SIMIC

The former a state-run terminal at Mumbai's Jawaharlal Nehru Port, will be run for 30 years as Nhava Sheva Freeport Terminal, jointly owned by M Baxi Ports & Logistics and CMA Terminals, reported Singapore's Splash 247.

Jawaharlal Nehru Port handles 50 per cent of the total containerised cargo volume across the major ports of India. In addition to JNPCT, the port has four privately-run terminals; two are operated by DP World and the remaining two are operated by Maersk's APM Terminals (Gateway Terminals India) and Singapore's PSA International.

The JNPCT has two berths with a total length of 680 metres and a 15-metre draft with a backup area of some 54 hectares. The investment for JNPCT's expansion project to accommodate 12,200-TEU ships will be carried out in two phases at a total cost of US$110 million.

The terminal's annual capacity is expected to increase from 1.5 million TEU to 1.8 million TEU, while throughput is expected to rise from 400,000 TEU at present to 900,000 TEU in the 10th year.

"With this new concession agreement, CMA CGM is growing its terminal footprint while supporting the growth and efficiency of its commercial and operational activities in India,"" said the company, which operates 14 weekly mainline services at five gateway ports in the country.

ONE declares 115pc quarterly profit increase to US$5.5 billion

SINGAPORE-BASED but Japanese-owned Ocean Network Express (ONE) has declared a 115 per cent year-on-year quarterly profit increase to US$5.5 billion.

ONE said freight rates remained firm despite some softening in supply-demand conditions. Global cargo demand in the second quarter remained steady, with no major breakdown despite the impact of the Shanghai's lockdown and the Ukraine crisis.

On the supply side, port congestion showed signs of improvement in some areas, but supply chain disruptions continued around the world, including deterioration on the east coast of North America.

Freight rates remained "significantly higher" than those in the same period last year, increasing ONE's quarterly profit amount by $2.9 billion.

Looking at full year forecasts, ONE is holding off on making an estimate citing uncertainties related to continued strain on global supply chain bottlenecks, Covid impacts and policies, ILWU labour negotiations on the US west coast and the Russo-Ukrainian War.

Bunker price soared 61 per cent to $750 per tonne from $465 per tonne in the corresponding period last year.

ONE liftings declined five per cent at 2.9 million TEU compared to 3.1 million TEU in Q12021, according to a statement announcing the results.

"Compared to Q4FY2021, the lifting on Asia-North America E/B increased due to some improvements in port congestion but liftings and vessel utilisation on Asia-Europe W/B slightly decreased. Compared to the same period of the previous year, the liftings on both Asia-North America and Asia-Europe decreased," said the company.

The congestion has eased in Los Angeles and Long Beach but worsened at other North American ports (Vancouver, New York and Savannah, etc.), the release said.

Said CEO Jeremy Nixon: "Also, inland congestion is deteriorating again. Congestion in Europe (Hamburg etc.) continues. In China, reoccurring lockdowns have caused trucker shortages and yard congestion. Although the lockdown was lifted in June, subsequent strict measures have made recovery slow."

Initiatives for 2022 "ONE is implementing its ambitious fleet growth programme, and in May confirmed a $1.6 billion order of 10 very large containerships," he said. "Scheduled to be delivered in 2025, the orders will be fulfilled by Japan's Nihon Shipyard and South Korea's Hyundai Heavy Industries yards. Each vessel will have a capacity of 13,700 TEU.

"Addressing the continued global container shortage, ONE has already purchased 3,000 reefer containers and 30,000 dry containers in 2022," Mr Nixon said.

ONE was formed in 2017 through the integration of the container operations of Japan's "K" Line, MOL and NYK. It currently ranks as the world's 7th largest ocean carrier, with a fleet size of 1,505,181 TEU and 205 ships, including 35 ultra-large containerships.