CONTENTS

CHAPTER 1: INTRODUCTION .......................................................................................... 1

1.1 Concept and Significance of the Study ........................................................................... 2
1.2 Objectives of the Study ................................................................................................... 2
1.3 Scope of the Study........................................................................................................... 3
1.4 Limitations of the Study .................................................................................................. 3
CHAPTER 2: INTODUCTION TO THE PORT INDUSTRY .......................................... 4
2.1 Overview of Port Industry ............................................................................................... 4
2.2 Major Players in Industry ................................................................................................ 6
CHAPTER 3: INTRODUCTION TO THE COMPANY.................................................... 7
3.1 Company Profile ............................................................................................................. 7
3.1.1 Vision and Mission ................................................................................................... 8
3.1.2 Facilities at JNPT...................................................................................................... 9
3.2 SWOT Analysis............................................................................................................. 14
3.2.1 Strengths ................................................................................................................. 14
3.2.2 Weakness ................................................................................................................ 16
3.2.3 Opportunities .......................................................................................................... 18
3.2.4 Threats .................................................................................................................... 19
CHAPTER 4: RESEARCH METHODOLOGY ............................................................... 21
4.1 Research Design ............................................................................................................ 21
4.2 Sources of Data ............................................................................................................. 21
4.2.1 Primary Data Collection ......................................................................................... 22
4.2.2 Secondary Data Collection ..................................................................................... 22
CHAPTER 5: OPERATIONS AT JNPT ............................................................................ 23
5.1 Vessel and Container related Process............................................................................ 23
5.2 Import Containers and Delivery .................................................................................... 23
5.2.1 Delivery of CFS bound cargo ................................................................................. 24

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 5.2.2 Delivery of ICD bound container ........................................................................... 24
5.2.3 Delivery of Empty containers ................................................................................. 25
5.2.4 Transshipment ........................................................................................................ 25
5.3 Export Containers Documentation and Process .......................................................... 25
5.3.1 Containers arriving by road .................................................................................... 25
5.3.2 Containers arriving by rail ...................................................................................... 26
5.3.3 Loading of containers on vessel at Port .................................................................. 26
5.4 Gate Operations ............................................................................................................. 27
5.4.1 Pre advice section ................................................................................................... 27
5.4.2 In Gate .................................................................................................................... 28
5.4.3 Out Gate .................................................................................................................. 29
5.5 ICD Operation ............................................................................................................... 30
5.5.2 Functions of ICD .................................................................................................... 30
5.5.3 Rail Sliding (in case of a rail based terminal) ........................................................ 31
5.5.4 Container Yard ....................................................................................................... 31
5.5.5 Warehouse .............................................................................................................. 31
5.5.6 Gate Complex ......................................................................................................... 31
5.6 Yard Operations ............................................................................................................ 32
5.7 Wharf Operation ............................................................................................................ 34
5.7.1 Berthing and unberthing of vessel: ......................................................................... 34
5.7.2 Handling of Containers ........................................................................................... 35
5.8 Vessel Operation ........................................................................................................... 36
5.8.1 Steps in Vessel Operation ....................................................................................... 37
5.9 Marine Service .............................................................................................................. 38
CHAPTER 6: DWELL TIME AND EFFICIENCY AT JNPT ........................................ 40
6.1 Definition of Dwell Time .............................................................................................. 40
6.1.1 Cargo / Container related dwell time ...................................................................... 40
6.1.2 Vessel related dwell time ........................................................................................ 40
6.2 Port Efficiency Parameters ............................................................................................ 43
6.2.1 Pre-Berthing Detention ........................................................................................... 43

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 6.2.2 Non Working Time of Vessels at Berth ................................................................. 44
6.2.3 Turn Round Time (TRT) ........................................................................................ 45
6.2.4 Output per Ship Berth Day ..................................................................................... 45
6.2.5 Efficiency Parameters – Inter-Dependency ............................................................ 45
6.3 Analysis of Factors Contributing to Dwell Time and Port’s efficiency ........................ 47
6.3.1 Analysis of Factors Attributable To Port ................................................................ 47
6.3.2 Factors Attributable to Other Stakeholders ............................................................ 51
CHAPTER 7: INITIATIVES TAKEN BY JNPT TO PROMOTE EASE OF DOING
BUSINESS ............................................................................................................................. 54
7.1 Faster and Economical Operations ................................................................................ 54
7.1.1 Direct Port Delivery................................................................................................ 54
7.1.2 Inter Terminal Movement of Tractor Trailers ........................................................ 56
7.1.3 Development of Parking Areas............................................................................... 57
7.1.4 New Evacuation Corridor ....................................................................................... 59
7.1.5 Movement of Containers by Rail............................................................................ 59
7.1.6 Installation of Additional Container Scanners........................................................ 60
7.1.7 Setting Up of laboratories for speedy clearance ..................................................... 60
7.2 Digitization and Automation ......................................................................................... 60
7.2.1 Abolition of manual form-13 and form-11 ............................................................. 61
7.2.2 Implementation of RFID ........................................................................................ 61
7.2.3 E-Delivery Orders................................................................................................... 61
7.2.4 Integration of IGM Filing System with Terminal Operating System ..................... 62
7.3 Transparency & Trade Empowerment .......................................................................... 62
7.3.1 Disclosure of Tariffs by Shipping Lines and CFSs ................................................ 62
7.3.2 On-line Berthing / Un-Berthing .............................................................................. 63
7.3.3 Creation of Logistic Data Bank for Tracking of Containers .................................. 63
7.4 Impact of Initiatives ...................................................................................................... 63
7.5. Future Plans/Ongoing Projects ..................................................................................... 64
7.5.1 Capacity Addition: .................................................................................................. 64
7.5.2 Road Connectivity: ................................................................................................. 65

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 7.5.3 Modernization ......................................................................................................... 65
CHAPTER 8: DATA INTERPRETATION AND ANALYSIS ........................................ 67
8.1 Container Traffic ........................................................................................................... 67
8.1.1 JN Port Container Traffic & Growth (1989-90 to 2017-2018) .............................. 67
8.1.2 Container traffic handled by 4 Terminals in JN PORT (2015-16 and 2016-17) .... 69
8.1.3 JN PORT Traffic Throughput 2017-2018 .............................................................. 70
8.2 Bulk Traffic ................................................................................................................... 71
8.3 Vessels Handled ............................................................................................................ 72
8.4 Container Movement by Rail ........................................................................................ 73
8.4.1 ICD Traffic: JN Port: .............................................................................................. 73
8.4.2 ICD Traffic: Comparison between the 4 terminals ................................................ 73
8.5 Vessel Performance Analysis ........................................................................................ 74
8.5.1 Average Berth Stay:- .............................................................................................. 74
8.5.2 Average Pre- Berthing Waiting Time:- .................................................................. 75
8.5.3 Average Turnaround Time in Total:- ..................................................................... 76
8.5.4 Average Parcel size of Vessel:- .............................................................................. 77
8.5.5 Output per ship Berth Day:- ................................................................................... 78
8.6 Berth Occupancy:-......................................................................................................... 79
CHAPTER: 9 FINDINGS .................................................................................................... 80
CHAPTER: 10 RECOMMENDATIONS / SUGGESTIONS ........................................... 83
CHAPTER: 11 CONCLUSION........................................................................................... 87

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 CHAPTER 1: INTRODUCTION
India's rank in World Bank's Report, Doing Business 2018: Reforming to Create Jobs has
moved up to 100 as compared to 130 in the previous year. This massive jump in the ranking
– highest ever recorded – is the result of reforms undertaken in the last four years in nearly
thirty seven area covered under the indicators of starting a business, dealing with
construction permits, getting credit, protecting minority investors, paying taxes, enforcing
contracts and resolving insolvency. India has also been categorized among the top 10
improvers of 2018.
One of the most crucial indicators for business is ‘Trading Across Borders’ (TAB) wherein
the time and cost required to release the cargo from the customs port in Delhi and Mumbai is
captured through a questionnaire which relies on the perception of the traders and trading
agents. Here, India’s position has slipped by 3 places, currently at 146 out of 190 economies.
The World Bank’s Doing Business 2018 estimates for the TAB through Mumbai have been
given in Table 1.2.

Table 1.1: India’s Ease of Doing Business Ranking

Parameter/Year 2015 2016 2017 2018
Overall ranking 134 131 130 100
Trading Across Borders 126 144 143 146

Table 1.2: World Bank’s Estimate of Trading Across Borders through Mumbai
Parameter Time to Export (Hours) Time to Import (Hours)
Year Documentary Border Documentary Border
Compliance Compliance Compliance Compliance
2016 61 88 67 311
2017 58 85 65 307
2018 58 85 65 267
Source: www.doingbusiness.org

1
1.1 Concept and Significance of the Study
In this competitive world every company is struggling for maintaining its reputation in the
market. JN port is Asia’s no.3 container handling port but if we consider its five terminals
separately then the JNPT owned JNPCT handles less traffic than the private terminal APMT.
This study will specifically identify dwell time at various agencies in the EXIM process at
JNPT, covering all aspects of border compliance and documentary compliance.
Issues concerning the dwell time at the Ports (JNPT specific) and measure for its
improvement are discussed. The different components of the dwell time at various stages
involving different agencies were reviewed.
This report identifies issues that impact our trading environment and discusses initiatives
taken by JNPT for improving ‘Ease of Doing Business’ in India, in respect of ‘Trading
Across Borders’ indicator, in order to improve India’s trading competitiveness. The report
focuses on making recommendations that will simplify trading procedures and cut down
transaction costs and time. These recommendations are based largely on process
simplification, weeding out of unnecessary documents, integrating and automating
procedures across the Departments/Agencies involved and to minimize human interface,
with 24x7 online operations and handling of consignments.

1.2 Objectives of the Study

 To study the port operations at JNPT.
 To analyze the efficiency of the 4 terminals at JNPT and to identify the factors
affecting their performance.
 To study various initiatives taken by JNPT to promote ease of doing business.
 To recommend measures to be adopted for improving the efficiency.
 To identify the factors effecting port’s efficiency and suggest measures to improve
the efficiency.
 To analyze the dwell time of cargo / containers at Indian Ports and to arrive at the
factors contributing to the high dwell time and recommend measures for reducing the
dwell time and improve the efficiency at major ports.

2
1.3 Scope of the Study
Port functioning’s and operation are very necessary in waterways, seaway trading of cargo.
Seaway is most preferred way for heavy cargo. Nowadays, cargo is mainly transported in
containers. India’s most modern port, Jawaharlal Nehru Port Trust, which handled 4.5
million TEUs in 2017 -18 ranks 1st in India and 24th among all the ports in the world in terms
of container port traffic.

As the container traffic is going to increase there are many private players entering in the
market, JNPT need to improve a lot being favorite port in India.

This research will provide the normal procedures held at port and what are the problems
faced by Port and other entities related to port. There is scope to collect more information
about other ports in India and then comparison can be made. Future talking about
contribution, JNPTs is number one in handling container traffic in India, so there is scope of
finding out what are new ways to make JNPT world class facility port.

The project analyses the terminal wise performance of port and hence gives a brief idea about
the present competitors. It also provides knowledge to the organization of the position it
holds amongst its competitor.

1.4 Limitations of the Study

 Inaccessibility in some of the port areas is a major limitation of the study.
 Four terminals of JN Port are private terminals don’t issue gate passes easily.
 Initially no proper guidance was provided about the sources of data collection.
 It’s difficult to collect primary data due to confidentially policies.

 Complete Information was not provided from higher officials.

 Another difficulty was very limited time-span of the project.

 Analysis of performance based on the previous year’s data i.e. (up to 2016-17).

 More data would have been collected if the accessibility to port areas was better. For
e.g. the custom house and private terminals were almost inaccessible.

3
 CHAPTER 2: INTODUCTION TO THE PORT INDUSTRY

2.1 Overview of Port Industry

Figure 2.1 Port Site View

India has a coastline spanning 7516.6 kilometers, forming one of the biggest peninsulas in
the world. According to the Ministry of Shipping, around 95 per cent of India's trading by
volume and 70 per cent by value is done through maritime transport. It is serviced by 13
major ports, 200 notified minor and intermediate ports. The total 200 non-major ports are in
the following States:- Maharashtra (48); Gujarat (42); Tamil Nadu (15); Karnataka (10);
Kerala (17); Andhra Pradesh (12); Odisha (13); Goa (5); West Bengal (1); Daman and Diu
(2); Lakshadweep (10); Pondicherry (2); and Andaman & Nicobar (23).
Government of India (GoI) plans to modernize these ports and has approved a project
called Sagarmala. The ports and shipping industry in India play a vital role in sustaining
growth in the country’s trade and commerce. The Indian Government has allowed Foreign
Direct Investment (FDI) of up to 100 per cent under the automatic route for port and harbor
construction and maintenance projects. The government has also initiated National Maritime
Development Programme (NMDP), an initiative to develop the maritime sector with a
planned outlay of US$11.8 billion.

4
Major ports handled over 74% of all cargo traffic in 2017. All except Ennore Port are
government administered, but private sector participation in ports has increased. There are
also 7 shipyards under the control of the central government of India, 2 shipyards controlled
by state governments, and 19 privately owned shipyards.

As of 2018, there are 102 shipping companies operating in India, of which five were
privately owned and based in India and one was owned by Shipping Corporation of India.
There are 639 government-owned ships, including 91 oil tankers, 79 dry cargo bulk carriers,
and 10 cellular container vessels. Indian-flagged vessels carried about 15 percent of overseas
cargo at Indian ports for financial year 2017-18.

There are 13 major ports in India of which the last 13th is the port of Port Blair in Andaman
and Nicobar Islands, which was declared as a major port in the year 2010.

