Port of Rotterdam launches PortXchange to make Digital Shipping App Pronto available to Ports Worldwide

ROTTERDAM: The Port of Rotterdam Authority launched its new company PortXchange Products BV (“PortXchange”) on August 8th 2019. This entity is set up to offer the Pronto platform and application to ports around the world over the next few years. The establishment of a separate company will enable partnerships with a variety of global players. Together with strategic partners Shell International Trading and Shipping Company Limited (“Shell”) and A.P. Moller – Maersk, PortXchange will initially offer Pronto to several ports outside the Netherlands. The launch of PortXchange provides a platform to create new strategic partnerships with ports, shipping companies and terminals, geared towards implementing smart digital solutions like Pronto in ports worldwide. This in turn contributes to the ambition of Port of Rotterdam to become the world’s smartest port.
PortXchange
Trust between parties for the free exchange of data is vital to the successful introduction of Pronto in other ports. The establishment of a separate company enables the solution’s neutrality and independence, and improves cooperation between all parties.
PortXchange aims to improve the efficiency of port calls and help clients reduce their emissions – both in the port as well as between ports. To this end, the company provides Pronto: a joint platform that can be used by shipping companies, agents, terminals, port authorities and other (nautical) service providers, which enables them to optimally plan, execute and monitor all activities during a port call based on the exchange of standardised data. In addition, Pronto enables just-in-time sailing, which helps reduce carbon emissions.
A smart port is a connected port
Taking the lead in digital transformation enables the Port of Rotterdam to become more efficient, reliable and, as result, more competitive.
Partnerships
The first PortXchange partnerships have already been signed – with Shell and A.P. Moller – Maersk. “Pronto will be offered in several ports in Europe and the US before the end of the year. The ambition for the years ahead is to make Pronto available to ports worldwide. Partnerships with major international players like Shell and Maersk play a crucial part in making Pronto a global success,” said Allard Castelein, CEO, Port of Rotterdam Authority .

