MUMBAI, JULY 30: Shreyas Shipping and Logistics Ltd said on Tuesday that it will start two new coastal container services linking, for the first time, all major ports on the East and West coasts — from Mundra (Gujarat) to Kolkata — from August 15.
The first, from Kochi to Kolkata, linking Chennai and Vizag will be a fortnightly service initially. On the west coast, Shreyas already has a service from Kochi to Mundra via Mangalore. The second, a weekly service, will link Hazira with Mundra and Jawaharlal Nehru ports.
Local cargo, for example, from Gujarat can be moved by sea to the east coast ports of Vizag or Kolkata using the transhipment facility being developed at Vallarpadam in Kochi. This will not only help ease the pressure on road and rail but also save a lot fuel, said S. Ramakrishnan, Chairman and Managing Director, Shreyas Shipping.
Two ships with a capacity to carry 1,700 standard containers (TEUs) each will be deployed for the east coast service and a smaller 700 TEU vessel for the new west coast service, he said.
The Mumbai-based leading coastal shipping company recently tied up with the global container shipping line MSC for providing a feeder service between Mundra and Nhava Sheva. The new service on the west cost will be catering mainly to MSC, though it can also carry other cargo.
SEAMLESS CONNECTIVITY
The new services will ensure seamless connectivity between ports along the two coasts and Shreyas’ will be the first coastal container services linking all major ports in the country, said Ramakrishan. Currently, only three per cent of domestic containerised cargo is carried by coastal shipping. With the launch of the new service, the company hopes to increase this share to five per cent, said Capt V. K. Singh, CEO of the company.
Coastal shipping is considered a safer, low-cost and eco-friendly mode of transport compared to road and rail. Yet, coastal ships carry only seven per cent of the domestic cargo — of which containerised cargo is only three per cent, Singh said.
Shreyas, a listed company that began its operation in 1988 with feeder services from India to Dubai and Colombo, is now focussing on expanding its presence in the coastal service in India. The company is looking at opportunities to diversify into operating specialised vessels such as car and liquid carriers, Singh said.
The company has reported a lower profit of Rs. 2.87 crore for the quarter ended June 2013. The performance is considered fair as most of the Indian shipping lines, hit by prolonged recession, have been reporting losses or lower profit for several quarters.
Source: The Hindu Business Online
Source: The Hindu Business Online