Relaxation in the cabotage law will help to clear congestion at Jawaharlal Nehru and Mumbai ports as well as allow them time to become fully operational  Foreign flagged vessels bound for Jawaharlal Nehru and Mumbai ports that were unable to unload cargo due to collision between containers MSC Chitra and Khalijia 3 on August 7, now have a reason to rejoice. The Directorate General of Shipping has relaxed the cabotage law, which forbids movement of foreign flagged vessels between Indian ports, till August 31 allowing these vessels to divert cargo to other ports.In this context, G L Singh, joint director at Directorate General of Shipping, while speaking to a ShippingBiz360 correspondent, said, “Relaxation of the cabotage law has only been allowed to clear congestion of vessels, which are lined up outside Jawaharlal Nehru and Mumbai ports. The relaxation has been given only to those vessels that were scheduled to call at these two ports.”
On being asked about the loss in trade due to closure of operations at India’s two major ports, Mr Singh said that it is difficult to quote exact figures about loss in trade at this point in time.
A welcome move
Meanwhile, the move undertaken by the Directorate General of Shipping has been hailed by shipping and logistics firms considering the gravity of the situation. According to Rajdeepak Bhargava, CMD of Avignon Shipping Company, a mid-sized shipping firm in Pune, “Since a bulk of India’s export-import activity takes place from Mumbai and Jawaharlal Nehru ports, it is essential to give them time to overcome the recent tragedy and become fully operational. Diversion of ships to other ports will give them this much-needed time.”
Notably, Mumbai and Jawaharlal Nehru ports, which handle about 40% of the nation’s sea-borne traffic, resumed partial operations on Thursday (August 12) after being closed for several days following blockade of main channels due to the collision. Because of the blockade, several vessels have been diverted to Pipavav and Mundra ports.
Arup Choudhury |