Shanghai Tops ranking of World’s Best-Connected Ports : UNCTAD August 13 , 2019

GENEVA: The Shanghai Port has topped UNCTAD’s 2019 ranking of the world’s best-connected ports, released on 7 August.
The Chinese port garnered a connectivity score of 134 points, followed by the ports of Singapore (124.63 points), Pusan (114.45 points) in Korea and Ningbo (114.35 points), also in China. The index is set at 100 for the best-connected port in 2006, which was Hong Kong, China.
Besides the Asian ports, the other ports on the top 10 list are those of Antwerp (94 points) in Belgium and Rotterdam (93 points) in the Netherlands. None of the ports in the top 20 list are from Africa, Latin America, North America or Australasia.
“A container port’s performance is a critical factor that can determine transport costs and, by extension, trade competitiveness,” said UNCTAD’s Director of Technology and Logistics, Shamika N. Sirimanne.
Efficient and well-connected container ports enabled by frequent and direct shipping services are key to minimizing trade costs and fostering sustainable development, Ms. Sirimanne said.
UNCTAD’s port Liner Shipping Connectivity Index (port LSCI) dataset enables businesses and governments to determine maritime transport trends and their ports’ positions compared to others.
More than 900 Ports covered The port LSCI, which now provides data on more than 900 ports dating back to 2006, is generated using the same methodology as that for the recently released country-level LSCI produced by UNCTAD in collaboration with MDSTransmodal.
The 2019 port LSCI shows that the expanded Panama Canal has led to shifts in patterns of services.
The data also indicates that the LSCI of New York/New Jersey and Savannah on the East Coast of North America grew by more than 20% since 2016, while the leading ports on the West Coast saw their LSCI stagnate.
The data further reveals that investments by shipping lines can attract additional services. Piraeus (Greece), operated by COSCO from China, for example, has become the best-connected port in the Mediterranean in 2019. In Africa, both geography and port reforms emerged as critical factors. The best-connected countries in Africa are those at its corners – Morocco, Egypt and South Africa.
Western Africa has relatively low connectivity because it doesn’t lie at the crossroads of major north-south or east-west shipping routes.
Mombasa (Kenya) and Dar es Salaam (Tanzania) connect Burundi, Rwanda and Uganda to overseas markets through dedicated corridors, but they remain highly congested.
Low connectivity makes merchandize trade costly and uncompetitive. Many small island developing states (SIDS) face a vicious cycle where low trade volumes discourage investments in better maritime transport connectivity.
The Pacific Islands are among those with the lowest shipping connectivity. For example, Port Vila (Vanuatu) receives about one container ship every three days, the data shows.
In Kiribati, there is only one operator offering regular liner shipping services, with one ship arriving about every 10 days. Port calls and port turnaround times
Besides the new datasets measuring liner shipping connectivity, UNCTAD also released new data on port calls and turnaround time in the global container ports, in collaboration with MarineTraffic.
The data shows that containerships have the lowest turnaround times.
In 2018, a ship spent a median time of 23.5 hours in ports.
Dry bulk carriers typically spent just over two days during a port call, while container ships spent the least amount of time – less than a day.
“A shorter time in port is a positive indicator that could partly signal the level of port efficiency and trade competitiveness,” said UNCTAD’s Chief of Transport, Frida Youssef.
The economies with the fastest turnaround times are the advanced ones with large volumes or small ones that handle low cargo volumes at each port call, Ms. Youssef said.
According to the data, the bottom 10 Countries are all developing Countries or least developed Countries.
However, a longer time spent in port does not necessarily mean that the port is less efficient, as owners of ships may choose to have them stay longer in a port to purchase goods or services.
According to Ms. Youssef, Countries with more port calls have lower turnaround times. “A port with a faster turnaround can accommodate a larger number of port calls with the same number of berths,” she said.
Such a port is also more attractive to shippers and carriers, Ms. Youssef said, so the number of port calls will be higher compared to a competing port that has a lower turnaround time.
These latest datasets complement other maritime statistics and indicators provided by UNCTAD to measure the achievement of the Sustainable Development Goals.

Draft National Logistics Policy should incentivize express industry: EICI

MUMBAI: Express Industry Council of India (EICI), which represents leading express companies in the Country, said the draft National Logistics Policy document does not focus on express industry and air cargo sectors, which are integral parts of the logistics network.
It said “The Government has overlooked express industry, especially air cargo segment, in the draft National Logistics Policy.”
EICI Chief Operating Officer, Vijay Kumar said “We laud the efforts in preparing the draft policy covering a broad spectrum of focus areas to drive the growth of Indian logistics sector. However, we note that the policy document does not focus on express industry and air cargo sectors, which are integral parts of the logistics network.”
The air express has also been overlooked in the Multi Modal Mix even though air is an essential segment of the movement of goods, he added. It also said that air cargo delivery needs special focus to reduce logistics costs in the Country.
He further added that, “In developing countries like India, an efficient air express infrastructure contribute directly to global competitiveness of the Country by ensuring just in time deliveries and reduced clearance dwell time.
Further, efficient express delivery industry acts as an economic catalyst by opening up new market opportunities, moving products and services with speed and efficiency”.
The Government had issued the draft National Logistics Policy early this year, aiming to reduce the logistics costs from 13-14% of GDP to 10% “in line with best-in-class global standards.”
EICI represents both domestic and International express companies operating in India including Aramex, FedEx, Blue Dart, DHL, DTDC, First Flight, GATI, TNT and UPS. It also suggested measures to streamline e-way Bill system.
 

