Cargo volumes drop at Indian ports.

The volume of containers handled by major ports in India has dropped by 1.45 per cent year-over-year from April 2012 to January 2013, the first 10 months of fiscal year 2012-13, says to the Indian Ports Association. The drop in major port volumes was as much as 2.86%, from 467 million tonnes to 453.7 million tonnes in the same period.  

Kandla handled the maximum throughput- 78.15 million tons, followed by Jawaharlal Nehru Port at 53.76 million tons; Visakhapatnam at 49.15 million tons; Mumbai at 48.5 million tons; Paradip at 46.6 million tons and Chennai, at 44.3 million tons. Container volumes fell to 6.43 million 20-foot-equivalent units from 6.52 million TEUs in the same period.

Analysts say that weakening global trends and slower than expected growth in India have contributed to the decline. The recent two week container trailer crew strike at Cochin Port has not helped either.  “Based on current volume trends, major ports are unlikely to reach the target of 601 million tons set by the Shipping Ministry for fiscal 2013,” says Commodity online.

Meanwhile, London based shipbroker Howe Robinson has alerted the industry that Panamax chartered box ships “will come under increased pressure in the next 2-3 months,” as oversupply surges in the coming months. “The cascade will go on; it will continue to be merciless.”