Govt likely to extend benefits to exporters under MEIS till March 31

NEW DELHI: The Government may extend benefits to exporters under the Merchandise Exports from India Scheme (MEIS) till March 31 next year, when the updated Foreign Trade Policy (FTP) 2020-2025 will go live. The current deadline for the scheme to be disabled is December 31, 2019.

The Government is also considering key suggestions such as introduction of industry rates for deemed exports and removal of pre-import conditions requirement in the Self Ratification Scheme. The suggestions have emerged out of hundreds of meetings between the Government and Industry Associations, people in the know, said.

Adding an array of agricultural products in the interest equalisation scheme and making extensive changes to schemes such as Export Promotion Capital Goods (EPCG) and Export Credit Insurance Scheme are also under consideration for the upcoming FTP, sources said.

The decision to extend MEIS benefits is expected to draw the biggest cheer from the industry, 

which had opposed its withdrawal. Last month, the Government had announced a new scheme named Remission of Duties or Taxes on Export Products (RoDTEP) to replace the MEIS for all goods exports.

Introduced in 2015 under the FTP, the mega MEIS was created out of a merger of five existing reward schemes. It incentivises merchandise exports of more than 8,000 items now and is the biggest of its kind. Exporters earn duty credits at fixed rates of 2 per cent, 

3 per cent, and 5 per cent, depending upon the product and country.

Officials said the new RoDTEP would also be based on this method but the rates were yet to be decided.

For the EPCG scheme, the Government is considering removal of annual average and keeping only specific export obligations. Also, total exports of a third party will be counted as export obligation instead of only proceeds realised from third party by EPCG holder.

Apart from taking a decision to soon implement the recommendations of the Baba Kalyani Committee on revamping Special Economic Zones, policymakers have turned to export oriented units (EOUs) to provide the next level of growth. While duty benefits for infrastructure may not be extended, policy formulation, regulation, and administration may be brought under one roof for EOUs.

For deemed exports, the Government may allow a reintroduction of all industry rate for drawback, which is now limited to only the brand rate. The Centre may also include central excise duty on fuel in the drawback. However, a suggestion to double the rate of interest on delayed payment to 12 per cent from the present 6 per cent may not be allowed, sources said.

On the other hand, for the advanced authorisation scheme, composition fee may be rationalised while norms may be fixed at a faster rate. The new FTP is expected to have new chapters on services and e-commerce.

CMA CGM launches SHIPFIN TRADE FINANCE, its new range of import and export financing solutions

MARSEILLE: The CMA CGM Group, a world leader in shipping and logistics, is pleased to announce the launch of SHIPFIN TRADE FINANCE, its new range of financing services dedicated to importing and exporting, in partnership with Incomlend, a global invoice finance platform.

An innovative offer to support the international development of the CMA CGM Group's customers Committed to supporting its customers and their development, the CMA CGM Group now wishes to support their business through financing solutions that are tailored to their needs. The Group is thus putting its expertise and presence in 160 countries around the world at the service of its customers’ international development.

With SHIPFIN TRADE FINANCE, CMA CGM offers all its customers, importers and exporters alike, a range of simple, reliable and rapid financial services to consolidate and support their international growth. Thanks to a dedicated team of experts based in the Group's headquarters in Marseilles, customers can benefit from a set of tailor-made solutions ranging from extended payment terms to financing advances.

 

Two complementary solutions: SUPPLY CHAIN FINANCING and CARGO FINANCING

The SHIPFIN TRADE FINANCE range is based on two initial products dedicated respectively to importing and exporting customers: SUPPLY CHAIN FINANCING and CARGO FINANCING. They will be available on the CMA CGM, ANL, APL and CNC platforms and initially available to customers based in India, Dubai, Singapore, Hong Kong, Malaysia, Indonesia and the Philippines before gradually being deployed to other countries.

 

With SUPPLY CHAIN FINANCING, CMA CGM offers a solution dedicated to importers who wish to free up their working capital while stabilizing their supplier relations. 

