Technology-related infrastructure investments are accelerating in India, as the emerging market economy works harder than ever to increase supply chain efficiency and, in turn, decrease logistics costs, as per news reports.
Reaffirming that push, Krishnapatnam Port — a fast-growing, privately operated east coast gateway — last week set up Rapiscan X-ray machines and radiation portal monitors for cargo inspection — touted as the first-of-its-kind customs’ initiative at Indian ports.
Another ease-of-doing-business change
The “drive-through-container-scanning” facility is the latest in a series of ease-of-doing-business measures that Krishnapatnam Port has implemented to enhance its competitiveness and attract more cargo.
Besides improving maritime security, the new customs’ program is expected to result in speedier cargo flows and quicker vessel turnarounds at Krishnapatnam, aided by shorter cargo wait times.
Krishnpatnam officials told JOC.com that the advanced scanning process will enable the port to handle an additional import volume of 5,000 TEU per month that they believe will prove to be another push to the growth of transshipment trade — in which the port already commands roughly 70 percent of the South Indian market.
“Krishnapatnam has been at the forefront of embracing technological advancements and integrating the most modern port solutions,” Krishnapatnam Port CEO Anil Yendluri told JOC.com. “We will continue to invest in cutting-edge technological innovations that not only bring immense benefits to the port operations and the trade community but also play a crucial role in contributing to the country’s economy.”
Officials told JOC.com that the newly introduced self-sealing service for factory-stuffed exports with radio-frequency identification tags is increasing shippers’ participation in the direct port entry program, whereas the recent special government approval for scrap import handling is another factor driving volume through the port.
Will assist direct port delivery
The company said the electronic imaging systems will be a boon for direct port delivery (DPD) import freight and as a result, cargo delays/congestion at the container terminal and yards will decrease substantially. That anticipated improvement comes as DPD handling via Krishnapatnam during fiscal 2017-2018 accounted for 70 percent of its total laden import freight, with that volume hitting 54,653 TEU, statistics show.
“It [the new technology] will increase the frequency and connectivity of vessels, thus reducing the dwell time and transaction costs while ensuring timely delivery. Overall, the new container scanner will give a boost to the volume of containers handled at Krishnapatnam Port,” officials said.
Located about 112 miles north of Chennai, Krishnapatnam currently provides two container berths with a combined quay of 2,150 feet, an 89-acre backup area, nearly 5,000 ground slots, and a 1.2 million TEU annual capacity. The port has lately enjoyed strong growth — achieving an impressive 89 percent increase in container volume and a 25 percent in total tonnage in fiscal 2017-2018, year over year, according to statistics collected by JOC.com.