14 Mar Infrastructure upgrade sparks cargo logjam at Nhava Sheva
The recent infrastructure upgrade at Nhava Sheva Port (JNPT), India’s busiest public gateway, has resulted in significant congestion and capacity issues for container terminals. The congestion has been caused by the drastic capacity reduction at APM Terminals Mumbai, which handles the majority of export and import shipments moving through the port.
As a result of the closure of a berth for crane upgrades, the number of weekly services handled by APMT Mumbai, also known as Gateway Terminals India (GTI), has reduced from 13 to six. This has led to spill-over berthing demand and complicated flows through other terminals, causing constant gate cut-off changes by carriers.
The congestion has resulted in potential missed connections and cargo rollovers for shippers, causing predictable cost and other consequences for importers. Some carriers have chosen to discharge containers at alternative ports, mostly at Mundra, adding to the already complex supply chain.
Freight forwarder sources have voiced concerns about reduced export gate-in times and increased truck waiting times due to road snarls. They also predict a shortage of containers, as the inflow of empties becomes limited.
As a freight forwarder in North America, Prime Freight Logistics understands the impact of these supply chain issues on the shipping industry. We are committed to providing our clients with the best logistics solutions, even in the face of such challenges.
APMT has assured that it is using all its resources to mitigate the disruption and accommodate maximum calls at one berth by reducing vessel idle time and increasing operational efficiency. Most of its customers have been informed about the planned infrastructure development, and it continues to communicate with them periodically.
The $115m “fit-for-future” project announced by APMT in February last year will significantly enhance berth productivity and drive vessel turnaround and operating cost advantages for carrier customers. The project includes the installation and commissioning of six ship-to-shore cranes and three rail-mounted gantry cranes, which are targeted for completion in early September.
Once the new cranes go live, APMT’s throughput capacity will increase by 10% to 2.2m teu annually, and it will be able to service larger vessels in the range of 14,000 teu, compared to a maximum of 12,000 teu at present.
At Prime Freight Logistics, we will continue to monitor the situation at Nhava Sheva and provide our clients with the best possible solutions to navigate the current challenges in the shipping industry