Monday, 30 May 2016

Role of shipping in overall trade of India

Shipping industry plays an important role in the development of Indian economy. Some 90 % of trade of the country passes through sea lances. The country has one of the largest fleet among the developing countries. Many foreign shipping companies are operated by Indiana. The many foreign ships plying in Indian waters are operated by Indian crew members.

The sea trade is being carried out from western side and eastern side ports of the Indian peninsula. The crude oil and petroleum imports from the west Asian countries are handled by the ports located on the western shore of India. The location of largest oil refinery in the world, on the Gujarat coast ensures that bulk of the oil imports are taken by the ports in the areas. The eastern shore ports are gateway to the look east policy of the country. These ports maintain link with south East Asian country and beyond Japan, china and Korea. There are at least 55 shipping companies in the trading field, out of which 29 sail beyond the sea frontier of Indian and only 19 deals with costal trade. Some companies operate in both domestic and foreign trade. Both government and private shipping companies take part in foreign trade.

Generally the shipping is used for the transportation of bulk cargo, oil, petroleum products and agriculture produce. This is the type of cargo which cannot be transported by any other mode of transport

The Indian shipping corporation over the decades has developed many other facilities besides supporting national and international shipping cargoes. The facilities are, ship repairing, ship building, International Relocation Service in Mumbai light houses facilities, freight forwarding etc. To face the competition from foreign companies in both shipping cargoes and port handling facilities, the Indian shipping corporation with the help provided by government of India, has installation modern cargo loading and unloading machines in major ports on both coasts of Indian.   These modern loading facilities ensure that time of loading is reduced and more and more ships can be served. The coal loading facilities at Vishakhapatnam ports, installed in initial more than a decade ago has considerably reduced coal loading time with improved efficiency.


After the liberalization, International Excess Baggage shipping the government has encouraged private sector to increase investment in shipping and port building operations. Many ports are now being operated by the private companies. The government wants private companies to build and operate new ports along the costal line of Indian to increase the trade and create jobs for growing population .The role of these private companies is increasing in the foreign trade of India   .

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