How to Choose a Shipping Carrier?

When it comes to running a successful business, one of the most significant decisions you’ll ever make is selecting the appropriate shipping carrier. Choosing a shipping carrier is critical to maximizing your shipping strategy. When it comes to selecting one, it’s critical to consider the services that will meet your needs and those of your customers.

Each carrier has advantages and disadvantages, and it can be hard to determine which one is best. The carriers you use are determined by several factors, including what you’re shipping, where you’re shipping to, how much your parcels weigh and how large they are, and how much you’re trying to sell your products for.

Currently, there are numerous numbers of shipping carriers in active operation, each with its own set of services. What works for one company may not be the best fit for yours, so do your research before getting signed to any agreements or having committed to any carriers. Here are some important factors to consider when selecting a shipping company.

Factors to consider when choosing a shipping carrier

  • Type of the product

The type of product you’re shipping is an important factor to think about when selecting a shipping carrier. Your shipping costs are greatly influenced by the weight of your packages. The size and shape of your parcels can also influence your carrier selection. For example, if you’re sending a small package, you can use courier delivery services.

  • Cost, quality, and time

Pricing is an important consideration when selecting a carrier to ship with, and it is usually one of the first inquiries we receive. However, there are two additional factors to consider when selecting a carrier. In addition to pricing, it is critical to think about both quality and delivery time.

As a shipper, you must identify your company’s needs and the considerations that are most important to you. If you ship with the cheapest carrier, you may be compromising quality and delivery time. Considering these factors when determining prospective carriers will decrease the risk of choosing a new carrier.

  • Services

Working with multiple companies if your company requires more than one service will significantly raise both your time investment and your expense. It may be advantageous to collaborate with a carrier that provides numerous services and can meet all of your company’s requirements.

  • Reliability

A reliable shipping carrier can aid in the development of your company’s positive reputation, allowing you to develop your business and meet your customers’ requirements. Consider shipping with a carrier that has a lower expenditure but can never distribute your parcel at the correct time, having caused your cargo to miss its inspection window and not reach the destination on the correct time. An untrustworthy carrier will cost you more money, as well as affect your company’s image.

  • Capacity

Not every shipper will be a good fit for your company. In some areas, some carriers are more powerful than others. Finding a carrier with a network that includes the lanes through which your freight will travel is critical to creating a beneficial relationship for both parties.

  • Safety

Safety is a critical factor when it comes to choosing an appropriate shipping carrier for your business. Shipping with a carrier that emphasizes safety can help to improve your supply chain image, which can lead to higher sales. Customers are concerned about a company’s safety rating and prefer to ship with companies that have a decent image.

  • Sustainability

Shipping with a carrier that prioritizes sustainability and environmental consciousness can help to improve the image of your supply chain and result in increased sales. Customers care about environmental sustainability and, like safety, prefer to do business with companies that have a decent image for being ecologically responsible.

  • Shipping software

Some carriers offer shipping software, which simplifies and saves time in the shipping process. The right software can assist you in avoiding errors such as mislabeling deliveries, picking the incorrect service level, or forgetting to include an item in an order. It can also assist you in selecting the smallest box possible for each order, preventing you from wasting money on larger-than-necessary shipments.

  • Carrier’s reputations

To eliminate lost or delayed deliveries or other undesirable outcomes, conduct a thorough search of your prospective carriers’ track records. Trustable shipping companies usually provide both tracking and insurance. Tracking enables you and your consumers to go digitally and see where a parcel is in transit, eliminating surprises. 

  • Tracking Matters

Having chosen a carrier that offers to track is a remarkable sign. This ensures that both you and your consumers are at comfort while the delivery process is being monitored. It has notifications set up to notify your consumer in real-time when the parcel has been sent when it is on its way, and when it arrives at its location. 

For more information or for help with your shipping needs, you can reach out to our shipping experts at Tass Group. We have served over 30,000 customers worldwide to date and have an impeccable track record. Contact now for a free quote!  

Difference between Logistics & Supply Chain Management

Difference between Logistics & Supply Chain Management

Although supply chain management and logistics have many parallels, there is a difference between logistics and supply chains. Recognizing every function could assist businesses to improve procedures, improve consumer relations, and achieve a competitive edge.

Logistics is concerned with the internal flow of commodities, whereas supply chain management is concerned with operations involving independent companies.

Despite certain similarities among these two systems, they are distinct constructs with distinct connotations. Logistics relates to the transportation, warehousing, and transfer of commodities, services, and communication inside the broader supply chain, whereas supply chain management is an encompassing process that includes all different operations to generate market edge.

Defining Supply Chain Management

The action that produces final commodities and distributes those to consumers is referred to as supply chain management. SCM additionally concentrates on streamlining supply chain procedures for the convenience of consumers and business associates. 

If an organization maintains transparency over its supply chain, it will only maximize and continuously refine SCM. This transparency allows businesses to monitor commodities and services that progress through the supply chain, making it far simpler to watch whether everything is functioning as expected. It moreover provides an additional chance for decision-makers to adjust to distractions or other barriers.

SCM entails managing a wide array of sub-suppliers (such as raw material suppliers), distributors, producers, logistics operators, distribution companies, dealers, and end consumers. The supply chain’s numerous partners have a variety of practices. Relationships can be straight, including between components and resources providers, producers and merchants, or horizontal, such as when a corporation unites with or obtains a related business that works around a similar supply chain phase. 

What Exactly Is Logistics?