WEST COAST

 Kandla (Gujarat)
 Mumbai (Maharashtra)
 Jawaharlal Nehru (Maharashtra)
 Marmugao (Goa)
 New Mangalore ( Karnataka)
 Cochin (Kerala)

EAST COAST

 Tuticorin (Tamil Nadu)

 Chennai (Tamil Nadu)
 Ennore (Tamil Nadu) – privately owned
 Visakhapatnam (Andhra Pradesh)
 Paradip (Orissa)
 Kolkata-Haldia (West Bengal)

5
2.2 Major Players in Industry
Table 2.1: Top Container Handling Ports in the World

Rank Port Volume 2017-18 Volume 2016-17

(Million TEU) (Million TEU)
1 Shanghai, China 37.13 36.54

2 Singapore 30.90 30.92

3 Shenzhen, China 23.97 24.20
4 Ningbo-Zhoushan, China 21.60 20.63
5 Busan, South Korea 19.85 19.45
6 Hong Kong, S.A.R., China 19.81 20.07
7 Guangzhou Harbor, China 18.85 17.22
8 Qingdao, China 18.01 17.47
9 Jebel Ali, Dubai, United Arab Emirates 15.73 15.60
10 Tianjin, China 14.49 14.11
11 Port Klang, Malaysia 13.20 11.89
12 Rotterdam, Netherlands 12.38 12.23
13 Kaohsiung, Taiwan, China 10.46 10.26
14 Antwerp, Belgium 10.04 9.65
15 Dalian, China 9.61 9.45
16 Xiamen, China 9.61 9.18
17 Hamburg, Germany 8.91 8.82
18 Los Angeles, U.S.A. 8.86 8.16
19 Tanjung Pelepas, Malaysia 8.28 9.10
20 Keihin Ports, Japan 7.61 7.52
24 Jawarharlal Nehru Port (NhavaSheva), 4.51 4.49
India

6
 CHAPTER 3: INTRODUCTION TO THE COMPANY

3.1 Company Profile

Figure 3.1 JNPT Port view

The Jawaharlal Nehru Port Trust (JNPT) at Navi Mumbai (formerly known as the Nhava
Sheva Port) is India’s No. 1 container port handling 55% of the container cargo across all
major ports in India. Commissioned on 26thMay 1989, JNPT occupies a prominent place
among the most modern ports in India. It is the second youngest and one of the most modern
major ports of the country. Initially, JN Port was planned to be a ‘satellite port’ to the
Mumbai Port with a purpose to decongest traffic. In the pre- reform days, Mumbai port faced
a lot of issues like shallowness of the channel, congestion on roads and railways through the
Mumbai city linking the port to its hinterland, as well as labour problems. The Port’s
incapability of handling the expanding volume of modern cargo directed to the west coast,
eventually led to JN Port becoming an independent port in 1989. The port’s construction is
one of the technical marvels of the country as it was built on marshy soil in a record time of
just three-and-a-half years. To upkeep the beauty of the nearby historical Elephanta Caves
and surroundings, the management made use of contemporary, sophisticated instruments
while doing away with rock blasting. The total land area in possession of JNPT measures to
2,987 hectares with enough backup area for developing additional facilities for future
maritime requirements of the country. It was built with an investment of Rs.1, 109 crores, out
of which Rs.956.97 crores were obtained as loans from various funding agencies, with the
World Bank being one of the major contributors.

7
Today, JNPT is a fully mechanized port that uses the latest technology in handling cargo at
the terminals. JNPT is one of the pioneers in running its day-to-day operations with the help
of Information Technology (IT), including Electronic Data Interchange (EDI) and Vessel
Traffic Management System (VTMS). JNPT enjoys very good road and rail linkages with the
hinterlands as well as important business centres like Thane, Nashik and Ahmedabad, which
facilitate excellent port industry interface. It is characterized by highly automated and round-
the-clock operations and has immense potential and capacity to develop India’s first major
hub port. JNPT has chartered India’s international trade to a glorious course of success and
achievements, breaking all records and creating new benchmarks. It handled 66.0 million
tonnes of total cargo during the financial year 2017-18. The operating income for FY 2017-
18 amounts to Rs. 1,890.88 crores compared to Rs.1,700.97 crores during FY 2016-17. The
port handled about 4.83 million TEUs in the FY 2017-18. JN Port has firmly anchored itself
as the major catalyst for the trade and commerce in the country and is strongly committed to
providing seamless services to the world that docks here.

3.1.1 Vision and Mission

VISION
To be recognized as India’s premier container port providing integrated logistics to the best
interest of trade and customers.

MISSION
The port is committed to meeting the needs and expectations of its customers through:
Equipping itself with state-of-the-art equipment and technology and efficient, professional
and computer integrated terminal operation systems. Conforming to international standards
and offering competitive rates. Ensuring security and safety of life, equipment and cargo,
perceiving the principles of sustainable development, Courtesy to Customers

8
3.1.2 Facilities at JNPT

1. Jawaharlal Nehru Port Container Terminal (JNPCT)

Table 3.1: JNPCT HIGHLIGHTS

Owned and Operated by JNPT

Location 18 ° 56 ' 43 " N / 72 ° 56 ' 24 " E
Capacity 2 million TEUs
Channel Depth 11.8 m
Channel Length from Pilot Station 11 n.miles
Channel Steaming Time 1 hour 30 minutes
Area Terminal 61.80 Hectares
Quay Length 680 m
Terminal St. Capacity 34356
Draft Alongside 15 m
Draft permitted in Channel on high tide 14 m
Quay Cranes 9 twin lifters (excluding 3 SWB)
Quay Cranes SWL 50 tons
Quay Crane out reach 17 across
Mobile Harbour Cranes NIL
RTGCs 18
Reach Stackers 8
Forklifts 2
Tractors 130
Reefer Plugs 576
Rail siding 4
RMGC 5
Max LOA permitted 370 m
Displacement 150000

9
2. DP World (NSICT –Nhava Sheva India Container Terminal and NSIGT- Nhava
Sheva India Container Terminal)
Table 1.2: DP World Highlights

Owned and Operated by NSICT/ DP World NSIGT / DP World

Location 18° 56 ' 43" N /72° 56 ' 24" 18° 56 '43" N /72°56 ' 24"
E E
Capacity 1.5 million TEUs 0.8 million TEUs
Channel Depth 11.8 m 11.8 m
Channel Length from Pilot 11 n.miles 11 n.miles
Station
Channel Steaming Time 1 hour 30 minutes 1 hour 30 minutes
Area Terminal 26.4 Hectares 15 Hectares
Quay Length 600 m 330 m
Terminal St. Capacity 18000 12000
Draft Alongside 15 m 15 m
Draft permitted in Channel on 14 m 14 m
high tide
Quay Cranes 8 single lifter 4 twin lifter
Quay Cranes SWL 40 tons 60 tons
Quay Crane out reach 4 cranes 15, 4 cranes 17 20 across
across
RTGCs 29 12
Reach Stackers 2 Sharing NSICT
Forklifts 2 Sharing NSICT
Tractors 120 Sharing NSICT
Reefer Plugs 772 Sharing NSICT
Rail siding 2 Sharing NSICT
RMGC 3 Sharing NSICT
Max LOA permitted 370 m 370 m
Displacement 150000 211000

10
3. GTI (Gateway Terminal of India) / A P Moller Terminal

Gateway Terminals India (GTI) is a joint venture between APM Terminals and the Container
Corporation of India Ltd (CONCOR). Incorporated in July 2004, GTI operates the third
container terminal at Jawaharlal Nehru Port on a build, operate and transfer (BOT) basis for a
period of 30 years. It commenced partial operations in March 2006 and became fully
operational from October 2006.

The Terminal will have the following equipment:

Table 3.3: APMT Highlights

Owned and Operated by GTI/ AP MOLLER

Location 18 ° 56 ' 43 " N / 72 ° 56 ' 24 " E
Capacity 2 million TEUs
Channel Depth 11.8 m
Channel Length from Pilot Station 11 n.miles
Channel Steaming Time 1 hour 30 minutes
Area Terminal 54 Hectares
Quay Length 712 m
Terminal St. Capacity 42000
Draft Alongside 15 m
Draft permitted in Channel on high tide 14 m
Quay Cranes 10 twin lifters
Quay Cranes SWL 60 tons
Quay Crane out reach 18 across
Mobile Harbour Cranes Nil
RTGCs 40
Reach Stackers 4
Forklifts 2
Tractors 140
Reefer Plugs 840

11
Rail siding 3
RMGC 3
Max LOA permitted 370 m
Displacement 150000

4. PSA- BMCT (Port Authority of Singapore- Bharat Mumbai Container Terminal)

Bharat Mumbai Container Terminals Private Limited (“BMCT”), a subsidiary of PSA

International, received its first batch of three Super-Post Panamax Quay Cranes on 30th June
2017 in the lead-up to BMCT’s planned start of operations at the end of 2017.

BMCT’s first cranes are twin-lift capable with a capacity of 65 tons under the spreader and
have an outreach of 63 meters, making them capable of handling mega container vessels
which are 22 containers wide. The cranes were manufactured by Doosan Heavy Industries in
Vietnam. A second batch of three quay cranes will be delivered in September 2017, with six
more quay cranes being delivered during 2018 and 2019.

BMCT also received 18 rubber-tyred-gantry cranes (RTGs) during 2017 to provide efficient
yard operations, whilst the four rail-mounted-gantry cranes (RMGs) able to handle multiple
1.5km long double-stack Dedicated Freight Corridor (DFC) trains, a unique capability
amongst container terminals in India.

In 2014, PSA had emerged the highest bidder for the 30-year contract by quoting the highest
revenue share price bid of 35.79 per cent.

The project involves the construction of two berths in two phases of 1 km each. The first
phase is designed to handle 2.4 million TEUs at a cost of ₹4,719 crore, and the second phase
another 2.4 million TEUs involving an investment of ₹3,196 crore by 2022.

12
Once phase two is operational as well, the new terminal will help JNPT — India’s biggest
container port — doubles its capacity to about 10 million TEUs. It currently has four
facilities capable of handling a combined 4.8 million TEUs.

5. Shallow Draught Berth

A 445 long Shallow Draught Berth for vessels up to 170 meters LOA and up to 9.00 meters
draught has been commissioned for handling Feeder Container Vessels, Dry Bulk (Fertilizer ,
Fertilizer raw material, Sugar etc.) & General Cargo vessels with a capacity addition of about
1.2 million tons per annum.

6. BPCL Liquid Jetty

A license on BOT basis was awarded to M/s. Bharat Petroleum Corporation Limited and
M/s. Indian Oil Corporation Limited in August 1999 for construction of a twin-berth liquid
cargo jetty. The twin-berth liquid cargo jetty is functional from March 2002.

 A twin berth liquid cargo jetty developed by M/S Bharat Petroleum Corporation
Limited and IOC Limited on BOT basis for handling liquid cargo including POL
products
 A 300 m long and 40.5 m Wide Jetty.
 Having capacity to accommodate two vessels: of 85,000 DWT in seaside berth &
30,000 DWT on shore side berth.
 The dredged draught on seaside is 13.5m and 12 m on shore side.
 Three dock lines are provided for White and Black Oils.
 Estimates to handle 4.0 million tons of cargo in the next 5 years.
 Capacity of 5.5 million tons per annum.
 Jetty is provided with six 12' marine loading and unloading arms (3 on seaside and 3
on shore side), firefighting system as per OISD 156 norms and state-of-art
environmental protection measures.

13
3.2 SWOT Analysis

3.2.1 Strengths
A port’s strengths are its resources and capabilities that can be used as a basis for developing
a competitive advantage which the port currently possesses.
The following aspects were identified as competitive advantages/ strengths that JNPT
possesses currently.

1. Frequency of Services –
 JNPT has by far the highest frequency of services to major shipping destinations in
containers within India, allowing significant flexibility to port customers.
 As a comparison JNPT had 2720 vessel calls while Mundra had 1480.

2. Infrastructure –
 JNPT has over 2000 m of quay length for container handling, 34 quay cranes and a
well-developed CFS (Container Freight Stations) network, which places it at a
competitive advantage as compared to competing ports.
 What adds to the twenty first century image of the port is the state-of-the-art
equipment and cutting edge technology that has been successfully blended with the
activities taking place at the port.
 It has been incorporated with computer integrated terminal operation systems.
 One of the recently added facilities that make this port the first choice amongst the
importers and exporters of the country is the ability to track their container. Those
who are using GPRS enabled mobile phones can track their containers simply by
going to the URL.

3. Connected to major locations in hinterland –

JNPT currently has well-established rail and road networks connecting it to many parts of the
country. JNPT has the largest number of regular trains visiting it as compared to competing
ports in India allowing multiple access options to port customers.
 Regular services of over 2000 trains annually.

14
  Container Handling Equipment- 16 Quay Cranes, 47 RTG (excluding GTICT having 8
quay cranes)
 It is connected through broad gauge double line tracks to western and central rail
network.

4. Location –
 Due to its proximity to states with strong economic activity, JNPT is well located
with a well-developed captive hinterland.
 JNPT is a magnificent natural harbor on the west coast of India The deep 10-12 m sea
adjoining the harbor with no sand banks enables big ships to enter the port easily.
 The presence of Gharapuri Island blocks the effect of high tides and bad weather
making it 24*7*365 working port.

5. Financial Position –
JNPT has a healthy financial position with strong reserves and minimal liabilities.
 JNPT is expected to maintain a high profitability. JNPT would have a operating profit
margin of around 70% due to the fact that JNPT would earn significant profits from
revenue share from BOT projects which do not involve a corresponding operating
expense.

6. Availability of Land –
 JNPT has over 1200 hectares of developable land available (670 ha of these are land
demarcated for port operational activities), which would be required for supporting
port expansion requirements in the near future.

Port Highlights
 Accredited with ISO 9001-2000 Certification
 Ranks 31st among the top 100 Container Ports in the world
 Handles 56% of India’s total containerized cargo
 Highly automated and computerized operations with Single Window System

15
  Recipient of Indira PriyadarshiniVrikshamitra Award – 1996 for the Greenest Port in
India
 Equipped with the latest Vessel Traffic Management System (VTMS) to
track/monitor vessel movements ensuring safe navigation
 Spread over a land area of 2,584 hectares
 Served by 16 Container Freight Stations and over 23 Inland Container Depots
 Well connected by National Rail/Road network

3.2.2 Weakness

1. Restrictions arising from limited draft –

 Only vessels with a maximum draft of 12.5 m can arrive at JNPT using tidal window.
 At present, container vessels carrying up to 6000 TEUs having a draft up to 12.5 m,
navigate through JNPT channels, making use of the tidal window.
 Ships having draft larger than this cannot be serviced at JNPT. During monsoon ships
with draft up to 11.8 m can be serviced.

2. Distance from major shipping routes for transshipment–

 Ships visiting JNPT require significant deviation from major shipping routes.
Competitors like Salalah, Cochin and Colombo have an advantage of significantly
lesser deviation from mainline routes such as Europe Asia and the America- Far East
route.

3. Limited space for expansion from a long-term perspective –

 Elephanta Island limits the sea side expansion due to its status as an archaeological
site.
 Sheva hill acts as a natural barrier to the expansion of container yard operations. The
physical limit of expansion of the port will probably have been reached after dredging
and reclamation for fourth container terminal.

