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Container manufacturing hub in Bhavnagar: Government’s vision

Bhavnagar:

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Cargo container demand increasing day by day, experts believe that it may further shoot-up. Considering this fact, the Indian Government immediately focused on manufacturing cargo containers.

During mid-week of December, Mansukh Mandaviya, Minister of Ports, Shipping and Waterways was in Bhavnagar (Gujarat), and interacted with Saurashtra Chamber of Commerce and Industries and business personalities.

Also read: https://www.shippinginbox.com/karnika-floating-jannat/

During the session, Minister Mandaviya found keen to develop a container manufacturing hub in Bhavnagar. Within a few days, he formed a committee and sent to Bhavnagar to assess the possibilities.

Recently committee visited Bhavnagar and have visited few places, met business personalities at Saurashtra Chamber of Commerce and Industry’s place. Most of them satisfied with the identified place of Bhavnagar.

As part of the government’s action towards setting up of industries in Bhavnagar for construction of vehicle scrap yards, container manufacturing hubs, which are connected to the shipbreaking, re-rolling mill business, the Committee visited Bhavnagar, met traders and chamber officials to discuss the industry.

Also read: https://www.shippinginbox.com/ins-viraat-and-controversies/

In Bhavnagar, the manufacturers of containers were also ordered by Pushpak Logistics as pilot projects.

Rahulbhai Modi, a member of the committee and a member of the National Shipping Board, said that the demand for containers is increasing by 150% per annum.

There is a huge shortage of containers worldwide. Therefore, work is being done in Bhavnagar towards setting up this industry. Scrap of the shipbreaking yard in Bhavnagar can be used in the scrap rolling mill, and the rolling mill strip, track can be used to make containers.

General Manager (Environment) Atulbhai Sharma said that the logistics cost could be reduced if the vehicle scrap yard and container manufacturing hub were developed on the land around the port in Bhavnagar.

Hareshbhai Dhanania, president of Sihor Steel Re-Rolling Mill Association, had said that raw material for container manufacturing could provide rolling mills.

Sachinbhai Sheth of Transworld Shipping Company, Saurabhbhai Roy had said that there is a great demand for containers. Former Secretary of Ship Recycling Association Nitinbhai Kanakia said that Bhavnagar has good opportunities for both businesses.

The entrepreneurs of Rajkot expressed their desire to invest in new businesses in Bhavnagar. Concluding the meeting, Kiritbhai Soni, President, Saurashtra Chamber of Commerce, said that since both the new businesses are involved in shipping, there are huge opportunities for Bhavnagar, and the initial work will be consequential.

India is moving in to the matter of assembling cargo containers, a portion overwhelmed by China, as a component of the Atmanirbhar Bharat activity.

The Ministry of Ports, Shipping, and Waterways have shaped a council to inspect the practicality of making holders at Bhavnagar in Gujarat and forming it into an assembling center for the steel boxes that have gotten the worldwide norm for delivering an assortment of products across boats, rail, and street.

As per an authority advised on the turn of events, the interest for transportation holders has been driven by expanded assembling and fares.

“Indian beach front transportation adds around 10,000 twenty-foot identical units (TEUs) of new Containers yearly, while India’s biggest holder rail administrator — Container Corporation of India — may require 2,000-2,500 TEUs of new containers consistently,” the authority said.

“Practically all the steel trailers utilized today are imported from China. When they arrive at Indian shores, they cost us around 40% more, which incorporates sea cargo, Customs duties, custom house specialist charges, and various costs,” the authority added.

China makes around 90% of the worldwide steel trailers. CIMC is the biggest container maker with a piece of the overall industry of 40%.

The worldwide holder armada is taken care of by container renting organizations and transportation lines, with the last holding a 49 percent share.

Triton is the world’s biggest holder renting organization with a piece of the overall industry of somewhere in the range of 14 percent, claiming more than 6,000,000 TEUs.

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