Container shortage may spoil exports recovery

Non-availability of containers at the leading ports may spoil the recovery process for the export sector which has shown positive growth trends for the first time in September during the current Corona affected fiscal. Leading industry body of exporters, FIEO, in a recent release has maintained that container shortage is emerging as a serious concern for meeting delivery commitments of foreign buyers.

Sharad Kumar Saraf, President, FIEO said that from the last couple of months, in spite of offering space for three to four weeks ahead, shipping lines are shutting out the containers abruptly giving reasons that the vessels are full. He further mentioned that the Sea freights have also started increasing gradually since July and all the shipping lines have increased the freights by 20% to 40% depending on the destinations.

Saraf further stated that exports have started picking up and our merchandise exports turned positive for the first time in the last seven months registering a growth of about 5.3% in the month of September, 2020. Therefore, this important component of export logistics needs immediate attention else our exporters would not be able to capitalize on the new opportunities.

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