16
4. Sub-optimal utilization of space around port –
 Certain pockets of land such as some CFS operators are being sub-optimally utilized
impacting port operations.
 Contractual stipulations do not enforce utilization levels and throughput guarantees
(e.g. CFS operators)

5. Customer service –
 With competition expanding, JNPT will need to improve its customer facing
processes through improved marketing and account management.

6. Shortage of staff in key areas –

 JNPT is facing shortages of skilled staff such as marine engineers, pilots and IT. Rise
in average age of staff is also an area of concern for the port.
 JNPT faces issues in retention of people owing to competition from private sector
offering larger incentives.

7. Infrastructural limitations for liquid cargo –

 At the liquid chemical jetty, the limited discharge rate of a large number of pipelines
owing to their small diameter vis-à-vis the achievable ship discharge rate is a
restriction. This reduces the flow rate of liquid chemicals and increases ship
turnaround time.

8. Absence of IT connectivity –
 The absence of IT connectivity in internal port operations such as between terminals
for handling mixed trains impacts port operations.
 JNPT lacks the infrastructure for ship repairing facility and there is limited integration
of processes through use of IT.

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3.2.3 Opportunities
Opportunities provide prospect of profit and growth. Opportunities arise due to changes that
are occurring or are expected to occur in the external environment in which the port operates.

1. Infrastructure –
 JNPT currently has the largest infrastructure to handle container operations. However
these will have to be enhanced in light of the increasing traffic while maintaining
similar quality.
 JNPTs berth occupancy has been between 75 – 80% which indicates requirement of
additional capacity and an absence of additional capacity may lead to loss of traffic.
 Several private operators have evinced interests in developing capacity at JNPT
through a BOT model. In such a scenario the capacity of the port can be expanded
through private sector investments. This indicates low resource requirements from
JNPT.

2. Potential Value Added Services-

 Aligned to the export import traffic focus, other potential value added services which
could strengthen JNPT's positioning were-
o Distribution/Logistics
o Warehousing
o Free trade areas.
o RO-RO-- Roll-on/roll-off ships are vessels designed to carry wheeled cargo such as
automobiles, trucks, semi-trailer trucks, trailers or railroad cars that are driven on
and off the ship on their own wheels.
 The growth of traffic in northern regions in comparison to growth of traffic in JNPT
indicates that there is some diversion of traffic to western ports. Under such
circumstances it is critical for JNPT to develop value added services which could further
strengthen its value proposition and aid in retaining/ attracting traffic.

18
3. Captive Market Owing to Location-
 JNPT has been able to maintain its share in the western region and even has been able
to increase it. Over the long term western region is expected to serve as captive
market for JNPT due to JNPTs proximity to the western regions.
 The SEZ planned near JNPT will also generate traffic and it will be a captive market
for JNPT due to its proximity to JNPT.

3.2.4 Threats

Threats are events that can lead to reduction of profit and growth. Threats arise due to
changes that are occurring or are expected to occur in the external environment in which the
port operates.

1. Hinterland Connectivity –
 One of the most significant threats to JNPT's future plans is the increasing pressure
on road and rail connectivity.
 The number of trains required in JNPT is expected to go up in the future with an
increase in traffic. The marshaling yard at Jasai and key rail corridors are facing
saturation pressures.
 The current road infrastructure is facing pressures leading to congestion at various
places in the port area. The issues that need to be addressed are:
o Single evacuation route dependence.
o Separation of container and passenger traffic at various junctions.
o Shortening road access between key points.
o Separation of container and trailer traffic from other vehicles.
o Widening of roads for movement of container traffic.
o Providing parking and other infrastructure to tractor trailers.

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2. Increase in Competition-
 Currently JNPT serves over 50% of the container traffic in India.
 However, with the emergence of private players and capacity additions in other ports,
it is expected that some of the traffic especially from northern regions (which lie
closer to some of the western ports) would be diverted to the new ports. These new
ports are also expected to capture a large proportion of traffic in their region.
 The competitors considered are Pipavav, Mundra and Kandla in Gujarat, Port of
Rewas and Mumbai Port in Maharashtra.

3. Increasing Complexity of multiple terminals-

 Complexity would arise due to increase in number of terminal operators in areas
where shared resources are involved. An example would be mixed train (Train
carrying cargo for more than one terminal) handling as it would require various
terminal operators loading/unloading on the same train.
 Similarly other processes where common infrastructure is used such as port roads etc.
will face increasing pressures.

4. Increasing bargaining power of shipping lines-

Globally a few shipping lines control majority of the traffic. Currently the top 20 shipping
lines comprise over 90% of the global maritime traffic.

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 CHAPTER 4: RESEARCH METHODOLOGY
Research methodology is considered as the nerve of the project. Without a proper well-
organized research plan, it is impossible to complete the project and reach to any conclusion.
The project was based on the survey plan. The main objective of survey was to collect
appropriate data, which work as a base for drawing conclusion and getting result.

4.1 Research Design

A research design is the arrangement of condition for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economy in procedure.
It is blue print for data collection, measurement and analysis. The design of this project is
done such that it provides knowledge about JN port in terms of its infrastructure, capacity,
future plans, interaction with port users etc.

In the time period available for the project, only shipping agents and their problems were
studied. It was not possible to obtain information from CHAs and CFSs about their opinion
of each port terminal. However, CHAs and CFSs provide data about their functionality and
interaction with port which also valuable.

The project explains problems faced by shipping agents and the port during interaction, port
functionality and export/ import procedure. The project reveals ports role in the procedure.

Duration of work: 2 months.

Area of work: JN port and the nearby shipping agent offices.

4.2 Sources of Data

Data collection is done with the help of two methods.

 Primary Data

 Secondary Data.

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4.2.1 Primary Data Collection

 Details information about organization structure, port functionality and port

infrastructure was guided by Mr. Jaishekaran, Assistant manager, planning
department. Through knowledge about export/import procedure and documentation
was also given by him.
 Visits to different departments in port and each terminal of JN port has different
department like planning, Operations, ICD, Port planning and development, Marine.
 In this case data is collected by interaction mode from the various staffs who were
working in the JNPT port.

Common Questionnaires to all departments was as follows:

1. What is the name of the department?

2. What role does it play in import/ export procedure?
3. What are the departments you need to interact with?
4. What sorts of reports are generated?
5. What technology/ software do you use to store the information?
6. Are you satisfied with the available technology?
7. Do you need any customization in software?

4.2.2 Secondary Data Collection

 The secondary data is basically used for the purpose of enhancing the concept clarity
regarding different variables of port operation. The sources are research articles,
journals, magazines and internet.
 Annual records of the Company.
 Magazines & Journals.
 Textbooks, Internets & others.

22
 CHAPTER 5: OPERATIONS AT JNPT

5.1 Vessel and Container related Process

1 Registration of Shipping Line

 Registration of shipping line with Port and customs for line code and filling IGM and
EGM.
 Fixing of berth window with port as per policy.

2 Registration of Vessel and Gate Opening

 Submitting vessel details to port for vessel call.
 Registration of vessel in PCS and obtain VCN.
 Clearance from Marine section.
 Depositing VRC and CRC to Finance section.
 Issuing VIA (Vessel Identification Advice) number from Port Planning.
 Vessel Identification Advice (VIA) number: Can be obtained 15 days before.
 Obtaining of vessel rotation number from customs.
 At least 7 days before the arrival of vessel, port authority starts the gate to accept
containers and close the gate to accept the containers in minimum 8 hours (cut off
time) before expected time of arrival of that particular vessel.

5.2 Import Containers and Delivery

Import containers are destined for following location

 Container Freight Stations

 Inland Container Depots
 Empty containers to Empty Yard as designated by shipping line
 Trans-shipment containers to other port
 Direct delivery containers

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 As per the details provided, all the containers are assigned to specified location.

Figure 5.1: Import Containers and Delivery

5.2.1 Delivery of CFS bound cargo

 Filing of IGM (Import General Manifest) by shipping line through Customs.
 Submitting list of containers by shipping line to CFS.
 Placing job order by CFS to Port.
 Delivery of container by port.
 Transportation of loaded container by road to CFS through Port Out-gate.

5.2.2 Delivery of ICD bound container

 Generation of SMTP by shipping line through Customs.
 Custom forward SMTP through auto-mail to respective terminal and agent.
 Placement of rake by rail carrier.
 Preparation of loading plan by Port.
 Loading of containers on to the rake by Port equipment.
 Submission of removal memo to Railways/ carrier for hauling of the rake.

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5.2.3 Delivery of Empty containers
 Discharge and stacking of Empty Containers at Import Empty Yard.
 Obtaining permission from Customs (Container movement cell- CMC) by shipping
Line and submission to Port.
 Delivery of Empty Containers to Local Empty Storage Terminals through Port Out
Gate.
 Stacking at Empty storage Terminals nominated by Shipping Line

5.2.4 Transshipment
Vessel operators/agents should submit a list of transshipment containers before the arrival of
the in-carrier vessel. The list should include:

 First carrier vessel’s name, voyage number and operator/ agent name
 Container number, ISO code and weight.
 Port of loading, Port of discharge, Port of destination and Stow Port of Discharge
(SPOD).
 On-carrier vessel’s name (connecting vessel), voyage number and the operator/ agent
name.

5.3 Export Containers Documentation and Process

5.3.1 Containers arriving by road

Steps involved in the movement of containers arriving from CFS / ICD/ Factory by road

 Customs issues let ship order at port in-gate after duly endorsement on form 13 and
let export order submitted by shipping line.
 Port issues in-gate pass with yard location to be stacked after receiving form13 duly
endorsed by customs and copy of driver’s license.
 Transportation of container to port export yard through in-gate after physical
verification by Port security.
 Issue of drop out ticket.

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  Stacking of container at designated export yard.

5.3.2 Containers arriving by rail

Steps involved in the movement of containers arriving from ICD by rail

 Submission of form 11 to port by shipping line 6 hours prior to arrival of rake.

 Updating details of form 11 and planning of containers at export yard.
 Placement of rake at port rail tracks.
 Preparing discharge plan
 Discharge, Transportation and stacking of container at designated export yard by port
equipment.

5.3.3 Loading of containers on vessel at Port

Steps involved in the movement of containers from export container yard to ship

 Submission of manifested export list and pre-export stowage plan to port by shipping
line prior berthing of vessel.
 Preparing export stowage plan by Port CT Planning section.
 Berth allotment by port and submission of berthing application at Marine section by
shipping lines
 Berthing of ship at port container berths
 Confirmation of export stowage plan by ship’s chief officer.
 Deployment of container handling equipment at yard and wharf.
 Issuing instructions / plan to yard and wharf Operations.
 Feeding of export containers to wharf cranes as per stowage sequence.
 Loading of export containers by wharf gantries as per stowage plan.
 Issuing final export bay plan to shipping lines after completion of loading.
 Lashing of containers loaded on board.
 Submission of un-berthing application to Marine section by shipping lines.
 Pilot on board and sailing of ship.
 Filing of EGM (Export General Manifest) by shipping lines.

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5.4 Gate Operations

Figure 5.2: JNPT Main Gate

The activities over here determine the efficiency and productivity of the whole terminal. The
gate plays a vital role in case of a container terminal, as it controls the flow of container
terminal, as it controls the flow of containers in and out of the terminal. The typical
inbound/out bound containers are inspected and the documents are verified, this can take
time depending on the number of problems encountered. The gate should not act as
bottleneck for the terminal, as the in and out of containers decides the revenue generation of
the terminal.

Gate operations are divided into following activates

5.4.1 Pre advice section

Here the information provided by CFS/Shipping agent in form no.13 is updated at pre advice
section at the gate, which, is sent through the EDI connectivity to different terminal. The
software named NAVIS is used at the gate as its data feeding part. Types of containers
entering the terminal, role of surveyor, different details entered in form no 13 (cargo

27
identification customs seal no., IGM/EGM no, POL /POD etc.) customs role and the follow
up by operations department were explained as follows.

These are 8 gates at NSICT normally 4 gates are used as in-gate and 3 as decided on the basis
of flow of vehicles .on the basis of in and out process can be understood in the following two
sections.

5.4.2 In Gate
Two types of vehicles enter through the gate-

1) Container for export

2) Import container

For export containers shipping agent submit form no.13 to pre advice section which consists
custom seal number, IGM/EGM number, POL/POD details, VIA number, vessel name,
line(agent), ISO code and cargo details.

The information is updated in the system and four receipts are generated and given to the
agent one for him, one to submit at in and one out to the gate and one submit to CISF.

At least 7 days before the arrival of vessel, port authority starts the gate to accept containers
and close the gate to accept to accept the containers minimum 6 hours (cut off time) before
expected time of arrival of that particular vessel .Once container reaches the gate its surveyed
by the surveyor for the seal no. and condition of container if any found its mentioned on back
of the form no.13 and the container reaches the gate the truck driver shows it to the operator
at in gate which gives him EIR and BAT no. and directs him to the planned slot in the yard
by the yard planner which he starts planning from the day form no13 details has been entered
into the system at the pre advice. The truck driver shows the BAT on to the RTG operator
and he comes to know about which container to load on vehicle.
After ETA (expected time of arrival) on container is allowed to enter into the terminal. It can
happen in case of urgency if a special service request form is filled by the line/agent and

28
submitted at gate. The container is then allowed to enter into the terminal and being loaded
on the desired vessel. For this additional service rendered the line/agent is additionally
charged.
For import containers empty (form no 13) is submitted at the gates which contain information
about the CFS name, ISO no.,vehicle no. And other details containers whose job orders are
received by the documentation department from CFS are delivered. The vehicle is given a
EIR no. And BAT no. To show to RTG operator to load the container identified by the
respective BAT numbers.

5.4.3 Out Gate

The out gate is for three types of vehicles:

1) Empty vehicle after discharging export container in the yard

2) Vehicle with loaded import container
3) Vehicle after discharging export container collect import container

 In first case the out gate receive the EIR copy from the vehicle as a proof that the
vehicle that enter through in gate discharges the container and is now out of terminal.
 In second case the vehicle driver gives two copies of EIR at the out gate of these one
contain a custom stamp which is check by the gate operator and then enter the
transaction no., then lane no., then pre check container number with the number
entered in document. In meantime he stamped the other copy with the number entered
in document. In meantime he stamped the other copy with JNPT stamp and writes the
time and signs it and gave to the vehicle which is released to go or called as out gate.
 In third case both above process is take place simultaneously. Container types are
distinguished by ISO no....this unique for particular type of container.

