Massive congestion at JNPT severely affecting ex-im movement, says trade

Resulting in huge losses for logistics value chain in the country

Jawaharlal Nehru Port, India’s largest port which is also the hub of ex-im trade, is facing the perennial problem of congestion which is badly affecting the business value chain around the facility, says a communiqué from the trade. Consistent traffic jam of vehicles, poor state of the main roads, expansion of illegal structures on the pavements, road dividers around the CFSs and interference of unions is severely hampering the trade and the industry. These challenges are leading to the CFSs being unable to meet the daily cut-off timings, to board containers with the maximum possible volume permitted by the Customs. This is leading to excessive demurrage being charged, the release pointed out.

According to the release, among the critical reasons for the consistent congestion is the lack of better roads to enhance the operability of the large number of vehicles laden with ex-im containers by the CFSs and Port stations. The role played by CFSs is very important in the trade as it helps to decongest ports and keep the value chain seamlessly moving within the economy. "Thus, we urgently need proper roads connecting the ports and roads leaving from the ports. At present, majority of the connecting roads are damaged and are filled with large craters, mud upheavals, loose soil, boulders and large stones. This is causing near-miss accidents almost every day, and increases the probability of the high-value trucks, trailers, and machines laden with containers toppling. This condition of the roads is causing massive traffic daily, resulting in almost crawling movement of container trucks. Thus causing massive delay in the laid down cut-off time of loading," the release pointed out.

This problem is compounded by the slowdown of operations inside terminals due to labour issues and old equipment, causing several delays in operations, the communiqué said. "This situation is getting aggravated every day and causing huge losses. The area has also seen mushrooming of large number of illegal structures, huts, makeshift tea stalls in and around the Port and CFS areas."

This situation is in contrast to the priority of the country, which is to make India the hub of international trade, the release emphasised. Ports are the lifeline in making this a success and the current situation at JNPT is a big hurdle not only for the economy but also for the ex-im trade, it concluded.

DST Pg10.pdf
EXIM Pg 1.pdf
EXIM Pg 28.pdf