 

Group customers who opt for this solution can thus:

 

• Extend their payment deadlines up to 120 days;

• Strengthen their supplier relations by improving their cash flow;

• Optimize payment tracking by finding all their documents in one place;

• Master their compliance risk thanks to the KYC (Know Your Customer) assessment achieved by their suppliers;

• Simplify their processes by interfacing their IT systems with the platform (EDI/API).

In addition, thanks to CARGO FINANCING, CMA CGM 

offers a solution intended for exporters who wish to improve 

their working capital and ensure the growth of their business, thus allowing them to:

• Maintain their cash position by receiving payment as soon as they load their goods, for up to 90% of the value of the invoice;

• Optimize the tracking of their invoices and customer receivables by finding all their documents in one place;

• Reduce their customer risk thanks to CMA CGM's credit insurance coverage;

• Simplify their multi-currency exchanges (4 currencies available);

• Simplify their invoice collection process;

• Benefit from non-recourse financing and maintain their borrowing power.

 

On the occasion of the launch of SHIPFIN TRADE FINANCE, Mathieu Friedberg, Senior Vice President – Commercial Agencies Network, CMA CGM Group, said: “By launching SHIPFIN, the CMA CGM Group goes even further in the customer relationship. We draw on our more than 40 years' experience acquired at the heart of international trade to offer innovative, simple and relevant solutions beyond shipping to support our customers' international development.”

 

Essar Ports posts record cargo growth of 20.07% in H1FY20

MUMBAI: Essar’s Ports business, which operates four terminals on the East and West coasts of India, 

has registered a 20.07% growth in cargo volumes with a throughput of 27.29 Million Tonnes (MT) in the first half of FY2019-20.

The growth has been driven by a 183.21% increase in 

third-party cargo compared to that in the corresponding period in the previous financial year. 

Cargo from captive customers grew by 6%.

Speaking on the performance, Mr Rajiv Agarwal, MD & CEO, Essar Ports Ltd, said: “Significant boost in third-party business has been the key driver for our growth in overall volumes. Alongside this, our focus on driving operational efficiencies and minimising operating costs has helped in recording strong growth. Essar Ports has consistently surpassed the average growth rate of the sector, which is showing signs of heightened economic activity.”

Terminal-wise performance 

Hazira

The 50 MTPA terminal has had the following highlights:

• Cargo handling of 14.17 MT with 3.24% growth compared to the same period last year

• 24.46% growth in third-party business over the numbers in H1FY19

• Enhanced third-party cargo share to 16.16%

Vizag

The 24 MTPA Essar Vizag Terminal (EVTL), India’s largest iron ore handling terminal located on the outer harbour of Visakhapatnam Port, has had the following highlights:

• Cargo handling of 5.91 MT with 52.22% overall growth compared to same period last year

• 7.17% growth in anchor customer business

• 277.76% growth in third-party business over the numbers in H1 FY19

• Enhanced third-party cargo share to 41.62%

Salaya

The 20 M 

The 20 MTPA Essar Bulk Terminal Salaya (EBTSL), deepest draft facility of Saurashtra region, has clocked a cargo throughput of 3.22 MT in the first half of FY20.

Paradip

The 16 MTPA Essar Bulk Terminal Paradip (EBTPL), in Paradip Port, has clocked a cargo throughput of 4 MT in the first half of FY20.

Master Marine Services signs MoU with Portall Infosystems

MUMBAI: An MoU has been signed between Portall Infosystems Pvt. Ltd. and Master Marine Services Pvt. Ltd. to explore and integrate various products to add value to the maritime community.

 

 Master Marine has over 50 offices with a staff strength of over 2000 personnel PAN INDIA offering a wide spectrum of services in shipping process and  logistics for over 35 years. Portall having a strong domain expertise in technology and logistics operations will jointly work with Master Marine’s team in solving problems for the industry by identifying and addressing the operational process gaps in the shipping and logistics sector.