29
5.5 ICD Operation

Figure 5.3: Inland Container Depot at JNPT

An Inland container depot may be defined as a common user facility with public authority
status equipped with fixed installations and offering services for handling and temporary
storage of import/export laden and empty containers carried under customs control and with
customs and other agencies competent to clear goods for home use, warehousing, temporary
admissions, re-export, temporary storage for onward transit and outright export.
Transshipment of cargo can also take place from such stations.

ICD Facilities at JN PORT

 JN Port has 9 railway sidings for handling containers trains.

 JN Port has gateway connectivity with around 51 inland Container Depot’s (ICD).

5.5.2 Functions of ICD

The primary function of ICD may be summed up as under:

 Receipt and dispatch/delivery of cargo.

 Stuffing and Stripping of Containers.
 Transit operations by rail/road to and from serving ports.
30
  Customs clearance.
 Consolidation and desegregation of LCL (Least Container load) Cargo.
 Temporary storage of cargo and containers.
 Reworking of containers.
 Maintenance and repair of container units.

The operations of the ICD Revolve around the following Centers of activity:-

5.5.3 Rail Sliding (in case of a rail based terminal)

The place where container trains are received dispatched and handled in a terminal.
Similarly, the containers are loaded on and unloaded from rail wagons at the siding through
overhead cranes and/or other lifting equipment.

5.5.4 Container Yard

Container yard occupies the largest area in the ICD and CFS, It is stacking area were the
export containers are aggregated prior to dispatch to port; import containers are stored till
Customs clearance and where empties await onward movement. Likewise, some stacking
area is earmarked for keeping special containers such as refrigerated, hazardous,
overweight/over-length, etc.

5.5.5 Warehouse
A covered space/shed where export cargo is received and import cargo stored/delivered;
containers are stuffed/stripped or reworked; LCL exports are consolidated and import LCLs
are unpacked; and cargo is physically examined by Customs. Export and import consignment
are generally handled either at separate areas in a warehouse or in different nominated
warehouses/shed.

5.5.6 Gate Complex

The gate complex regulates the entry and exists of the road vehicles carrying cargo and
containers through the terminal. It is place where documentation, Security and container
inspection procedures are undertaken.

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5.6 Yard Operations

Figure 5.4: Container Yard at JNPT

Yard operation is the central process through which all the other activities are connected and
around which import &export process through all the other activities are connected and
round which whole import and export process revolves in the terminal .yard operation
includes yard planning offloading of import container and on loading of export container.
The total area of JNPCT is 29 hectares of which can be stacked to 4 to 5 tiers according to
traffic.

The duty of yard planner is to reduce operational cost, increase efficiency in loading and
unloading so that the average truck time for gate to yard or yard to berth can be minimized.
Minimizing of shuffling of containers is also an important task in the hands of the planner so
that it should not affects movements of containers in the yard etc. and planning location for
containers accordingly. Yard numbering of the container for knowing the position of a
container .Yard planning is done according to the break up ground slots for convenience and
to reduce conjunction in the yard.

In JNPCT, there 18 RTG cranes that are used for shifting ,unloading and loading of container
in the yard and on the truck vehicles .Due to height these RTG cranes stack up to 5 tiers of
containers in case of standard and 4 tiers in case of High Cube containers in the container
yard.

When export containers are planned to stack in the yard, priority is given to container weight
and the Port of Discharge (POD) .There are 6 rows (A, B, C, D, E, and F) in each block. First

32
and second row for low weight containers, third and fourth row for medium weight
containers, fifth and sixth row for heavy weight containers .Such type of stacking containers
will help vessel planner to place weight containers under deck first, then medium and less
weight on top. This also saves time of RTG crane operator to lift and place on truck with
minimum time and need not to have search for heavy weight/light weight/medium weight
containers.

The yard planning starts before the container arrives in the yard through gate and prior to the
vessel coming to the yard for discharge and loading. Agents fill the pre-advice letter in which
form-13 is for road imports and exports while form-11 is for rail .Yard planner receives all
information through EDI connectivity.

PARCS and EXPRESS software is used by the operation department to undergo various
operations and to collect the database of the various containers .The yard operator serves the
function in both cases of export as well as import.

In case of export through the gate when the trucks are pre-advised the yard operations plays
its part. The trucks are allocated their particular destination the yard in the export yard as
soon as there data is fed in to the EXPRESS system. Similarly the containers coming through
rail are also planned in advance in the yard .This planning operation has to be done
considering the space in the yard to accommodate trucks altogether and minimize congestion.

For imports the vessel planner provides the list of import containers called as import advance
list which provides information about to be discharged in the terminal and provide details
which containers are for CFS, ICD, and transshipment. Accordingly the yard planner
allocates the yard to these import containers.

For export containers the containers starts coming through to the yard before the vessel
arrives to the wharf through truck from various CFS's and also through rail line handled by
the CONCOR. The cut off time for the containers is six hours before the vessel berthing that
means containers can arrives in the yard before six hours prior to berthing.

33
5.7 Wharf Operation

Figure 5.5: Quay Crane Loading and Discharging at JNPT

The wharf operation includes all the activities that are carried out on the wharf related to
container or vessels. Wharf is a place where the vessel berthed alongside for loading and
discharging of containers .Prior to vessel arrival some necessary precaution is made like the
boom of the crane should be up, spreader of the QC'S should checked, lashers should be
present at wharf, plan should be given to deck checker, wharf checker, feeder and to the
wharf, supervisor, ITV should be there for the start of operation .There is one deck checker,
one wharf checker & seven lashers are present at each QC. At the wharf a 25m distance is
maintained between two ships. At wharf the following important function are carried out.

5.7.1 Berthing and unberthing of vessel:

The vessel in anchored at the Mumbai floating light and then according window scheduled
the pilots and mooring gang of JNPT help the vessel in berthing. After ship is berth
inspection of ship by group of supervisor is take place for the safety concerns and the
required information is mentioned in vessel checklist. As the berthing operation is finished
the operation on the vessel a vessel inspection is done on the basis of vessel inspection
checklist by the vessel and terminal representative and after that handling of containers
commences in the next 15 to 30 minutes .The allotment of the QC's and vessel planning
34
basically the bay plan has already been dispatched in the respective hands before the arrival
of the vessel so that no delay is there in starting the loading and unloading procedure.

At the end of the loading unloading process the vessel chief gives notice of readiness to the
JNPT official and accordance with the tide table and the window scheduled for the vessel the
Unberthing take place.

5.7.2 Handling of Containers

After the berthing processes the ship is ready for discharging and loading of containers.
There is standard rule for loading of containers, as loading is done from sea side to land and
discharging is done from land side to sea side. First the discharging of container starts. In
discharging of container the updating is done by the wharf checker by entering container no.
in to the device provide to him known as VMT in case of empty container no., Seal no. is
check is there and in case of loaded container the seal no. is also checked and if there is
mismatch in crosschecking then a new seal is placed on the container and the agent is
charged for that seal and the new seal no. is being updated into the VMT. Discharging is not
done in particular sequences. Updating of loading is done by deck checker. In case of loading
particular sequence is followed.

Lashing Activities: The first work on the deck starts with the unlashing of the containers
which is carefully undertaken as it's a high risk involved task. The lashing supervisor
supervise the team of lashers is on the deck for timely, fast and safe lashing activities.
Lashing activities is always carried out away from the bay where QC is working and if on the
deck then at least two container away from the containers being stowed by the QC's.

BY QC's: The allotment of QC's is ready made by the vessel planner. A QC has a team of a
deck checker, a wharf checker and a lashing team consisting of seven workers. At JNPCT
there are 8 QC and each has 10 trailers assigned to it which can be altered according to the
need .There is 60 ft distance at let between the QC's working on the same ship .A deck
checker is there guiding the QC operator about the correct position of the containers being
loaded and feed it into the VMT. Sometimes reemling takes place if the container are the

35
same POD and same line and misplacing of containers takes place .While unloading similarly
the deck checker guides the QC operator to the containers.

Putting And Removing Locks: On arrival of containers on traitors for loading the locks
from the gear box of the ship fitted in the containers as well when the containers are
unloaded by the QC's on the trailers the locks are removed from the containers and put in the
gear box.

5.8 Vessel Operation

Figure 5.6: Berthing of vessel at JNPT

The wharf and vessel operation are closely related at JNPCT. As most of the vessel related
activities are carried out by JNPT the role of JNPCT in the vessel operation is negligible all
the activities related to berthing and unberthing are carried out in supervision or done by
JNPT. Whether its documentation process for arrival of vessels is berthed and ends when all
the activities related to loading and unloading are finished.

In vessel operation in case of sea transport, vessel carrying containers should be well planned
depending upon containers weight, port of discharge, nature\type of cargo i.e. Hazardous
36
,Reefer, Over Dimension cargo, General\Dry cargo, Size of container etc; so that the vessel
will be in balance position in the high seas it is also planned in such a way that the discharge
and loading of containers can be completed in less time by optimum and efficient utilization
of Quay Cranes and other resources. Therefore, all containers are well placed in different
Bays for fast clearance and also to maintain the balance of the vessel.

5.8.1 Steps in Vessel Operation

1. Berthing of Vessel

 Declaration of actual arrival of vessel by shipping line through Email.

 Berth allotment w.r.t window/non-window schedule by port.
 Submission of berthing application by shipping line.
 Pilot pickup and berthing of vessel at allotted berth.
 Customs clearance and immigration.

2. Vessel Discharge Operations: movement of Import containers from ship to Import

container yard.

 Preparing discharge plan destination wise

 Deployment of container handling equipment’s at yard as per planned location.
 Discharge and stacking of import containers at import yard as per planned location.
 Discharge and stacking of transshipment containers at Export yard as planned
location

3. Vessel Load Operation: Movement of containers from export container yard to ship

 Submission of manifested export list and pre-export stowage plan to port by shipping
line prior berthing of vessel.
 Preparing export stowage plan by Port CT Planning section.

37
  Berth allotment by port and submission of berthing application at Marine section by
shipping lines
 Berthing of ship at port container berths
 Confirmation of export stowage plan by ship’s chief officer.
 Deployment of container handling equipment’s at yard and wharf.
 Issuing instructions/plan to yard and wharf operations.
 Feeding of export containers to wharf cranes as per stowage sequence.
 Loading of export containers by wharf gantries as per stowage plan.
 Issuing final export bay plan to shipping lines after completion of loading.
 Lashing of containers loaded on board.
 Submission of un-berthing application to Maritime section by shipping lines.
 Pilot on board and sailing of ship.
 Filling of EGM (Export General Manifest) by shipping lines.

5.9 Marine Service

Vessel Traffic Management System (VTMS)

VTMS regulates the arrival of vessels of Jawaharlal Nehru Port channel. It has radar for
monitoring and controlling the vessel real time position.

VTMS comprises of one radar station at JNPT. The radar video along which control/status
signals are transmitted to the harbor master’s control tower by means of optical fiber cable.
The radar data processor and radar of radar display are installed at control room to remotely
control the radar of radar site. A microcomputer with stand by and interface to the port
management computer system maintain the database of vessel movements, vessel related
information and aid to scheduling of arrival of vessels at JNPT.

38
Features of VTMS

 Improvement in safety of vessel traffic by supervision of the entrance area, the

anchorage area, main route to JNPT and identification of vessels leaving a waiting
area.
 Providing information to vessels during bad weather conditions regarding traffic
situation.
 Regulates maritime traffic flow.
 Improvement in the planning of berth, anchoring area occupancy and traffic.
 Communication media to prevent accidental stranding, collisions trenching of subside
pipelines.
 Monitoring position of buoys and beacons in navigational channel.
 The whole area of interest is under radar coverage.
 Targets within the Radar Coverage Zone are automatically detected and tracked.
 Tracked targets are displayed on bright color display.

Figure 5.7: Vessel monitoring System

39
 CHAPTER 6: DWELL TIME AND EFFICIENCY AT JNPT

6.1 Definition of Dwell Time

The duration for which an entity stays in the port for service is called dwell time of the entity.
In the port parlance, the entities are mainly the vessel and cargo / containers.

6.1.1 Cargo / Container related dwell time

The time cargo / container remains in a terminal’s in-transit storage area while awaiting
shipment by vessels in exports or evacuation by rail / road in imports.

6.1.2 Vessel related dwell time

From the time a vessel reports at anchorage to the time it is cast-off from the berth, is the
Turn Round Time for the vessel.
Dwell time of cargo/container and vessel broadly reflects the efficiency of the port. Thus
measures adopted to reduce the dwell time have an influence on the efficiency of the port.

Any reduction in dwell time would reduce the transaction cost and also increase the capacity
of the existing Port infrastructure. This in turn would facilitate the trade in general and will
enhance the competitiveness of Indian goods in the international markets.
It is observed that the port’s role in the entire logistics chain is barest minimum to provide
the infrastructure facilities for handling of vessels, containers and other cargo. A detailed
time study of the actual time taken by the port authority for handling import and export
containers in the container terminal was carried out. It revealed that the total time taken by
the port authority, cumulatively, is 3.5 to 5.5 hrs. for import and 3.3 to 5.3 hrs for export.
Thus it can be observed that the rest of the time the container dwells in the port is on the
account of other stakeholders like shipping agents, customs, Clearing agents / transporters etc
who have to play their respective roles in preparing & furnishing the requisite information to
the port authority, arrange for funds for making payment of port charges, arranging for
transport etc. Following flow chart gives the time taken for various activities taken by the
port for handling containers at the terminal.

40
 CONTAINER OPERATIONS – IMPORT CYCLE – TIME
STUDY FOR PORT ACTIVITIES

Request for berthing of vessel

Agencies Involved – Shipping Agent, Port. Documents Required – Berthing application,
Payment receipt for berth hire and stevedoring, Certified hazardous cargo list.
Time Taken- 30 min

Submission of Advance list, IGM and advance payment of container related charges at
Port
Agencies Involved – Shipping Agent, Port. Documents Required - Hard copy of IGM, Port
Payment Receipts.
Time Taken- 30 min

Vessel / Yard Planning

Agencies Involved – Shipping Agent / stevedores, Port, Documents Required- Vessel Bayplan,
vessel / yard planning form.
Time Taken- 45 min

Berthing of vessel
Agencies Involved – Shipping Agent, Port, PHO, Police, Immigration, and Customs.
Documents Required- ISPS declaration, copy of P&I cover, Application to DC, Details about
crew, boarding set consisting ship & crew details, PHO form.
Time Taken- 1 to 3 hrs.

