As Mumbai AMP Terminal (APMT Mumbai) is upgrading its infrastructure, a large amount of cargo is being transferred to other ports, causing India's largest container port, Nhava Sheva Port (JNPT), to face severe congestion.
Sources pointed out that the upgrade of port lifting equipment led to the closure of a berth at Mumbai APM Terminal (also known as Gateway Terminals India (GTI)). Mumbai APM Terminal's weekly handling of attached ships has dropped by more than half, from a normal 13 to 6.
A shipping company agent said: "Spillover berthing demand makes other terminal flows complicated."
The source added: "As shipping companies continue to change berthing terminals, export activities have been affected, resulting in cargo owners may miss the shipment time."
According to freight forwarding sources, to add insult to injury, the Mumbai Port Group has restricted temporary berthing windows, while DP World's two facilities are already full.
"Our operations are well beyond our capabilities," a DP World official at Nhava Sheva Port said.
In recent days, some carriers have opted at other ports (mainly at Mundra) to unload containers destined for Nhava Sheva, giving importers predictable costs and other consequences.
It is reported that GTI's equipment installation and commissioning plan started at the end of last month, including six ship-to-shore cranes and three railway gantry cranes, and is expected to be completed in early September.
Forwarding sources said that as the impact of congestion increases, there will be other potential supply chain issues.
They said: "Due to road congestion, exit times may be shortened, but truck waiting times may increase."
"In addition, as the inflow of empty containers becomes limited, the container shortage problem is coming."
APMT said it was using "all resources at its disposal" to mitigate the disruption.
A port spokesperson said: "Our team is closely coordinating to reduce vessel idle time, improve operational efficiency, and flexibly ensure that the impact of each service is as small as possible to meet the maximum demand for a berth."
"Most of our customers have been informed about our infrastructure development plans and we continue to regularly communicate with them," the company added.
APMT also noted that the $0.115 billion Fit for the Future project, announced last February, will "significantly increase berth productivity", thereby giving carrier customers a vessel turnaround and operating cost advantage.
The company claims that when the new crane is put into use, its throughput will increase by 10% to 2.2 million Teu per year, and it can also serve larger ships, from the current maximum 12000 teu to 14000 Teu.
Source: one shipping