JSW Infrastructuare to buy 14 more Mini-Bulk Carriers for $126 million

MUMBAI: JSW Infrastructure Ltd will buy as much as 14 more Mini-Bulk carriers that can move seamlessly along sea and river carrying cargo between its Jaigarh and Dharamtar ports for the captive use of the group’s steel mill and the upcoming cement plant at Dolvi located along the Amba river in Maharashtra.

 

The steel-maker previously ordered 18 such ships, each with a capacity to carry 8,000 tonnes at Chinese, Indian and Bangladeshi yards. Out of this, two vessels built at Bangladesh’s Western Marine Shipyard Ltd were delivered to JSW.

Cochin Shipyard Ltd is constructing four Mini-Bulk carriers for Utkarsh Advisory Services Private Limited, part of JSW group. The balance 12 ships are under construction at a Chinese yard.

 

“We would be ordering another 14 ships of 6,000-tonne capacity each, most likely from China and a few of them would be built at Cochin Shipyard,” Pranab Jha, Vice President, Shipping, JSW Steel Ltd, said recently. 

 

At about $9 million per vessel, the total acquisition cost for the 14 ships would be about $126 million.

 

JSW is looking to tap India’s Coastal Shipping and Inland Waterways in a big way to ferry cargo and cut logistics costs. The seaport at Jaigarh in Ratnagiri district and the riverine facility at Dharamtar in Raigad district are both run by JSW Infrastructure, a unit of Sajjan Jindal-led O P Jindal Group.

 

"About 30 ships would be for captive use; if required I can always play around," Jha said.

JSW, according to Jha, ordered four ships at Cochin Shipyard, to support the Make in India programme of the Government.

But, the higher prices quoted by other Indian yards and the timeline for construction led JSW to order most of the ships in the first lot of 18 vessels at the Chinese yard.

amallapuram Summit: New era of India-China cooperation begins with ‘Chennai connect’, says Prime Minister October 14 , 2019

CHENNAI: After around five-and-half hours of one-on-one talks with Chinese President Xi Jinping in multiple sessions spread over two days, Prime Minister Narendra Modi said a new era of cooperation will begin on Saturday, 12th October, in Sino-India ties through the “Chennai connect”.
In his delegation level talks with Xi at a luxury resort overlooking the Bay of Bengal in Kovalam on the second and final day of the informal summit, Modi noted that India and China were global economic powers during most of the last 2000 years and were returning to stage gradually.
“The Wuhan spirit had given a new momentum and trust to our ties. A new era of cooperation will begin today through ‘Chennai Connect’,” Modi said while referring to the outcome of the first informal summit between the two leaders in the Chinese port last year.
The Prime Minister said strategic communication between the two countries increased following the first informal summit in Wuhan.

CMA CGM to use three ways to complay with IMO 2020 Low Sulphur Regulation

MARSEILLE: The new IMO (International Maritime Organization) 2020 Low Sulphur Regulation will be in effect from January 1st, 2020.

All sea-going vessels worldwide will have to comply and reduce their sulphur emissions by 85%.

To comply with the Regulation, sulphur in fuel oil must be reduced from 3.50% to 0.50%, in addition to the 0.10% sulphur limit already effective in the Emission Control Areas (ECA). This aims to reduce the amount of sulphur oxide emissions and should have major health and environmental benefits globally, including improving air quality and reducing risks of acidification of the oceans.

CMA CGM Group will be compliant with a mix of 3 solutions: using liquid natural gas-powered vessels, using advanced air quality systems onboard our vessels, and as the main solution, using compliant fuels with 0.50% or 0.10% sulphur.

The new IMO 2020 Low Sulphur Regulation impacts the global shipping industry and shipping costs are set to increase worldwide. As the cost of the Very Low Sulphur Fuel Oil (VLSFO) is expected to be significantly higher than the present High Sulphur Fuel Oil (HSFO), CMA CGM will implement a new price reference for its short-term and long-term contracts.

For short-term contracts of validity 3 months or shorter, please be informed that a new monthly charge – Low Sulphur Surcharge (LSS) – will be applied on top of CMA CGM’s ocean freight charges, effective 1 December 2019.

For long-term contracts of more than 3 months’ validity, please be advised that VLSFO will replace HSFO as the price reference for the quarterly Bunker Adjustment Factor (BAF), effective 1 January 2020. The BAF is applied on top of the ocean freight charges and will still be revised on a quarterly basis with a one-month notice. Kindly note that the BAF quantum for reefer cargo will be 20% higher than that of dry cargo for the same container size, with a minimum of USD25/TEU.

PESB selects Harjeet Kaur Joshi tao Head SCI October 14 , 2019

NEW DELHI: Smt. Harjeet Kaur Joshi has been approved by the Public Enterprises Selection Board (PESB), to head The Shipping Corporation of India (SCI), Country’s largest shipping company.