Discharging of import container and movement to CY for storage

Agencies Involved – Shipping Agent, Customs, Port, Port’s Transporters.
Documents Required- Vessel - yard Planning form, Tally sheet.
Time Taken- 20 min.

Movement from CY to Out Gate / ICD, Out Gate Operations

Agencies Involved –Port, Shipping Agent, Port’s Transporters.
Documents Required- Advance list, Gate Pass,
Time Taken- 30 min

Total Time taken by Port = 3.5 hrs. to 5.5 hrs.

Figure 6.1: Time study for Port’s role in handling containers-Import

41
 CONTAINER OPERATIONS – EXPORT CYCLE – TIME
STUDY FOR PORT ACTIVITIES

Movement from CFS / Factory to In Gate

Agencies Involved –Port, Shipping Agent, Transporters, Customs
Documents Required- Form 13, Gate Pass,
Time Taken- 15 min

Submission of Loading list, SB / Customs permission and advance payment of container

related charges atPort
Agencies Involved – Shipping Agent, Port, Custom Documents Required - Hard copy of Load
List, Port Payment Receipts.
Time Taken- 30 min

Vessel / Yard Planning

Agencies Involved – Shipping Agent / stevedores, Port, Documents Required- Vessel Bayplan,
vessel / yard planning form.
Time Taken- 45 min

Request for berthing of vessel

Agencies Involved – Shipping Agent, Port.
Documents Required – Berthing application, Payment receipt for berth hire and stevedoring,
certified hazardous cargo list.
Time Taken- 30 min

Berthing of vessel
Agencies Involved – Shipping Agent, Port, PHO, Police, Immigration, and Customs.
Documents Required- ISPS declaration, copy of P&I cover, Application to DC, Details about
crew, boarding set consisting ship & crew details, PHO form.
Time Taken- 1 to 3 hrs.

Movement of container from CY to berth & Loading on vessel

Agencies Involved – Shipping Agent, Customs, Port, Port’s Transporters. Documents
Required- Vessel & yard Planning form, Tally sheet.
Time Taken- 20 min.

Total Time taken by Port = 3.3 hrs.to 5.3 hrs.

Figure 6.2: Time study for Port’s role in handling containers-Export

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6.2 Port Efficiency Parameters
The efficiency of any Port may be judged by the Parameters such as – Pre Berthing Detention
Time (PBD), Non-Working Time at Berth (NWT), Turn Round Time (TRT) and Output per
Ship Berth day (OSB) of the vessels.
While making comparison on the basis of indices of efficiency it is important to note that
ports differ significantly in their infrastructure, cargo mix, types of ships calling at the Ports
and nautical constraints etc. For these reasons, comparison of the indices of efficiency
parameters not only with international ports but also amongst other Indian Ports may not be
appropriate.

6.2.1 Pre-Berthing Detention

Definition:
“This is the time taken by a ship from its arrival at the anchorage (reporting station) till
it starts its movement to the working berth, i.e., operational berth.”
Pre berthing Detention is a component of the Turn Round Time and any increase in the PBD
correspondingly increases the Turn Round Time. The Average Pre Berthing Time on port
account and non-port account at the JNPT for the year 2016-17 is illustrated in table.
The factors contributing towards port account and non-port account towards pre-berthing
detention are listed in the table.
Factors contributing to Port Account:
1. Non- availability of working berth as the berth is occupied by another working
vessel
2. Non- availability of working berth as berth is out of commissioned
3. Non- availability of working berth for any other reason
4. Non- availability of berth as all other berth are fully occupied
Factors contributing to Non-Port Account:
1. Documents not ready
2. Cargo not ready
3. Waiting for mother/daughter vessel
4. Waiting for barges

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 5. Mid-stream discharge to meet draft requirement
6. Absence of advance intimation about ETA etc.

6.2.2 Non Working Time of Vessels at Berth

Definition:
Non-working time is defined as sum of the “The Idle time from the time of berthing to
start of work, idle time during ship operation and idle time taken from the time of
completion of operations to sailing from berth together.
The factors contributing towards port account and non-port account towards Non- Working
Time are given below.
Factors contributing to Port Account:
1. Vessel waiting for a working berth after completion of unloading and before
commencement of loading
2. Break-down / non-availability of handling equipment
3. Non-availability of port labor gangs
4. Early break-up late reporting of DLB/Port Labour
5. Spillage/grizzly cleaning/chute jamming
6. Ragging / Stitching
Factors contributing to Non-Port Account:
1. For want of cargo / containers
2. For customs formalities-prior / after to commencement / completion of work
3. For unloading/loading instructions from Chief Officer
4. Shed congestion/non or poor clearance of cargo
5. Want of wagons/lorries/trailers for clearance
6. Ship’s positioning /wharfing/trimming
7. Break-down of ship gear
8. Due to ship bunkering/waiting for bunkering / repairs at berth / ballasting /
cleaning
9. For sailing instruction/boat note
10. Due to weather conditions
11. Due to Pollution

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 14. Want of barges
15. Document not ready

6.2.3 Turn Round Time (TRT)

Definition:
The Turn Round Time of a vessel refers “to the time the vessel reports at the anchorage
to the time it sails out from the berth”.
The Average Turn Round Time at JNPT for the year 2016-17 is listed in Table 4.3 of
Appendix-4. Factors contributing on port account and non-port account towards the TRT are
the combination of all the factors mentioned for PBDand NWT.

6.2.4 Output per Ship Berth Day

Definition:
The average output per ship berth day is defined as the ratio of the aggregate cargo to
the total number of berth days.
The Average Output per Ship Berth Day (OSB) at JNPT for the year 2016-17 is listed in
Table 4.4 of Appendix 4. The low values for OSB indicate lower productivity and there is
enough scope for improving the same by way of minimizing the non-working time.

6.2.5 Efficiency Parameters – Inter-Dependency

The port efficiency parameters Turn Round Time (TRT), Pre-Berthing Time (PBD), Output
per Ship Berth day (OSB) and Non-Working Time (NWT) are interdependent and factors
affecting one parameter will have cascading effect on the others. The main parameter of TRT
can be fairly taken to indicate the efficiency of the port since it reflects all the other
components effectively. To make understanding explicit, the following pictorial
representation of the components involved in TRT is shown.

45
The pictorial representation of the components involved in TRT is shown below:

Figure 6.3: Components involved in TRT

In terms of time distribution, TRT is the sum of PBD, time spent at the working berth that
includes the vessel working time (WT) and Non-Working Time (NWT) at berth and
operational Transit Time (time taken for berthing).
The values of the various components involved in TRT (overall) for JNPT for the year 2016-
17 are given in the Table. The TRT is taken as an indicator of the overall port efficiency.
This study in the chapter 6.3 includes the detailed analysis of various factors attributable to
the port as also other stakeholders, which are contributing to the dwell time of the vessel as
well as for the cargo and also those affecting the port efficiency parameters. Initiatives
already taken by the JNPT have been listed in chapter 7. Specific recommendations to
address the issues involved have been listed with target dates for implementation by the ports
and other stakeholders in chapter 10.

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6.3 Analysis of Factors Contributing to Dwell Time and Port’s efficiency
The Factors contributing to the Dwell Time and those affecting the port efficiency
parameters in JNPT in this report are grouped into two categories namely factors attributable
to Port and to the other stakeholders.

6.3.1 Analysis of Factors Attributable To Port

The following factors affecting dwell time and port efficiency parameters are attributable to
the port.
1. Infrastructure Constraints
a. Inadequate Port Capacity
The total cargo handling capacity of JNPT for 2017-18 has been estimated at 10 million
TEUs as against 8 million TEUs in the year 2016-17.
The total cargo handled in JNPT for 2017-18 and 2016-17 was 4.5Million TEUs and 4.49
million TEUs respectively. While the cargo handled was within the overall capacity available
at the port, a closer analysis reveals that in some of the most important streams of cargo,
ports are handing more than their designed capacity. The growth in cargo has been
phenomenal whereas the concurrent growth incapacity has not been able to keep pace with it.
The details about cargo handled are given in Table No. The growth in container traffic and
the lack of corresponding growth of capacity can be cited to illustrate this point.
Further, the Ports are projected to handle more and more traffic in view of the anticipated
GDP growth of 8%. Therefore immediate enhancement of capacity of the ports is imperative.
Inadequate port capacity leads to congestion thereby leading to increased TRT and dwell
time.

b. Inadequate Navigational Aids and Facilities:

JNPT is already equipped with Vessel Traffic Management System (VTMS), whereas most
of the other Ports are not equipped with such facilities. In most of the international Ports,
VTMS facilities are used for regular berthing / unberthing of ships.
But during the 2 month internship it was observed that the VTMS system use to fail
frequently.

47
JNPT has sufficient number of marine crafts like Tugs and Launches and Marine Crew /
Pilots for handling the present vessel traffic. These may not be sufficient to meet the
increased vessel traffic in the coming years.
Therefore, there is a need for replacing the existing crafts with sophisticated and modern
marine crafts and augment the fleet strength to meet the projected growth in the traffic.

c. Bunching Of Vessels
The bunching of vessels may arise due to:
• Entrance Channel Restrictions: Channel width restrictions leading to unidirectional
vessel movements causes waiting of vessels for service.
• Non-availability of berth: Due to want of suitable draught or the available berth being
occupied by other working vessel, the vessels calling at JNPT have to wait for want of berths.
The number of dedicated berths available for handling specialized cargoes / containers are
limited e.g. berths with pipeline for handling liquid cargo.

d. Poor Road Network Within The Port

The roads within JNPT are narrow and are not designed to handle the present kind of traffic
and load. This results in traffic congestions leading to delays in feeding and evacuation of
cargo, which in turn lowers productivity of vessel.

2. Low Cargo Handling Capabilities

The cargo handling capabilities of Ports in general is low. The productivity at berth is very
low in many ports on account of a combination of the following factors:

a. Inadequate Cargo Handling Equipment / Machinery

The cargo handling equipment / machinery at the JNPT were commissioned years ago few
have outlived their designed life span. The productivity of these equipments does not
conform to the requirements of the modern vessels now calling at the port.
3 new and sophisticated Indian Made container handling equipment like Quay Gantry Crane
(QGC) by Anupum are available in JNPT but the other types of container handling
equipment at the Terminal like Rubber Tyred Gantry Crane (RTG), Rail Mounted Gantry

48
Cranes (RMGC), Top Lift Trucks (TLTs), Reach Stackers (RS) are yet to be provided in
sufficient numbers in most of the Ports.

b. High Down Time of Equipment

The equipment that is available at the ports breakdown frequently due to poor maintenance
policies - i.e., reactive maintenance instead of preventive maintenance. The large response
time, non-availability of spares, dependence on proprietary parts and cumbersome purchase
procedures results in large down time of equipment.

c. Low Labour Productivity

A one-to-one comparison with each of the JNPT terminals or with other International ports
for labour productivity is not possible as it depends on various factors like degree of
mechanization, infrastructure, working conditions etc., which vary from port to port.
Enforcement of discipline amongst the workforce is difficult and poor work ethics such as
the tendency to report late and break early at the point of posting lowers productivity of the
individual as well as the gang’s productivity in the shift is commonly observed in all
government organizations.
The labour productivity is measured in terms of output per gang shift which is the tonnage
achieved by one gang per shift. The standard set is 20 TEUs per hour, but 15-18 TEUs output
is achieved.

d. Shortage of Storage Space

The private terminals at JNPT especially APMT and DP World are facing acute shortage of
storage space to implement their expansion plans to handle additional cargo as economic
activities around JNPT has increased to a large extent burdening the city infrastructure. As a
consequence, cargo aggregation/evacuation is seriously affected. The lack of storage space
affects the discharge / loading rate of the vessel.

e. Regulatory restrictions on Operation Time

The time lost in meeting the basic needs of the workers during the shift in spite of
introducing the concept of reliever causes delays in operations. Although JNPT says it

49
works24 X 7 X 365, time lost during shift changeovers etc. Safety regulations further restrict
the handling of certain commodities only during day light hours like hazardous cargo and
over-dimensional project cargoes.

3. Low IT Application

a. Insufficient IT implementation in Port Operations

The problems are due to partial automation of the processes, voluminous documentation,
inconsistency in data, redundant data entry, associated delays in processing and human errors
of judgment and calculation.
The information exchange to different levels of operational tiers continues to be manual
leading to duplication of work and redundant bookkeeping.

b. Too many Manual Documents:

Paper based systems with manual processing results in redundant recordkeeping, delayed
information transfer and voluminous documents. Each stage of documentation is closely
associated with the corresponding documentation of Customs. Unlike other stakeholders in
the supply chain, the activities of the port are subjective to the completion of certain activities
of other statutory bodies since the port is only a custodian of cargo. There are 12 Pre Arrival
Document, the import process has 16 and the export process has 13 major documents that are
to be completed before the cargo can exit the port premises.

c. Systems and Procedures:

Though JNPT has introduced single window processing for providing services under a single
roof, the user still has to interact with different departments individually. The entire process
is time consuming and can be done way by introduction of e-environment.

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6.3.2 Factors Attributable to Other Stakeholders
The following factors affecting dwell time and port efficiency parameters are attributable to
other stakeholders.
1. Cargo Evacuation / Aggregation Constraints

a. Non- Aggregation of Cargo in time

The Shippers are not able to declare the Cargo readiness in spite of the arrival of the vessel at
the Anchorage due to non-Cargo aggregation on account of constraints like want of space,
congestion on the land-sea interface, non-supply of cargoes by the exporters etc.

b. Slow evacuation of cargoes from the areas leased / licensed to Users

Importers many times fail to pick up their cargo in time and so due to non-clearance of
earlier vessel’s cargo forces the Agents to keep the vessel idling at anchorage as well as at
berths.

c. Document Readiness

The Agents are unable to make the vessel ready for want of completion of pre-arrival
documents like filing of Import General Manifest, Advance payment of port charges, ISPS
declaration etc. Multiple documentation to fulfill the mandatory obligations of various
regulatory bodies like CISF, Customs also causes delay.

d. Mismatch at transfer points

The speed at which the vessel load / discharge cargo at the berth does not match with the rate
of evacuation of cargo by consignees from storage point to the hook point and vice versa. For
e.g. for cement the discharge rate of vessel at JNPT is 500 T/Hr. and the trucks of only 10
tons capacity are deployed i.e., at least 50 trips an hour to remove the discharged cargo. The
number and the capacity of trucks deployed for evacuation of cargo are insufficient to meet
the requirements.

