Govt. of India holds meetings to address trade and logistics issues
Measures include publication of concessions and waivers, review of bunker fuel availability and evacuation of stranded containers.
The Government of India convened high-level meetings to address logistics, packaging and shipping challenges arising from the evolving situation in West Asia, with a focus on maintaining continuity in trade and stabilising supply chains.
Two meetings were held involving senior officials, port authorities, shipping agencies, Export Promotion Councils and industry representatives. One meeting was chaired by the Commerce Secretary, while the other was co-chaired by the Secretary of the Ministry of Ports, Shipping and Waterways and the Commerce Secretary.
The meeting led by the Commerce Secretary focused on disruptions in packaging materials and inputs. Discussions highlighted that geopolitical developments could affect the availability and pricing of petrochemical inputs such as polymers and resins. Industry participants reported increased input costs, with pressure on MSMEs.
Stakeholders stated that supply chain stress, logistics constraints and rising input costs could affect sectors including apparel, leather, telecom and medical devices. They called for continued availability of inputs such as LNG, helium and petrochemical derivatives, along with early GST refunds to support liquidity.
The Commerce Secretary stated that the government is working to ensure availability of raw materials and continuity in production. He called for time-bound assessments of packaging inputs, mapping of domestic production capacity and identification of import dependencies. He also stated that a monitoring mechanism would track export-import trends and sector indicators on a weekly basis.
The second meeting addressed logistics and shipping issues. It included participation from the Chairman of the Central Board of Indirect Taxes and Customs and customs officials. Discussions covered documentation processes, transit cargo, air freight costs, railway concessions and bunker fuel availability.
Officials reported that vessel availability, cargo handling and transshipment operations were functioning without major constraints. The Chairman of CBIC outlined steps taken to streamline cargo clearance at ports. Issues related to hazardous cargo were discussed, with customs agreeing to examine specific cases related to destuffing.
Stakeholders also stated that concerns related to non-passing of benefits by shipping lines had been addressed. Exporters were asked to report specific cases for resolution.
Following the discussions, the Ministry of Ports, Shipping and Waterways directed ports and terminal operators to improve transparency and operations. Measures include publication of concessions and waivers, review of bunker fuel availability and evacuation of stranded containers.
The government stated that it will continue to engage with stakeholders to monitor developments and address operational issues. The Department of Commerce, the Ministry of Ports, Shipping and Waterways and CBIC will continue coordinated actions to support logistics operations and trade.