 

Both companies will strive to offer seamless digital offerings delivered on cloud platforms keeping in mind data security, speed and accuracy via the Portall integrated logistics ERP system and Master Marine’s new integrated digital portal Master Marine Digitech 3 (MMD 3).  

Portall announces agreement with INTTRA by E2open

MUMBAI: Portall Infosystems Pvt. Ltd has announced that it has formed an alliance partnership with INTTRA by E2open. As part of the agreement, the companies will provide seamless container booking services for stakeholders on PCS1x.

Stakeholders including freight forwarders, exporters and CHAs can effect bookings, track and submit shipping instructions for their respective consignments using this collaborated booking module system. With distinct and simplified features like auto population, reuse of data, shipping instructions and BL drafts, Portall enables users to fast track their interactions with Shipping Lines in this collaborated platform. Users can make use of services available by logging into the PCS1x account without the need to sign-in separately. With this collaboration, Portall Infosystems, hopes to bring more customers in the digital ecosystem in the shipping and maritime space by expanding their palate of services accessible on PCS1x.  

Several other initiatives are underway and will be announced soon, said a Portall representative. 

For more information, call toll free 1800 11 5055 or 

write to info@portall.in; contact SPOC’s : vinitp@portall.in

India imposes anti-dumping duty on certain steel imports

NEW DELHI: India has imposed a provisional $29-$200 a tonne anti-dumping duty to rein in burgeoning and predatory imports of galvalume steel products from China, Vietnam and Korea which were causing material injury to the domestic industry. The duty will remain in effect for six months.

Following investigations, the DGTR found that exporters from these three countries were sending galvalume to India “below their normal values”, causing “material injury” to the domestic producers like JSW Steel, Tata Steel and Bhushan Power and Steel among others.

“There is a significant increase in imports of subject goods from subject countries in absolute terms as well as in relation to production and consumption in India. Material injury has been caused by the dumped imports of subject goods from subject countries,” the DGTR found in its preliminary findings.

Box ships deployed on US and Europe trade lanes continue to increase in size

LONDON: The average containership size on the Asia-North Europe trade is expected to reach 17,000 TEU by September 2020, while the size of vessels deployed on the transpacific trades is also continuing to swell as ocean liners take delivery of more mega ships.

'This year saw the departure of the last 4,200- to 5,500-TEU ships from the Asia-Europe routes, following ZIM's decision to withdraw the Asia-Mediterranean ZMP service in March and HMM suspending its Asia-North Europe AEX service in August,' said Alphaliner in its latest weekly report.

'Widely used on the Asia-Europe trades 15 years ago, tonnage of this size class has now been completely displaced by ships that are - most recently - up to four times larger than their predecessors in the mid-2000s.'

In July, MSC deployed the first 23,700-TEU 'megamax-24' vessel on the Asia-Europe trade and a further five units were delivered in the last three months, reported New York's FreightWaves.

'Twenty-four such ships from various carriers will join the world fleet before the end of 2020,' said Alphaliner. 'All these ships are earmarked for the Asia-North Europe trade.'

MSC deployed the first 19,000-TEU megamax units on the Asia-Mediterranean route in March, raising the average vessel size on that trade lane to 12,600 TEU.

'The Asia-North America routes also saw average vessel sizes increase, but this year the pace has been slower, compared to the Asia-Europe trades, as carriers took a more cautious approach in the face of slower demand growth in the US,' said Alphaliner.

The analyst also reported that the number of inactive containerships has risen as carriers plough ahead with their scrubber retrofit programmes to meet the International Maritime Organization's new low sulphur rule deadline of January 2020.

'The inactive containership fleet has risen sharply over the last two weeks to reach 180 units for 753,819 TEU as of September 30, or 3.3 per cent of the total fleet,' said Alphaliner.

The inactive fleet is expected to expand further this month due to the impact of blanked sailings and the continuing stream of ships entering docks for scrubber retrofits. 'Carriers have announced further void sailings in November in response to weak cargo demand, which could see the inactive fleet remaining above 800,000 TEU for most of the fourth quarter,' said the analyst.