News / 'Nervousness' as container shortage starts to impact Indian exporters
Indian exporters are facing a supply chain challenge due to a shortage of empty containers at major container ports. The ports of Nhava Sheva and Mundra are particularly affected. The shortage of containers is impacting exporters' ability to ship goods and jeopardizing new volume prospects. Carriers are also not honoring contract rates. Additionally, carrier schedule reliability and glitches in India's Customs' gateway program are adding to the pressure. This crisis is threatening India's merchandise export trade and causing skepticism and nervousness among the business community.
Source: Link
Frequently Asked Questions
Q: What is the current issue affecting Indian exporters?
A: Indian exporters are facing a container shortage, which has started to significantly affect their ability to ship goods overseas.
Q: What has contributed to the scarcity of containers impacting Indian trade?
A: The container shortage is linked to various supply chain challenges, including the Red Sea crisis, trade imbalances, and a global container shortage affecting international trade.
Q: How is the container shortage affecting freight rates for Indian exports?
A: The shortage of containers has led to rising freight rates as the demand for containers exceeds the supply, causing cost increases for shipping goods.
Q: Are there any regulatory investigations into the container shortage problem?
A: Yes, maritime regulators like the Federal Maritime Commission are investigating the impact of the container shortage on exporters. For instance, in the United States, they are probing shipping lines that agricultural exporters claim are holding back containers.
Q: How significant is the container shortage for India's export ambitions?
A: The shortage is a setback, particularly as Indian exports had touched a record high, and there is a goal to further increase export volumes. Addressing the container shortage is seen as crucial to meeting export targets.
Q: What actions have exporters asked the Indian government to take?
A: Exporters have requested the government to curb the export of empty containers and to possibly emulate the Kolkata port's policy in that regard.
Q: Is the container shortage a temporary problem?
A: Insights from the Economic Survey 2021-22 suggest that the global container shortage will likely remain a persistent problem for the foreseeable future.
Q: What measures is India looking into to mitigate the impact of the container shortage?
A: The Indian government is exploring measures such as adjusting export-oriented policies, offering credit to exporters at international rates, and investing in dedicated freight corridors to alleviate the impact on the export trade.
For more detailed information, you can read the full article on "Nervousness as container shortage starts to impact Indian exporters" at The Loadstar: News / 'Nervousness' as container shortage starts to impact Indian exporters.