GSP roll-back: Exports of goods under tariff system to US up 32% August 13 , 2019

NEW DELHI: Exports of Indian goods, which were enjoying benefits under the preferential tariff system GSP, to the US registered a growth of 32 percent in June, according to Trade Promotion Council of India (TPCI).
The US rolled back export benefits to over 1,900 Indian goods from June 5. These incentives were provided by America under its Generalised System of Preference (GSP) programme.
Citing the data from the United States International Trade Commission (USITC), it said the Indian exports to the US of those goods which were getting GSP benefits stood at $657.42 million in June as compared to $495.67 million in the same period last year.
"India's exports to the US on GSP withdrawn products has registered 32 percent growth in June 2019 as compared to the same month last year," TPCI Chairman Mohit Singla said in a statement.
This is a very interesting trend as out of $190 million value of GSP benefit claimed earlier, the growth has already covered $161.74 million, month on month for June 2019 compared to last year, leaving a thin margin of US $28.26 million only, he said.
The major products which have shown increase in exports include plastics rubber, base metals (aluminium), machines and equipments, transport equipment, hides and leather, Pearls and precious stones.
This is a clear indication that Indian products have the full potential to compete globally and not solely dependent on support, contrary to the perception, Singla said.
TPCI is a strong advocate of the phasing of subsidies and reducing Government support. He said the need is to incentivise new sunrise sectors like furniture and electrical, by creating a cluster-based mega ecosystem, which can churn export growth completely.
The era of continuing fixation of labour incentitive sectors should be over, as their growths have already flattened, despite sustained support, he said. India exported goods worth $6.3 billion to the US in 2018 under their export incentive programme.

Economic slowdown: Govt plans urgent steps to boost exports August 13 , 2019

NEW DELHI: The Government is weighing a raft of measures — including “full reimbursement” of various imposts on exports and relaxed lending norms to improve credit flow —
to reverse a slide in the growth of outbound shipments in recent months, sources said recently. While the Commerce Ministry has already circulated a Cabinet note to phase out the flagship Merchandise Exports from India Scheme (MEIS) with a more WTO-compatible regime under which various State and Central levies on inputs consumed in exports will be reimbursed, the Government will likely top it up with an assurance that all embedded taxes borne by exporters will be fully refunded.
“The new scheme will be a dynamic one, so that all sorts of embedded taxes will be reimbursed once exporters bring them to notice. A Government panel will examine their demand and take appropriate action. The idea, as we have stated, is that exports must be zero-rated as per the global best practices,” a source said.
Though the goods and services tax (GST) regime has subsumed a plethora of levies, some still exist (petroleum and electricity are still outside the GST ambit, while other levies like mandi tax, stamp duty, embedded Central GST and compensation cess etc remain unrebated). Similarly, the Reserve Bank of India (RBI) is willing to ease priority-sector lending guidelines for exporters. Currently, exporters with a turnover of up to Rs 100 crore each are eligible for credit under the priority sector norms. This limit is likely to be scrapped or doubled so that more exporters are benefited. The maximum sanctioned limit of loans is also likely to be raised to Rs 40 crore per borrower from the current Rs 25 crore. Even the cap on export credit at 2% of banks’ total loans could be relaxed soon.
However, the Central Bank has refused to endorse a proposal to allocate a part of its foreign exchange reserves for export credit — as is being demanded by some exporters — to boost flow of loans on the ground that such a move is fraught with risks, a source said.
Once tweaked, the revised priority sector lending norms and certain enabling guidelines are expected to release additional credit of anywhere between Rs 35,000 crore and Rs 68,000 crore for exporters, according to an RBI assessment. Recently, Commerce and Industry Minister Piyush Goyal told the  Rajya Sabha that banks’ outstanding export credit, which rose from Rs 1,85,591 crore in
March 2015 to Rs 2,43,890 crore in March 2018, dropped to Rs 2,26,363 crore at the end of March 2019.
Goyal has already held a series of meetings with exporters to address their concerns, and some of the steps being mulled will be finalised soon. The measures are proposed at a time when India’s merchandise export growth collapsed to just 0.6% in April, 3.9% in May and -9.71% in June. Citing persistent risks from a global trade war, the IMF recently trimmed its 2019 trade growth forecast by a sharp 90 basis points from its April projections to 2.5%, against the actual rise of 3.8% in 2018.
As for the plan to reimburse levies, such a scheme has already been implemented in garments and made-up exports. However, its scope and reach will be expanded now. Exporters will be refunded levies through freely transferable scrips. For the remission of State levies for garment and made-up exports, the Government had allocated Rs 3,664 crore in FY19. However, the compensation level under this scheme was expanded in March to include Central levies as well; even some embedded taxes were factored in.
So the potential revenue forgone is now estimated at around Rs 6,300 crore annually. The Government’s potential revenue forgone on account of the MEIS is estimated at Rs 30,810 crore a year.
However, Government officials have repeatedly stated that the entire allocation or potential revenue forgone on account of various such schemes (including MEIS) doesn’t qualify as export subsidies, as in most cases, they are meant to only soften the blow of imposts that exporters have been forced to bear due to a complicated tax structure. The US has dragged India to the WTO, claiming that New Delhi offered illegal export subsidies and “thousands of Indian companies are receiving benefits totaling over $7 billion annually from these programmes”. Indian officials have rejected such claims.
According to FIEO President Sharad Kumar Saraf, for our exporters to become competitive, the Government needs to ensure that transaction costs are cut drastically, embedded taxes are fully offset, raw materials are made available at reasonable prices and credit is extended at cheaper rates. “Land acquisition needs to be made easier and companies must not be dragged into unnecessary legal hurdles,” he added.

