As a consequence of the initiative, the
Direct Port Delivery (DPD) scheme, the country’s largest container port
recorded a 50% increase in container cargo for the year ended March 31, 2017.
DPD assures fastest clearance of cargo
thereby saving time and cost for the importers and consignees, freeing them
from the hassle of customs-related activities. An importer has thus assured
clearance of cargo in less than 48 hours under DPD as against an average of
seven days if routed through a CFS.
Container volumes under DPD at JNPT
increased from 68,925 TEU (twenty-foot equivalent units) to 103,323 TEUs in
FY17. Neeraj Bansal, deputy chairman, JNPT, told Fe that the port has raised
the proportion of DPD cargo to 30% of its total container cargo, as of August
2017, from just 3% last year. Bansal said: “We handle a total of about 45 lakh
containers, both import and export. If we save even a day on account of
efficiency, assuming that each container is carrying cargo worth Rs 50 lakh on
an average – (this translates to a savings of at least Rs 22 lakh crore) – the
savings on interest alone is quite substantial. Each hour saved is a huge
saving for the trade and any unproductive detention of cargo, at whatever
stage, has to be minimised.”
DPD is a highly trade-friendly scheme marking
ease of doing business. JNPT and the Customs have been directed by the Central
Government to increase the DPD proportion progressively from 40% to 70%
ultimately. Currently JNPT is engaged in a vast expansion programme that
includes commissioning of new terminals and widening of the approach roads to
the port facilitating links with the state National Highways. The expansion is
expected to be completed by 2022 and on completion, the capacity of the port
will be doubled to more than 10 million TEU.
For the implementation of the project,
JNPT raised loan with the approval from the Reserve Bank of India (RBI) to the
tune of $400 million from the State Bank of India and Development Bank of
Singapore (DBS) with an end use of on-lending to JNPT Port Road Company – a
joint venture company between the government of Maharashtra, National Highways
Authority of India.