51
2. Statutory Inspection and Procedures

a. Procedural Formalities of Regulatory Authorities

The fumigation of the Plant Products, PHO clearance, independent sample collection by
different agencies in an uncoordinated manner forces the vessels to wait at anchorage. The
Plant Quarantine Authorities report only during the daytime in JNPT. The delay in the
completion of formalities like Customs examination and clearance hampers the discharge and
delivery of cargo especially in respect of cargo meant for direct delivery.

b. Limited working hours by Customs and other Govt. Agencies

Assessment and appraisal units of Customs work only for 5 days a week from 09:30 hours to
18:00 hours. The Appraiser at the Docks, the examination staff as well as the bank where
duty payment is made works only for 5 ½ days a week. Thus for regular weekends
containers/cargo is stranded for want of statutory agencies for the processing work.

c. Lack of inspection / testing facilities for Edible / Plant / Drugs at the port
For edible items testing facilities with Customs, FSSAI etc. are inadequate and hence such
items are sent to specialized laboratories, which take more than two weeks to issue the
certificate and consequent delay in Cargo clearance. Plant quarantine and drug controlling
officers are not available near the port vicinity and are to be brought from distant places,
which cause delays.

3. Underutilization of Railway Wagons/Rakes

Although JNPT has its own rail connectivity with various ICD, the cargo travelled to and fro
from JNPT is very less compared to road and the percentage utilization is decreasing day by
day.

52
4. Manual Customs Examination of Containers

Customs, inspection and examination process mandates opening of the containers,

examination of the goods and resealing of the containers. This is a time consuming process
adding to the dwell time.

5. Poor / Inadequate Hard infrastructure (Road / Rail Network)

The road and rail network and the highways in general are inadequate to handle the kind of
volumes of the cargo/containers envisaged, leading to stretching the meager resources. The
carting time for cargos becomes very high due to the poor road / rail infrastructure. Further,
the congestion in the approach roads to the port / terminals delays the arrival of the export
cargo in time. This results in the cargo missing the vessel and forced to be crossed to other
vessels with the connected documentation delays. To meet the expectations of the
international maritime industry and to reduce the time mismatch between road / rail with sea
transports, it is imperative to upgrade the hard infrastructure in the country to reduce the
carting time to a great extent.

53
 CHAPTER 7: INITIATIVES TAKEN BY JNPT TO PROMOTE EASE
OF DOING BUSINESS
As India’s leading container port, JNPT is constantly innovating and up-scaling operations to
not only meet but exceed global benchmarks with an underlining commitment to provide
seamless customer service and ease of doing business.

During recent years, JNPT has taken a number of initiatives for faster and economical
operations along with automation that has helped in streamlining the processes and helping in
reduction of cost, time and documents and thus making it easier for clients and partners to
business with JNPT. To bring more transparency in the operations for the logistic chain we
share all the relevant information about the Port and other stakeholders with the trade, and in
the process empower the trade in making the right business decisions.

7.1 Faster and Economical Operations

Speed is an important attribute of what sets apart from its contemporaries and competitors.
JN Port has achieved its leading status in the nation due to its minimal turnaround time, fast
movement of consignments and prompt delivery to customers.

The port has various initiatives in place for faster business processes leading to reduced
transaction time and economical services.

7.1.1 Direct Port Delivery

In an innovative effort to decongest the Port, expedite delivery of consignments and reduce
costs, Direct Port Delivery Facility (DPD) has been initiated. In Feb’ 2007, JN Port started
this facility for the import laden containers wherein the container is directly delivered to the
client’s doorstep, for all the custom approved ACP clients on minimum volume criteria.
Between Feb’ 2007 and Jan’ 2016, 11 clients signed up for this facility.
In Feb 2016, JNPT took a path breaking initiative of eliminating the minimum volume
criteria for availing of the DPD facility, so that a maximum number of clients take advantage
of this service. As a result, the number of clients has doubled from 11 to 26 in just 3-4
months. JN Port is fully prepared to accommodate all the eligible clients and wants
maximum ACP clients to benefit from this initiative. To further streamline the process,

54
registration as well as renewal to avail DPD, is made available online through JNPT’s
website.
This facility has reduced the import dwell time from the earlier 9-11 days (inclusive of 7-8
days of process time at CFSs end) to 1.5 days. Apart from reduction in import dwell time,
trade is also saving approximately Rs. 25,000/- to Rs. 40,000/- per TEU in transaction,
inventory and container detention cost.

Figure 7.1: Impact of DPD

 Direct Port Entry (DPE) ensures unhindered entry for export Containers.
 Created dedicated parking to complete the documentation process with customs
conveniently
 To reduce the transaction costs, TTs have to pay just Rs. 60/- for 8 hours of parking
instead of routing the cargo to buffer yards with higher costs
 Almost 75% port users are availing this facility
 RFID tagging at holding yards making TT’s entry smooth and direct to JN Port
 Exporters can now plan their cargo movements in a better way, saving time and fuel
costs, thereby reducing pollution and congestion. This has led to decongestion of port
roads and gates.

55
  Cost per TEU in transaction, inventory and container detention has reduced
substantially with a net saving of Rs. 10,000/- to Rs.20,000/-

 Import Dwell Time has reduced drastically to just 1.5 days from the earlier 7-8 days

 Registration/renewal can be done online through Terminal websites

 Elimination of minimum volume criteria has increased DPD users from a mere 11 to
778 in just one year, which caters to almost 60% of total import duty

 DPD reduces costs and expedites delivery of consignments to Importers

7.1.2 Inter Terminal Movement of Tractor Trailers

Since the terminals at JN Port were not inter-connected, any Tractor Trailer (TT), after
exiting from one terminal, had to repeatedly stand in a queue to enter the other terminal
leading to longer queues and added to congestion. This was a matter of concern for trade as it
was an added expense in terms of time and cost. Acting on this long pending demand of the
trade and for optimal utilization of TTs, JN Port allowed the Inter-Terminal Transfer of
Tractor-Trailers (TT) by allowing the sideways movement between all the three terminals in
a phased manner from Feb’2015.
 With this initiative, trade has benefitted in the saving of at least a 7.5 km road
movement per trip by completing two commercial transactions in one trip, leading to
faster turnaround time along with reduced fuel consumption and pollution in and
around the Port area.
 As of today, a total of 216,000 trucks with 270,000 transactions have already availed
of this facility, resulting in drastic load reduction at terminal gates as it has resulted
into reduction of traffic on port roads by more than 6% besides saving of approx. Rs.
10 crore purely on fuel cost.

56
 Figure 7.2: Impact of Inter terminal Movement of TT

7.1.3 Development of Parking Areas

Another factor which added to congestion at JNPT roads were the factory stuffed containers
coming to the port without proper documentation and being parked on ports till the
documentation was done. To address this problem, JN Port allotted two dedicated parking
plots of 6 Hectares each to private terminal operators APMT and NSICT, to be used as a
“Holding Area” to complete the document verification process. This initiative has helped the
port in ensuring that factory stuffed container traffic is streamlined.
JN Port is also up-scaling its infrastructure by developing a Centralized Parking Plaza
covering 45 hectares, which would accommodate approximately 2000 TTs. This parking plot
will ensure free movement on the approach roads and will help the trade in planning their TT
movements in a better way.

57
 Figure 7.3: Dedicated parking lot at JNPT

Figure 7.4: Impact of dedicated parking lot at JNPT

58
 7.1.4 New Evacuation Corridor
JN Port is well connected to the main hinterland by the National Highway-4B and the State
Highway-54. These roads also connect to the National Highway NH-4, Mumbai-Pune
Expressway and NH-17, which connect to Southern region along with Central and Northern
region of the country through NH-3 and NH-8.
In Exim trade, road connectivity plays a major part in business decisions. To cater to the
increased traffic due to upcoming Port expansion projects, work of 6/8 laning of NH-4B, SH-
54 and construction of grade separators at Gavhan Junction and Karal Junction has been
initiated at a total cost of Rs. 2936 crore, for which the funds are being arranged by JNPT
through ECB funding. This project has been taken up by an SPV formed between JNPT,
CIDCO and NHAI, namely Mumbai-JNPT Port Road Co. Ltd, with NHAI being the
implementing agency. The project is being executed on EPC mode is four civil packages,
which has been awarded and on-site work has already commenced.
Completion of this project will ensure faster evacuation of cargo with least inconvenience to
non-port traffic. In addition to above projects, JN Port is also planning to shift some of the
cargo from peak hours to non-peak hours to ensure free flow of traffic in both directions.

7.1.5 Movement of Containers by Rail

To reduce the existing load on port road, JNPT is encouraging movement of containers by
rail. To facilitate this ‘modal shift’, JN Port has started offering a rebate of Rs. 728/- per TEU
in handling charges to all CFS having rail connectivity. This initiative has shown a positive
result as the container movement by rail has more than doubled from 5,700 TEUs per month
to 11,000 TEUs per month after the extension of the rebate. Movement of containers by rail
to reduce congestion on roads.

 JNPT is encouraging movement of containers by rail, offering better connectivity to trade

 To facilitate 'Modal Shift', JNPCT has equalized the rates for containers moving by rail and
road

 The movement of containers by rail has reduced load on JN Port roads by 4%

 This has reduced congestion and pollution in and around JN Port

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 7.1.6 Installation of Additional Container Scanners
The shortage of scanners was an area of concern for the Port authorities as it resulted in
higher truck turnaround time and congestion at Port roads. To resolve this problem, JN Port
has decided to procure three scanners through its own resources.
Once the scanner installation is complete, each terminal will have an independent Container
Scanner leading to reduced scanner detention time and faster evacuation.

Radiological Detection Equipment (RDE) helps faster evacuation of corridors.

 In keeping with international safety standards, JNPT is the only Port in India to install RDE
for screening containers, promoting a hassle-free inspection and evacuation of cargo

 With this, JNPT has become 100% secure in complete scanning of hazardous materials

 To reduce scanner detention time and speedier evacuation of containers, JNPT is installing
additional 3 container scanners at a cost of Rs. 150 crore

7.1.7 Setting Up of laboratories for speedy clearance

The Ministry of Finance has taken an initiative to provide single window clearance to trade.
To support this initiative, JN Port has started the process of bringing all regulatory agencies
under one roof and has already allotted office space and land to all regulatory agencies, i.e.
Animal Quarantine, Plant Quarantine, Textile Committee, Drug controller and FSSAI for
setting up laboratories and offices. This would help in speedy clearance of the cargo.

7.2 Digitization and Automation

We live in world that is rapidly shrinking and expanding at the same time, thanks to the
digital revolution. In the 21st century, the comprehensive prowess of any port is being judged
by its ability to automate processes and digitize procedures. JN Port, in line with the Digital
India initiative of our Honorable Prime Minister has initiated several reforms towards being a
paperless Port, which would also help in easing out the processes for doing business with the
Port.

60
7.2.1 Abolition of manual form-13 and form-11
JN Port has discontinued the manual submission of Form-13 and Form-11 which were the
only physical documents required by the Port. This has been replaced with web based entry
system for Gate-In and Gate-Out, facilitating the exchange of data electronically and helping
the trade in saving time and cost.

7.2.2 Implementation of RFID

Verification of TT details at the terminal gate was a time consuming process and it used to
increase the Gate-In time, leading to congestion on the approach roads.
JN Port took a proactive initiative to standardize the gate processes by implementing RFID
based tagging of the containers. All the details of TT are fed in the tag and once the TT
reaches the terminal gate, this RFID captures the data to allow gate in. This process
eliminates human interaction and facilitates hassle free entry in the terminal area. The
transaction time has been reduced to less than 1 minute as compared to 5 minutes taken
earlier.
Out of the four container terminals operating in JN Port, NSICT and APMT has completed
the RFID-based Gate Automation work. JNPCT and NSIGT are in the process of
implementing the same and will commission by October’2016.

7.2.3 E-Delivery Orders

To obtain delivery order from Shipping Lines, Consignee or Custom House Agents (CHAs)
were required to submit the documents physically over the counter and it used to result in
unnecessary delays and long queues. On the initiative of JN Port, now all Shipping Lines
have implemented the issuance of e-Delivery Orders (e-do) instead of manual handing over
of Delivery Orders to CHAs & CFSs. This electronic transfer of data has helped in saving
time & cost for the trade.

61
7.2.4 Integration of IGM Filing System with Terminal Operating System
JN Port has integrated the Customs IGM EDI message with JNPT’s Terminal Operating
System (TOS), along with Bill of Entry and Out of Charge messages. It has facilitated the
exchange of information electronically by doing away with manual Bill of Entry and out of
Charge Messages resulting in faster and safer processing of information for the trade.
Benefits of Digitization and Automation
• All the transaction of MM and Finance and Billing electronically

• All the payments electronically

• PCS and Customs messages through SAP

• Better Control of Projects

• Moving towards paperless office

• Integration of all the Port activities

• Consistent and timely reporting at all the levels

7.3 Transparency & Trade Empowerment

Aligning with the vision of Hon’ble Prime Minister, Shri Narendra Modi of maximum
governance with minimal government, JN Port is striding rapidly towards achieving absolute
transparency with its digitizing initiatives. Empowering clients and providing satisfaction to
customers is at the core of JN Port's commitment. To achieve this, the port has simplified
port processes and ensured transparent operations in all areas.

7.3.1 Disclosure of Tariffs by Shipping Lines and CFSs

Trading across borders is a very price sensitive market. To give competitive advantage to
trade, JN Port has uploaded tariffs levied by CFSs, Shipping Lines and Terminal Operators
on its website under the link ‘INFO/TARRIFF’. This is a step towards empowering the trade
and bringing complete transparency in the system.

62
7.3.2 On-line Berthing / Un-Berthing
One more initiative towards process automation by JN Port is the replacement of daily Pre-
Berthing meetings between Port and Shipping lines by e-online berthing/unberthing facility.
This has made the entire process transparent & paperless and has also made it possible for the
trade to get real-time updates. JN Port is also displaying the Berthing details on Port website
on a daily basis.

7.3.3 Creation of Logistic Data Bank for Tracking of Containers

JN Port is the first port in the country to implement a logistic data bank tagging of containers.
All the three terminals at JN Port have started the tagging of containers from 1st July’ 2016.
The trade can get real time information about the location and movement of the container
during transit.
This facility will bring more accountability and transparency in the system and will help
trade in advance business planning.