Smt. Harjeet Kaur is currently the Director Finance at SCI and, since September 12, has been holding the additional charge of the Chairperson and Managing Director of the Navratna PSU.

The PESB recommendation has been finalised recently that has to be approved by the Appointments Committee of the Cabinet which will make Smt. Harjeet Kaur as the first lady to Head SCI.

With a very rich and diversified experience spanning over three decades with ONGC, a Mammoth Maharatna PSU, her experience includes almost two decades with ONGC Videsh Limited (OVL – overseas arm of ONGC) which looks after the international business acquisitions of ONGC wherein she was actively associated with the path breaking international transactions which led the company (OVL) to turnaround. This assignment gave her a lot of opportunity to travel and develop her professional attributes to International standards. She started her career as a Lecturer in Delhi University and joined the corporate world in 1984.

She is a Fellow Member of The Institute of Cost Accountants of India and a rank holder in her Post Graduation  in Commerce with specialization in Financial Management from the prestigious Delhi School of Economics, Delhi University.  She believes in continuous learning and has a string of further academic qualifications which she acquired throughout her career.

Essar Ports honoured for CSR initiatives at Seatrade Maritime Awards 2019

MUMBAI: Essar Ports Ltd. has won the Award for its Corporate Social Responsibility initiatives recently. Being a responsible corporate committed to making a positive social impact, Essar Ports has been actively working towards improving education, environment, health care and livelihood for the community. The Award was received by Capt. Sukhdev Singh Bhamra on behalf of Essar Ports Ltd.

Taking place on the first evening of UAE Maritime Week, under the patronage of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Crown Prince of Dubai, and the Chairman of the Executive Council, the Awards ceremony is a highlight in the shipping awards calendar.

The ceremony recognises individuals and organisations that have made noteworthy impact on the market over the course of the past year.

Seatrade Maritime is the largest global media portfolio connecting individuals and corporates to the international maritime market. Its events, publications, awards and websites encompass all aspects of maritime activity. They encourage innovation and facilitate better communication within the industry.

The Award is a matter for great pride for all of us at Essar Ports. It strengthens our belief in growing in unison with the community, and working towards a better and sustainable future, said a company release.

Shipping confidence dips as trade wars intensify : BDO October 11 , 2019

ZAVENTEM: The Confidence in the shipping industry fell in the past three months to its lowest level for two and half years, according to the latest Shipping Confidence Survey from leading shipping adviser and accountant BDO. Yet owners, charterers and managers were more confident than they were at the time of the previous survey in May 2019.

The average confidence level recorded by the survey in the three months to end-August 2019 was 5.8 out of a possible maximum of 10.0. This compares to the figure of 6.1 recorded for the quarter ended May 2019.

Confidence was highest in the chartering sector (up from 6.2 to 7.0), while the increased ratings for owners and managers were from 6.3 to 6.4 and from 5.8 to 5.9, respectively. The rating for brokers, however, was down from 5.7 to 5.1.

Confidence

Confidence was up in Asia from 6.0 to 6.8 – the highest figure for this region since the survey was launched in May 2008 with an overall rating for all respondents in all geographical areas of 6.8 out of 10.0. The rating for Europe, however, was down, from 6.1 to 5.7.

According to the BDO survey, the likelihood of respondents making a major investment or significant development over the coming year was up from 5.4 to 5.5 out of 10.0. Charterers’ confidence in this regard was up from 5.6 to 6.8, and owners’ from 6.3 to 6.5. The ratings for managers and brokers were also up, from 4.8 to 6.1 and from 3.9 to 4.4, respectively. Expectations were up in Asia (from 5.5 to 6.6) whilst in Europe they were unchanged at 5.4.

The number of respondents expecting finance costs to increase over the coming year was down from 48% to 25%. The figures for all major categories of respondent were down, and in the case of owners and managers to survey lows of 27% and 20%, respectively.

Sri Lanka’s Container hub status grows despite direct mainline calls to Indian Ports : ADB

COLOMBO: Sri Lanka’s Colombo port status as a container hub is growing despite shipping lines making direct calls to Indian ports, a new study by the Asian Development Bank has said.

The Asia–Europe shipping route passing close to Sri Lanka, enables Colombo to become the main hub port for the South Asian region, it said.

The study on maritime co-operation under the ADB’s South Asia Subregional Economic Cooperation (SASEC) program, said Colombo ranks 23rd in container traffic globally, ahead India’s largest ports Mumbai and Mundra.

“Colombo is SASEC’s busiest container port. It is close to the busy Southern Ocean Corridor and

acts as a container hub for the subcontinent,” the study said.

Its annual growth was 16.8 percent in 2017, and the transshipment activity, which represents almost 80% of handling, was up by over 20 percent.

“This high transshipment growth rate suggests its role as a hub for the subregion is increasing, despite more direct mainline calls to Indian ports,” the ADB report said.