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MSME Ministry issues guidelines for schemes for promotion of MSMEs in NE region and Sikkim August 13 , 2019

NEW DELHI : The Ministry of Micro, Small and Medium Enterprises (MoMSME) has issued guidelines for Promotion of MSMEs in the North Eastern region and Sikkim of the Central sector scheme “Technology and Enterprise Resource Centres”.
The MoMSME has been working for the development of MSMEs in the Country and felt for a need  for special  treatment as far as development of MSMEs in North Eastern Region  & Sikkim  is concerned.
With this objective in mind, a special  scheme for 'Promotion of MSMEs in North Eastern Region
and Sikkim was approved on August 02, 2016.
After  merger of the four Schemes viz. (I) Tool Room and Technical  Institutions;  (ii) Promotion of MSMEs  in North Eastern Region and Sikkim; (iii) Infrastructure  Support to
MSME-Testing  Centres / Testing Stations/  Training  Institutes / Workshop & MSME  Development Institutes (Field Institutes) and (iv) Capital Outlay on Public Works,  a new Central Sector Scheme of "Technology  and Enterprise  Resource Centres"  was formulated  and the same was  appraised  by the EFC in its meeting  held on  January 16, 2018.
The Scheme has been approved by the Competent Authority. The sub-components of the scheme are to - Set up of new and modernization  of existing Mini Technology Centres; Development  of new and existing Industrial  Estates; Capacity  Building  of Officers along with some other activities.
For scheme for Setting up of new and modernization of existing Mini Technology Centres envisages financial assistance to State Governments for setting up new and modernization of existing Mini Technology  Centres.
The quantum of financial assistance will be equal to 90% of the cost of machinery/ equipment/ buildings, not exceeding Rs. 10.00 crore.
However, the Government of India funding would not be admissible towards cost of land and building’s cost will be maximum to the extent of 20% only.

DGFT notifies Mechanism to apply for additional claims under MEIS August 13 , 2019

NEW DELHI : Directorate General of Foreign Trade (DGFT) in a notification notified Mechanism to apply for additional claims under Merchandise Export from India Scheme (MEIS) for certain  HS codes for which-enhanced rates with retrospective effect were applicable.
The Directorate has notified higher rates for certain HS Codes during the Mid Term Review of the Policy, for export made from November 1, 2017.
“Certain exporters had realized payment for exports made on or after 01.11.2017 after having made exports under those HS Codes and have also claimed MEIS benefits from the Directorate, before the said Public Notices were notified,” said DGFT.
DGFT in a trade notice has asked such exporters to claim the differential 2% rates as enhanced.
Difficulties, if any, in the implementation of the mechanism may be brought to the notice of this Directorate, said the DGFT notice.