Indian Transport & Logistics

Kale says 30% of ports not ready to meet digital mandate

Study involving 200 ports found 30% not ready to meet data exchange regulations despite potential savings of $50bn

Kale says 30% of ports not ready to meet digital mandate
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Kale Logistics Solutions (Kale) revealed that 30 percent of ports are not prepared to adopt the Maritime Single Window (MSW) mandate of the International Maritime Organisation (IMO), which becomes compulsory worldwide from January 1, 2024.

A study involving 200 ports located throughout the Asia Pacific, Middle East, Europe, Africa, North America, and South America emphasised that Port Community Systems (PCS) embedded with an MSW are integral to achieving the true potential of a port, says an official release.

High implementation costs, long timelines and varying levels of digital readiness were highlighted as leading factors hindering regulatory compliance.

“The purpose of this study was to identify the tangible benefits the maritime industry can achieve with technology intervention, and the results showed potential savings of up to $50 billion annually by using MSW platforms,” says Vineet Malhotra, Co-Founder and Director, Kale Logistics Solutions. “However, these benefits are subject to 100 percent adoption of the MSW, and our report reveals that ports are encountering a number of barriers that hinder this digitalisation. The MSW concept has the potential to revolutionise the international shipping industry.”

MSW platforms bring major sustainability benefits by digitising documentation, streamlining processes, and improving information exchange, resulting in reduced paper usage and more efficient vessel management, ultimately lowering emissions and environmental impact, the release added.

On average, 12 agencies collaborate on one ship-shore operation, and the MSW simplifies documentary procedures and ensures information only needs to be inputted once.

“The importance of this study will sow the seed for a digital revolution in the maritime industry worldwide, demonstrating how digitisation can not only bring order to the ongoing chaotic operations in the industry but also achieve significant sustainability goals in the long run,” adds Malhotra.

The report was released by Shyam Jagannathan, Director General of Shipping, Ministry of Ports, Shipping and Waterways, Government of India, at the Global Maritime India Summit in Mumbai, India.

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