Middle East tensions: Ports told to consider waiving fees for stranded ships

NEW DELHI: With cargo ships bound for West Asia stranded in India due to conflicts in the region, the shipping ministry on Friday directed all 12 major ports to consider requests for reduction, exemption or waiver of charges, including storage rent, reefer blockage and ship-changing charges.The ministry said that during the affected period, ports may allow the storage of goods bound for West Asia as transshipment cargo, allocate additional storage areas, and coordinate with customs to facilitate the return of port export goods to the domestic market. They have also been asked to prioritize perishable cargo to prevent spoilage and facilitate additional bunkering capacity to meet potential demand.The directives came just hours after Shipping Minister Vijay Kumar chaired a virtual meeting with stakeholders including ministries, shipping lines, oil primary suppliers, companies and exporters, who pointed to possible congestion and shortage of containers at ports over the next two to three weeks. There have also been suggestions that more foreign-flagged vessels be allowed to transport domestic goods to cope with a shortage of ships and containers amid rising freight costs.According to the Shipping Ministry, 11 ships are heading to the Persian Gulf from different Indian ports, while 35 Indian-flagged vessels are heading to the region.The DGFT informed stakeholders that the Department of Financial Services is holding meetings with insurance companies, the General Insurance Board and the Export Credit Guarantee Corporation of India to address the issue of soaring premiums. It also informed that the RBI has held a meeting with the Indian Banks Association and the Indian Banks Association and asked banks operating in the West Asia region to allow their employees to work from home to ensure that shipping lines, exporters and importers do not face problems.Kumar said the port authorities have been instructed not to charge any additional charges.