersk Line, “K” Line, OOCL and Wan Hai Lines (India) have announced emergency congestion surcharges of $60 per 20-foot equivalent unit on all imports containers to be handled at the port.

But JNPT has accused the container lines of unfairly exploiting scheduled upgrades by imposing congestion surcharges on shippers. A JNPT official said in a recent interview that the work at JNPT terminal was a scheduled one that shipping lines were informed about well in advance.