New Delhi : Thousands of shipping containers deported from India to Russia are stranded at ports in Europe and West Asia as the war in Ukraine has hit transport logistics around the world. While some shipping liners insist on an additional fee for returning undelivered containers to India, some exporters seek overland routes to transport them to their destinations or to find new buyers for these goods in other countries. Scratching hands and feet.
Two shipping industry executives aware of the matter said shipping liners carrying around 3,000 such containers worth billions of dollars are unable to proceed or return. According to officials, many exporters are trying to bring back their stuck exports, but shipping liners have asked the exporters to pay the late fee and detention charges first. Detention fee is the fee that the exporter has to pay for using a container within the terminal after the empty time period, whereas the detention refers to the fee for its use after the empty time period outside the terminal or depot.
Exporters unable to make payments face the possibility of incurring significant losses. Along with the option to return their products, exporters are also looking at new buyers for their stuck products, said the people cited above. “Although some ships with Indian exports are now returning, many containers are still stuck at various ports.” Said one of the two people cited above.
It comes amid a shortage of ships and containers as US and European sanctions on Russia and its businesses raise crude oil prices and shipping costs.
Ajay Sahai, director general of Federation of Indian Export Organizations, said the customs department is working on a system for faster clearance of re-imported goods. The Central Board of Indirect Taxes and Customs is preparing a comprehensive standard operating procedure (SOP) for such re-imports, a government official aware of the development said.
Exporters said exports to Russia are also taking place through the Chinese port of Qindo and Turkey. Chabahar port in Iran is also being used by some exporters, and following the sea route, containers are transported via road from Azerbaijan to Commonwealth of Independent States (CIS) countries.
Emailed queries to the spokespersons of the Ministry of Shipping, Finance and CBIC of India remained unanswered till press time.