Union minister for shipping Sarbananda Sonowal has asked the country’s marine regulator to ensure transparency in port operations and clamp down on any “profiteering” by handlers and agencies so that vessels don’t face undue charges in the wake of the ongoing Strait of Hormuz crisis.
The instructions were issued to the shipping directorate during a review last week, which assessed maritime traffic and operations to ensure smooth passage of shipments and supplies.
The government took coordinated measures for “rapid stabilisation” of port operations with minimal impact on trade after initial backlogs due to sudden disruptions due to the West Asian war, Sonowal said.
“Realtime monitoring and swift interventions made port operations smooth and cleared all backlog efficiently so that trade and port operations remain resilient,” Sonowal said.
The marine regulator has been asked to ensure all measures rolled out to cushion the impact of supply disruptions, including waivers of certain rents and concessions on reefer charges (cooling of refrigerated ships) are passed on to vessels, according to the minister.
“This crisis must not become an opportunity for profiteering. All charges must be transparent and documented,” the Union minister said.
{{/usCountry}}“This crisis must not become an opportunity for profiteering. All charges must be transparent and documented,” the Union minister said.
{{/usCountry}}The war in the West Asian region has cut off flows of crude oil and liquefied natural gas globally, driving up prices and sparking volatility in markets. The government’s priority is to maintain operational continuity, safeguarding the interests of exporters, importers and logistics stakeholders, Sonowal said.
India, Asia’s third-largest economy, imports nearly 90% of its crude, half of its liquefied natural gas and two-thirds of its LPG, most of which flows from the Gulf nations, travelling through the Strait of Hormuz, which Iran has effectively shut down.