7.4 Impact of Initiatives

As a result of these initiatives, the Average Import Dwell time at JN Port has reduced to 1.5
days, which is comparable to international benchmark of 1-2 days. Similarly Average Export
Dwell Time is reduced to 63 hours from the earlier 88 hours. JNPT are committed to improve
this further, to create more value for trade in doing business with JNPT.
 55 % of container cargo amongst Major Ports in India is handled by JNPT.
 5-7 days of time saving under DPD initiative.
 36 hours of average dwell time for DPD customer, which is at par with international
ports.
 Rs. 8,000-Rs.20,000 per container savings with Direct Port Delivery (DPD) of import
containers.
 Rs. 3,000-Rs.4,000 per container savings with Direct Port Entry (DPE) of export
containers.
 6% traffic reduced due to Inter Terminal Movement of Tractor Trailers.

63
 Figure 7.5: Dwell time trend at JNPT

7.5. Future Plans/Ongoing Projects

7.5.1 Capacity Addition:
1. Development of fourth container terminal

On December 2014, JNPT awarded the prestigious 4th container terminal to M/s. Bharat
Mumbai Container subsidiary of PSA, Singapore on DBFOT basis with a capacity of 4.8
million tonnes with Quay length of 2kms. The project is taken up in 2 phases. The
construction of Phase-1 is completed on 22nd Dec’2017 and put up for the vessel operations.
Estimate cost - Phase I - Rs.4719 Cr / Phase II - Rs.3196 Cr. Total Rs.7915 Cr.

2. Development of Coastal Birth

The construction work of coastal birth along with two approaches bridges in backup of
reclamation area is 11 hectare has been taken up. The work was awarded on 31st March,
2017. Estimated cost is 143.32 Cr, and will be completed within 24 months.

64
 7.5.2 Road Connectivity:
1. Development of Fly over in port area at Y junction

The port has awarded the work of two fly overs in JN port area.
i. The work of construction of fly over at North gate complex is awarded in March 2017. The
work is commenced at site. Estimated cost is 127 crores
ii. The work of construction of fly over near Y junction is awarded in March 2017.The work is
commenced at site. Estimated cost is 82.95 crores

2. Widening of NH 4B, SH-54 and AmraMarg to 6/8 lanes

The project of “widening of NH- 4B,SH -54 and AmraMarg to 6/8 lanes on the boundaries of
the proposed Navi Mumbai international level at total project cost of Rs.2935.91 crores for a
total length of 43.91 KMs is in progress. The work is taken up in 4 phases. The funding is
being done by JNPT by obtaining ECB loan from SBI Hongkong & DBS Singapore, for loan
amount of 400 million USD i.e. Rs.2600 crores, The work is in progress and will be
completed during the year 2018.

7.5.3 Modernization
1. Development of infrastructure in Port based Multi product SEZ at JNPT

JN Port has planned SEZ in 277 hectares area. The work of land development is completed
and construction of boundary wall work is substantially completed. The engineering,
procurement & construction work is awarded in the month of oct 2016, Rs 476 crores. The
EPC work will be completed by 2018.

2. Restructuring of container Yard for optimal yard utilization

This project will help in optimum utilization of yards and will improve the performance
parameters. The work is phase I is awarded in March, 2017. The work is commenced at site.

3. Development of integrated centralized parking plaza

The work of development of further infrastructure work in 45 hectare area such as top
pavement buildings, RCC drains, firefighting , gates boundary wall etc.is taken up. This

65
work was awarded in March 2017. The work is commenced at site and is in progress.
Estimate cost is 149.31 crores.

4. Development of common Rail yard inside Port

The work is taken up through Indian Port Road Company Ltd. (IPRCL). The work is
awarded in March 2017. Estimate cost is 91.91 crores. The work is commenced at site.

5. Modernization of cargo handling equipment RTGCs

JNPT has awarded the work of supply of 15 no. e-RTGCs to M/s Sany Group of companies,
with an estimated cost of Rs.160 crores by March 2017, 15 nos. of e-RTGCs received in the
port and 9 nos. and commissioned in November -2017

66
 CHAPTER 8: DATA INTERPRETATION AND ANALYSIS

8.1 Container Traffic

8.1.1 JN Port Container Traffic & Growth (1989-90 to 2017-2018)

Table 8.1: JN Port Container Traffic & Growth (1989-90 to 2017-2018)

YEAR Throughput % Growth YEAR Throughput % Growth

89-90 33880 - 2004-05 2371338 4.51%
90-91 54643 61.28% 2005-06 2666703 12.46%
91-92 109495 100.38% 2006-07 3298321 23.69%
92-93 142629 30.26% 2007-08 4059841 23.09%
93-94 173071 21.34% 2008-09 3952770 -2.64%
94-95 244070 41.02% 2009-10 4061343 2.75%
95-96 339136 38.95% 2010-11 4269811 5.13%
96-97 423148 24.77% 2011-12 4320902 1.02%
97-98 504149 19.14% 2012-13 4259314 -1.43%
98-99 669108 32.72% 2013-14 4161701 -2.29%
99-00 889978 33.01% 2014-15 4466696 7.33%
00-01 1189780 33.69% 2015-16 4491568 0.56%
2001-02 1573677 32.27% 2016-17 4500149 0.19%
2002-03 1929531 22.61% 2017-18 4833397 7.40%
2003-04 2268989 17.59%

Analysis: JN Port handled 4.50 million TEUs of container traffic during the financial year of
2016-17, increased by 0.19 % from the previous annual container handling of 4.49 million
TEUs during the year 2015-16. The container handling at JNPT constitutes about 53.28 % of
total container traffic handled by all the Indian Major Ports (8.45 million TEUs).

67
 Graphical representation of Container traffic of JN Port

JN Port Container traffic (1989-90 to 2017-18)

6000000
T
R
A 5000000
F
F 4000000
I
C
3000000
I JN PORT Throughput
N 2000000

T
1000000
E
U
S 0 2007-08
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07

2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
89-90
90-91
91-92
92-93
93-94
94-95
95-96
96-97
97-98
98-99
99-00
00-01

FINANCIAL YEAR

Graph 8.1: Container traffic of JN Port

Analysis: - As per the above table and graph we can see JNPT has grown very well. Although
seeing a decline in growth in successive years i.e. in 2012-2013 and 2013-14 there is increase in
no. of TEUs handled by JNPT in following years. JNPT handled 4833397 TEUs which is its best
performance till date. This growth rate was achieved due to various initiatives taken by JNPT
during the year 2014-15. It is expected that after the 5th terminal i.e. PSA-BMCT gets fully
operational by the year 2019 the JNPT throughput will increase to 10 million TEUs.

68
 8.1.2 Container traffic handled by 4 Terminals in JN PORT (2015-16 and 2016-17)
Table 8.2: Container traffic handled by 4 Terminals in JN PORT (2015-16 and 2016-17)

CONTAINER TRAFFIC (IN TEUS)

2015-16 2016-17
JNPCT NSICT APMT NSIGT JNPCT NSICT APMT NSIGT
Import 706601 449627 1000550 114429 763521 316846 942634 227485
Export 698106 532482 852663 85818 743490 403567 842579 215553
Transhipment 24570 17571 7070 2081 26964 8147 7290 2073
Total of
1429277 999680 1860283 202328 1533975 728560 1792503 445111
Terminal
JN Port Total 4491568 4500149

2000000
1800000
1600000
Container Traffic in TEUs

1400000
1200000 JNPCT

1000000 NSICT

800000 APMT

600000 NSIGT
400000
200000
0
2015-16 2016-17

Graph 8.2: Graphical Representation of Comparison between 4 Terminals Container Traffic in TEUs

Analysis:-Above data shows GTIPL can handle more traffic as compared to other three
terminals. In Year 2016-2017 JNPCT has handled more containers as compared to 2015-
2016.Of the total traffic of 4.50 million TEUs in 2016-17, the share of JNPCT was 1.53
million TEUs (34.09 %); the share of NSICT was 0.73 million TEUs (16.19 %), 1.79 million
TEUs were contributed by APM Terminals, Mumbai and remaining 0.45 million TEUs (9.89
%) were contributed by M/s. Nhava Sheva(India) Gateway Terminal Pvt. Ltd. (NSIGT).

69
8.1.3 JN PORT Traffic Throughput 2017-2018

Table 8.3: JN PORT Traffic Throughput 2017-2018

TERMINAL IMPORT EXPORT TOTAL

JNPCT 745134 736634 1481768
NSICT 258301 382821 641122
NSIGT 343446 315954 659400
GTIPT 1084121 943774 2027895
PSA-BMCT 11554 11658 23212

2500000

2027895
2000000
Throughput in TEUs

1481768
1500000
IMPORT TEUs
EXPORT TEUs
1000000 TOTAL TEUs
641122 659400

500000

23212
0
JNPCT NSICT NSIGT GTIPT PSA-BMCT

Graph 8.3: Graphical Representation of JN PORT Traffic Throughput in 2017-18

Analysis: - The Analysis shows that GTIPT gives more throughput then other four terminals
i.e. JNPCT, NSICT, NSIGT and PSA-BMCT. GTIPT has handled more TEUs than the other
Terminals. Although the contribution of PSA-BMCT is negligible in 2017-18, it is believed it
will give a throughput of additional 4.8 million TEUs next year making the total annual
throughput of JNPT 10 million TEUs in 2019-20.

70
8.2 Bulk Traffic
The total Bulk cargo handled during the year 2016-17 was 7.62 million tons as against 7.24
million tons handled in the previous year. The growth in Bulk traffic is 5.31 % over previous
year. Commodity wise percentage variation is given below:

Table 8.4: The Total Bulk cargo handled

Commodity 2015-16 2016-17 % variation over

(in tons) (in tons) previous year
Liquid Bulk 6504656 6780985 4.86
Cement & other 674064 815680 21.01
Dry Bulk cargo
Break Bulk 58109 24410 -57.99
Total Bulk 7236829 7621076 5.31

9000000

8000000

7000000
Cargo handled in tons

6000000

5000000
2015-16
4000000
2016-17
3000000

2000000

1000000

0
Liquid Bulk Cement & other Break Bulk Total Bulk
Dry Bulk cargo

Graph 8.4: The total Bulk cargo handled

71
 The break-up of Import-Export of Bulk cargo is given below:

Table 8.5: Break-up of Import-Export of Bulk cargo

Bulk traffic In million tons

2015-16 2016-17
Import 4.88 5.52
Export 2.36 2.11
Transhipment - -
Total 7.24 7.62

8.3 Vessels Handled

During the year 2016-17, a total of 2720 cargo handling going vessels sailed from JN Port as
against 2780 vessels in the previous year. The break-up is given below:

Table 8.6: Vessels sailed from JN Port

Types of vessel In Nos.

2015-16 2016-17
Container: JNPCT 678 629
: NSICT 555 473
: APMT 616 619
: NSIGT 86 191
Dry Bulk 39 43
Break Bulk 241 141
Liquid: At berth 562 617
: At JNP 3 7
Anchorage
Total 2780 2720

72
8.4 Container Movement by Rail

8.4.1 ICD Traffic: JN Port:

A total of 659,386 TEUs were handled through 4,350 rakes during the year 2016-17 as
against 775,684 TEUs handled through 4,918 rakes in the previous year, showing reduction
in rail traffic by 14.99 %. The break-up is given below:

Table 8.7: ICD Traffic: JN Port

ICD traffic 2015-16 2016-17 % variation from

(TEUs) previous year
Import 429099 360301 -16.03
Export 346585 299084 -13.70
Total 775684 659385 -14.99
No. of Rakes 4918 4350 -11.55

8.4.2 ICD Traffic: Comparison between the 4 terminals

Table 8.8: ICD Traffic: Comparison between the 4 terminals

ICD Traffic 2015-16 2016-17 % variation w.r.t

previous year
JNPCT : Traffic 191465 170633 -10.88
: No. of Rakes 1593 1412 -11.36
NSICT : Traffic 202264 135557 -32.98
: No. of Rakes 1195 1074 -1.26
APMT : Traffic 352126 272698 -20.96
: No. of Rakes 2130 1758 -17.46
NSIGT : Traffic 29829 80497 169.86
: No. of Rakes - - -

73
8.5 Vessel Performance Analysis
8.5.1 Average Berth Stay:-
Table 2.9: Average Berth Stay

Types of vessel Average berth stay in days

2015-16 2016-17
Container : JNPCT- MCB 1.43 1.47
: JNPCT- SWB 0.92 0.91
: NSICT 0.90 0.76
: APMT 0.94 0.89
: NSIGT 1.02 0.94
Dry Bulk 4.00 3.76
Break Bulk 0.57 0.67
Liquid 1.41 1.28
Overall 1.12 1.10

4.5

4
JNPCT- MCB
3.5
Average berth stay in days

JNPCT- SWB
3
NSICT
2.5 APMT
NSIGT
2
Dry Bulk
1.5
Break Bulk
1 Liquid

0.5 Overall

0
2015-16 2016-17

Graph 8.5: Graphical representation of Average Berth stays (days)

Analysis: -APMT requires less time for completion of loading and unloading of containers
as compared to other terminals i.e. NSICT, NSIGT and JNPCT. Dry bulk requires more time
for loading and unloading than any other terminal. Overall Berth stay has decreased in 2016-
2017. The average berth stay (overall) has reduced from 1.12 days to 1.10 days.

74
 8.5.2 Average Pre- Berthing Waiting Time:-
Table 8.10: Average Pre- Berthing Waiting Time

Types of vessel Average Pre-Berthing Waiting Time in days

2015-16 2016-17
Container : JNPCT- MCB 0.16 0.16
: JNPCT- SWB 0.04 0.01
: NSICT 0.06 0.03
: APMT 0.16 0.04
: NSIGT 0.08 0.05
Dry Bulk 0.79 0.79
Break Bulk 0.07 0.07
Liquid 1.33 0.91
Overall 0.37 0.29

1.4
Average Pre-Berthing Waiting Time in days

1.2
JNPCT- MCB
1 JNPCT- SWB
NSICT
0.8 APMT
NSIGT
0.6
Dry Bulk

0.4 Break Bulk

Liquid
0.2 Overall

0
2015-16 2016-17

Graph 8.6: Graphical representation for Average Pre- Berthing Waiting Time (days)

Analysis: - Above Graph shows that Pre berthing time required by the vessel is less at GTICT
Terminal as compared to other terminals i.e. NSICT and JNPCT. Liquid Jetty requires Pre
berthing time. Overall Pre Berthing time has decrease in 2016-2017. The average Pre-Berthing
(overall) has reduced from 0.37 to 0.29 days.

