wo major ports in India are paralyzed! Imports and exports are seriously delayed, and a large amount of cargo is backlogged!

September 04, 2024

It is understood that the flow of containers at ports on the west coast of India is facing tremendous pressure, as the terminals are bearing the backlog of cargo due to increased cargo volume while also dealing with disruptions to cargo transportation caused by extreme weather.

Mundra Port, India's main container port, experienced significant delays in shipping schedules after heavy rains and floods last week. A senior executive of a major shipping company told foreign media that the floods brought Mundra's entire shipping system to a standstill for at least three days. The disruption to transportation has led to a serious backlog of cargo at the port. Adani Terminals is working hard to clear the backlog of cargo and resume normal berthing of ships as soon as possible.

However, the executive also said that improvements in cargo transportation may take up to a week or even longer, depending on weather conditions.

It is said that given the chaos in the yard warehouse, the port is giving priority to berthing of ships mainly for exports.

More than 50% of the cargo at Mundra Port is transshipped by rail and inland container depots (ICDs). A private container train operator said rail services were still running but there was a huge backlog of incoming trains due to the weather. The port was working to clear the stranded trains.

In addition, ships from Mediterranean Shipping Company (MSC) and CMA CGM seem to have gained berthing advantage at Mundra terminal as they have partnership with Adani terminal in Mundra. Other ships are currently taking longer than usual to berth. Due to the extended waiting time, some ships are choosing to bypass Mundra port or turn to other ports along the coast.

Mundra port is an important hub for India's container trade, with five container terminals operated by Adani Ports, including MICT terminal, which is held on concession by Dubai Ports World (DP World).

The problems at Mundra port have also triggered a chain reaction throughout the regional supply chain. Truckers and freight terminal owners at JNPA, Nhava Sheva port, expressed dissatisfaction with the increasing delays in the entry and exit of goods, calling on the authorities to intervene to solve the problem as soon as possible.

Recent road traffic restrictions imposed in and around the port to ease the movement of vehicles have also exacerbated the congestion, with truckers claiming that it now takes up to 20 hours for vehicles to turn around.

The Container Operators Welfare Association of Nhava Sheva said that frequent road closures in the JNPA area in recent times have led to severe disruptions and a backlog of goods. This situation has put a huge strain on transporters and drivers. Other stakeholders have also expressed dissatisfaction with road restrictions and increasing congestion.

The Secretary General of the Indian Container Freight Station Association said that export goods are now being "turned away" and import goods are also delayed by 12 to 24 hours.

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