Containers Pile Up as Lines Skip India on Way to Europe

(International Freighting Weekly – Gavin van Marle, Lloyd’s List)

Shippers suffer as box carriers seek higher returns from Asia

Indian exporters and western apparel retailers are facing a congestion nightmare as containers pile up at India’s ports and container shipping lines operating out of Asia give the country a wide berth en route to Europe.

Grant Liddell, key account director at leading UK logistics provider Uniserve, said trade out of India was prone to severe delays. “It is exactly like the situation was out of China in November, when it was really difficult to get space on vessels to Europe and air freight was also suffering massive congestion,” he said. “Once again we are seeing congestion of the two combining, following the reduction of capacity by both shipping lines and airlines.”

Western India Shippers’ Association vice-president K Venkatesh said the situation was likely to get worse before it gets better. “At a conservative estimate, there are between 20,000 and 35,000 boxes lying around India at the moment, especially in the arc between Nhava Sheva and Tuticorin, and the lines have not so far been able to clear this backlog,” Read more here.