75
 8.5.3 Average Turnaround Time in Total:-
Table 8.11: Average Turnaround Time

Types of vessel Average Turnaround Time in days

2015-16 2016-17
Container : JNPCT- MCB 2.04 1.93
: JNPCT- SWB 1.82 1.44
: NSICT 1.46 1.27
: APMT 1.51 1.14
: NSIGT 1.33 1.32
Dry Bulk 8.77 5.44
Break Bulk 0.96 1.42
Liquid 5.20 3.62
Overall 2.44 2.02

10

9
Average Turnaround Time in days

8 JNPCT- MCB
JNPCT- SWB
7
NSICT
6
APMT
5
NSIGT
4 Dry Bulk
3 Break Bulk
2 Liquid

1 Overall

0
2015-16 2016-17

Graph 8.7: Graphical Representation of Average Turnaround Time in Total (days)

Analysis: - Above Graph shows that APMT Turnover time is less as compared to other terminals
i.e. NSICT, NSIGT and JNPCT in 2016-17. JNPCT Turnover time decreased in 2016-2017. Dry
bulk requires more time to complete load and unloading of vessels. Overall turnover time has
decreased in 2016-2017 which is good based on the performance criteria.

76
8.5.4 Average Parcel size of Vessel:-
Table 8.12: Average Parcel size of Vessel

Types of vessel Average Parcel size of Vessel

2015-16 2016-17
Container : JNPCT- MCB 37404 tons 38694 tons
2977 TEUs 3252 TEUs
: JNPCT- SWB 5855 tons 6042 tons
485 TEUs 486 TEUs
: NSICT 21682 tons 18817 tons
1798 TEUs 1540 TEUs
: APMT 39375 tons 35183 tons
3015 TEUs 2896 TEUs
: NSIGT 28645 tons 29077 tons
2353 TEUs 2330 TEUs
Dry Bulk 17284 tons 18969 tons
Break Bulk 241 tons 173 tons
Liquid 11485 tons 10798 tons
Overall 22842 tons 24096 tons
2317 TEUs 2554 TEUs

45000
Average Parcel size of Vessel in tons

40000 JNPCT- MCB

35000 JNPCT- SWB
30000 NSICT

25000 APMT

20000 NSIGT

15000 Dry Bulk

10000 Break Bulk

5000 Liquid

0 Overall
2015-16 2016-17

Graph 8.8: Graphical representation of Average Parcel size of Vessel in a day.

Analysis: - Above Graph shows that APMT has handled more cargo in a day as compared to
other terminals i.e. NSICT, NSIGT and JNPCT in 2015-16. JNPCT has handled more cargo
in a day in 2016-2017. Overall Cargo handled has increased in 2016-2017.

77
 8.5.5 Output per ship Berth Day:-
Table 8.13: Output per ship Berth Day

Types of vessel Output per ship Berth Day

2015-16 2016-17
Container : JNPCT- MCB 26081 tons 38694 tons
2076 TEUs 3252 TEUs
: JNPCT- SWB 6363 tons 6042 tons
498 TEUs 486 TEUs
: NSICT 24187 tons 24616 tons
2039 TEUs 2017 TEUs
: APMT 42099 tons 39408 tons
3224 TEUs 3262 TEUs
: NSIGT 28021 tons 30930 tons
2353 TEUs 2552 TEUs
Dry Bulk 4316 tons 5041 tons
Break Bulk 420 tons 258 tons
Overall 21287 tons 23316 tons
2248 TEUs 2569 TEUs

45000

40000
JNPCT- MCB
Output per ship Berth Day

35000
JNPCT- SWB
30000
NSICT
25000
APMT
20000
NSIGT
15000 Dry Bulk
10000 Break Bulk
5000 Overall
0
2015-16 2016-17

Graph 8.9: Graphical representation of Output per ship Berth in a day.

Analysis: - Above Graph shows that APMT has handled more cargo in a day from 1 vessel as compared to
other terminals i.e. NSICT NSIGT and JNPCT. JNPCT has handled more cargo in a day from 1 vessel in
2016-2017 than previous year. Overall Cargo handled has increased in 2016-2017.

78
8.6 Berth Occupancy:-
Table 8.14: Berth Occupancy

Berth occupancy (%)

Types of Berth 2015-16 2016-17
Container berth: JNPCT 86.99 89.50
: NSICT 77.90 56.96
: APMT 78.84 75.27
: NSIGT 35.39 56.20
Shallow Draught Berth 58.10 49.98
Liquid Berth (BPCL) 87.78 83.45
JNPT Anchorage 32.31 71.84

100

90

80

70 JNPCT
% berth Occupancy

NSICT
60
APMT
50
NSIGT
40 Shallow Draught Berth
30 Liquid Berth (BPCL)

20 JNPT Anchorage

10

0
2015-16 2016-17

Graph 8.10: Graphical representation of Berth Occupancy.

Analysis: - As per above data interpretation we can see that JNPCT has more Berth
occupancy as compared to other 3 terminals i.e. NSICT, NSIGT and APMT in 2016-17.

79
 CHAPTER: 9 FINDINGS

1. Average Performance of JNPT compared to International Competitors

The performance of JNPT is not up to the mark as per the International standards. The
performance is mainly affected due to delay in functioning which is caused due to following
reasons:

 Adverse environmental conditions and also no berth availability.

 JNPT uses the old technology whereas other International competitors use latest
technology and work faster.
 Obtaining permission for berthing of vessel. The shipping agent has to physically
meet the port officer and ask for written permission, because the permissions asked
through emails are left unanswered.
 Fixed window are given for each vessel as a result, previous vessel misses window
then the next one too. In such cases the vessel has to wait outside the port which
rarely happens in International Competitors
 If the previous vessel takes more time for unloading and loading, or has broken down
or is performing poorly then naturally, the vessel gets delayed.
 In JNPT, the container positions in yard are sometimes not updated so the shipping
agent needs to send surveyors for physically visiting the container yards for updating
container positions.
 Express database is so vast that it is difficult for the staff to access the data and
analyze it quickly.
 Frequent Labor Strike.
 Lazy Behaviors of Employees.
 Radio Data terminal is not working fully.

From the data pertaining to the four terminal efficiency parameters, it is observed that the
average PBD, NWT and TRT values especially on non-port account are quite high,
indicating that ships have to wait at anchorage or berth for availing the services and
underutilization of resources at JNPT. Ideally, the berths should wait for ships and not the

80
ships for berth. At the international Ports there is no concept of PBD as sufficient
infrastructure is available to service the vessels as and when they arrive. NWT as also TRT at
International Ports is low.
The low values for OSB indicate lower productivity and there is enough scope for improving
the same by way of minimizing the non-working time.

2. Variation in Performance of JNPT terminals.

It is observed that although all the terminals operate in same working conditions, under
single roof i.e. JNPT there is variation in each of their performances. The variation is due to
following reasons:

 JNPCT uses the old technology whereas APMT terminal uses latest technology and
works faster.
 Quality of service provided by the GTICT and NSICT are superior as compared to
JNPCT.
 JNPCT is carrying very less traffic through rail. Comparatively NSICT, NSIGT and
APMT are far more efficient and effective in rail transport even with lesser number of
rail tracks.

3. Scope of Improvement through Automation

It was observed that JNPT has been running at average level compared to the other
International Competitors. So a research regarding the latest innovations in the field of port
technology, benefits of automation process and its feasibility with respect to JNPT was done.
Productivity benefits through crane automation are:
 Reduced operational costs (Labor cost , Productivity )
The direct impact would be drastic reduction in the number of crane operators. The best
scenario would be automated cranes which can be controlled through remote operations
center. Advantages being single operator can supervise the functioning of 3-4 cranes
simultaneously and intervene manually if required.

81
  Increased Safety (Accidents , Safety )
As very little access would be required and cranes can be controlled remotely no operational
personnel would be in the area and only maintenance staff would have access to the area,
which reduce the possibility of accidents and improve safety.

 Reduced Operational Variability (Reliability )

Automatically controlled cranes move containers exactly as they are instructed, and in the
precise order specified by the terminal operating system (TOS), resulting in highly
predictable and repeatable operation. The chance of error due to misunderstanding an
instruction is zero

 Reduced Crane and load damage (Life of Crane )

Automated Cranes ensure smooth and precise crane motions, practically eliminating hard
landings, collisions and topples.

4. Achievement of Zero Congestion for JNPT Traffic

Going by the media coverage of JNPT in the past, the JNPT had been adversely commented
on for the traffic congestions on its roads leading to long queues of container trailers.
During the year JNPT undertook major steps to move to a platform for exchange of
information and eliminate submission of hard copies, improving infrastructure, streamlining
processes and introducing various new business initiative to regulate the traffic. During the
last 9 months port had a congestion free period. It is significant improvement in traffic and
let to reduction in transit cost and time.

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 CHAPTER: 10 RECOMMENDATIONS / SUGGESTIONS

A. Such technology that can improve Productivity and Performance of port:

1. Automated guided vehicle AGVs: This automated trailer can carry 20, 40 & 45
containers. It has computer controlled schedule, work automatically with accuracy of 3
degree. Position of truck checked by use of transponders in the ground.

2. Automatic Stacking Cranes: The ASC spreader is equipped with four camera positions
showing the corners of the container, which assist it in automatically placing the
container in the correct position. On the land side of the terminal, loading and unloading
of road trucks will be remotely controlled with the assistance of cameras.

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3. Automated Straddle carriers:

The straddle carrier incorporates diesel and battery hybrid capability, wheel-side
synchronous motor drive and eight-wheel hydraulic independent steering. Using the benefits
of both manual driving and driverless technology, it can be switched freely between the two
modes, depending on the situation. The driverless technology uses a new integrated
navigation and positioning method, with positioning accuracy and control levels among the
highest in the world.

B. Corporatization of JNPT

JNPT should be corporatized along the lines of “Navaratna” PSUs of the Government of
India which will result in JNPT becoming more autonomous, competent and developed
thereby providing impetus to national growth.

Corporatization of JNPT is essential for the following reasons:

 This will enable the state run entity to face competition and evolve by learning the
world benchmarks and benefit from the increased trade in Asia’s third largest
economy.
 Help enjoy benefits of higher employee productivity by using performance metric as
means to incentivize the workforce.

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  Corporatization will strongly support the vision of JNPT “To be recognized as
India’s premier container port providing integrated logistics to the best interest of
trade and customers.” in an impactful way. Thus help bring JNPT into the ranks of
“Navaratna”.
 Corporatization will bring professionals with more relevant business experience on
the board. Within a corporate entity, there will be faster decision making and more
responsibility complemented by expedited execution. Also problems such as
congestion trouble and capacity constraints which are forcing traffic to move to
Mundra Port can be dealt with a high priority way.

C. Negotiation with workers’ union

From JNPT perspective there is need to negotiate with workers’ union who always threaten
to go on strike.
 The first aspect is to acknowledge that this requires a continuous dialogue to pacify
as well to gain the trust of the workers. This task should be given to the
officers/managers who are popular among the workers and are good communicators.
Whatever amount of effort this process demands is worth it from the point of view of
long term growth.
 Providing incentive schemes like ESOP in the new corporate entity and other special
privileges can be used to motivate. A VRS scheme should be implemented in a
phased manner to the most dissenting workers similar to what Tata Steel did.

D. Optimum utilization of Rail tracks.

JNPCT is carrying very less traffic through rail. Comparatively NSICT, NSIGT and APMT
are far more efficient and effective in rail transport even with lesser number of rail tracks.

 Therefore JNPT should tie up with NSICT, NSIGT and APMT for efficient rail
transport and thus improve its operational efficiency by utilizing railway sliding
tracks appropriately.
 With less number of rail traffic and more number of tracks, there happens a case
when a rail tracks allotted to JNPCT are left idle. If any sliding tracks are left idle,

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 JNPCT should leverage by providing the track services to its peers like NSICT,
NSIGT and APMT. JNPCT can rent these services and earn from it. It will improve
the overall operational efficiency of the entire port.

E. Reduction of Non-working time and improvement of Output per Ship Berth day

There is scope for improvement of the efficiency parameters. The transit time from the
anchorage to the berth and vice versa for ships is inevitable. The delays on account of port
such as want of pilots, tugs etc. can be minimized.
The turn round time for the vessels ranges from 1.77 –4.82 days. The analysis of the same
indicates that the non-working time at JNPT is very high and needs to be reduced. Any
reduction in the non-working time has a direct bearing on the turnaround time of the vessel.
The Non-Working Time is reduced from 3 hours to ½ hour each day; TRT will reduce by
10% i.e. 12hrs for Dry / Break Bulk and 5 hrs. for containers.

F. Optimization of Cargo Handling Systems & Equipment:

In the servicing of vessel and handling of cargo especially loading and unloading from
vessels, lack of state of art equipment affect the rate of handling thereby leading to high turn
round time of vessels and high dwell time of cargo.
It is therefore necessary to procure more sophisticated and efficient equipment to achieve
enhanced efficiency in cargo handling.
Proper planned Maintenance management of the cargo handling equipment.

G. 24 X 365 – Round the clock port working

Round the clock (24 x 365) navigation, operations and documentation is absolutely necessary
to ensure higher productivity and eliminate delays owing to restricted working hours and
holidays.
Implement hot seat exchange system to eliminate time lost in shift changeovers and recess
hours.

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 CHAPTER: 11 CONCLUSION

For India to retain its prominence as a maritime country more seaports with state of the art
infrastructure/facilities are needed on its long coastline. JN port is one of the major ports in
India. It is Asia’s no 3 container handling port. It has major competition with the ports of
Vishakhapatnam and Kandla.

The present scenario shows that all the four terminals have some strong and weak points due
to which no terminal can be declared as the best.

Presently there is stable demand for JNPCT; however the four terminals NSICT, NSIGT,
APMT and PSA-BMCT are improving their performance and will be competitive for
JNPCT.

On one hand, agents prefer JNPCT because last minute entries of containers are possible,
while on the contrary they prefer other terminals for ease of billing.

The suggestions provided are essential to improve the port’s overall dwell time and
efficiency which will make JNPT compete among the top container ports in the world.

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 BIBLIOGRAPHY

Books and Magazines:

 Indian Ports(vol-39)
 Port Management

Websites:
 www.jnport.gov.in
 http://Jawaharcustoms.gov.in
 http://en.wikipedia.org/wiki/navasheva
 http://www.thehindubusinessline.com
 http://www.exim.gov.in
 http://www.doingbusiness.org

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ABBRIVIATIONS

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