Organizing and implementing the preservation and transit of items among various stages in the supply chain is part of logistics. Logistics integrates infrastructures, persons, technology, as well as other assets to guarantee that goods arrive at their destination on time and in good condition. Logistics encompasses order processing, shipping (such as fleet management), inventory control, warehouse management, and delivery of products.

A company’s financial position might be harmed by improper logistics. Weak logistics result in late delivery, inability to satisfy customer requirements, and, as a result, the firm suffers. The word “logistics” is becoming widely popular in the business sector, particularly among factories, to characterize how goods are handled and moved throughout the supply chain.

To minimize expenses and maximize productivity, an effective supply chain and fine logistical operations are required. To fulfill the need for faster, better efficient delivery of a greater selection of items, suppliers, producers, marketers, and retailers have had to upgrade their logistics procedures. All of the components require the aspect of information and control to operate as catalysts for numerous operating processes.

Differentiating Logistics and Supply Chain Management

The policy and operations which go with planning, procuring, manufacturing, and distributing items, and also handling returns, are covered in supply chain management. 

Logistics is concerned with getting the right items to the correct spot at the right time and figuring out how to get them there. As should be obvious at around this time, supply chain management and logistics overlap however they are distinct in terms of extent and concentration. The following are the main difference between logistics and supply chain: 

  • Supply chain management operations include logistics. Production and inventory planning, workforce planning, equipment and supplies management, producing and distributing products and services are all covered under Supply Chain Management.
  • Supply Chain Management focuses on refining processes to gain a competitive edge, whereas logistics focuses on satisfying consumer demands and preferences.
  • The goal of logistics is to deliver items to clients in a timely and cost-friendly manner.
  • The conversion of raw resources into final products that flow from the provider to the manufacturer to the warehouse to merchants and/or customers is regulated by supply chain management.
  • Logistics is a phrase that has been around for a great many years, originating in the military, although supply chain management is a newer one.
  • Logistics is managed by a single company, while Supply Chain Management is done by many companies.

Consumer requirements are fulfilled, and the purchase environment is enhanced with the help of supply chain management and logistics. Consumer requirement is represented in logistics. This information is used by SCM to determine what customers need and to manage manufacturing and inventory levels.

Logistics that are both dependable and cost-friendly serve as a stepping stone for efficient supply chain management. Delivering orders precisely and on schedule is the outcome of a well-developed supply chain that will entice prospective consumers and expand the profit margins over time.

Conclusion

Logistics is an old phrase that was formed during the military to describe the administration, warehousing, and movement of army personnel and supplies. Just after the expansion of the notion of Supply Chain Management, this phrase is now used in a variety of fields, including the military.

 It’s also been argued that Supply Chain Management is a supplement to Logistics Management and that SCM includes logistics. Both are inextricably linked. As a result, they complement rather than oppose one other. Logistics can communicate with the transportation, warehousing, and marketing teams with the use of Supply Chain Management.

What is freight forwarding in logistics

The freight forwarding sector offers businesses the most efficient transportation solution. Without freight forwarders, the whole shipping operation may not only be slowed but may also encounter significant shortcomings that are simply too difficult for businesses to resolve. 

Freight forwarding solutions offer that commodities move across international borders and worldwide appropriately and effectively. Freight forwarders have demonstrated to be a significant boon to international businesses, alleviating a lot of anxiety while providing dependable transportation for a wide range of goods at fair costs.

What is Freight Forwarding?

The planning and coordination of the transportation of commodities across the international line on behalf of shippers are known as freight forwarding. Warehouse planning, custom brokerage supplying cargo insurance are the major tasks included in the freight forwarding process. Entrepreneurs who want to develop and flourish should think about trading on a global scale. 

Shipping items in and out may show a chance to broaden the customer base, but it can quickly become very complex. Logistics for global trade can become challenging, necessitating the assistance of freight forwarders. Their goals are to ensure that a company’s commodities are adequately shipped and arrive on time. 

Who is a Freight forwarder?

A freight forwarder is someone who arranges transportation of goods and services for both domestic and international trade. Seamless importing and exporting goods and services across international borders is what a freight forwarder does. They plan how goods will be transferred and stored during transport and collaborate with importers and exporters to ensure that all customs procedures and other paperwork are in order. 

International freight forwarders effectively manage global shipments and have specialist knowledge in planning and handling customs documentation as well as performing international shipments-related activities. They generally offer a comprehensive suite of services such as tracking inland transportation, preparing shipping and export documents, storage of goods, scheduling cargo space, bargaining freight charges, and insurance claim filing. 

Role of a Freight Forwarder

Freight forwarders are responsible for a wide range of tasks. Freight forwarders are third-party logistics providers who act on behalf of service providers. Their major tasks include undertaking freight rate research and arranging shipments between locations via asset-based transportation companies. 

Let’s take a closer look at how freight forwarders maintain international trade moving:

Shipment Tracing

A Transportation Management System (TMS) is used by freight forwarders to trace the status of the movement of shipment at each stage. 

Custom brokerage

Producing customs-compliant documentation necessitates close attention to detail and a level of experience in international laws. You also need the authorization to do it. Many forwarders also act as customs brokers, helping to make them a one-stop-shop for all of your logistical requirements. A forwarder will also provide exporters with advice on regulatory requirements, marking and labeling, potential obstacles to their shipment, and more.

Warehousing

Some of the freight forwarders have their storage facilities to stock goods and commodities. Your forwarder will offer to arrange for stockpiling at a storeroom owned and operated by a nearby franchisee. 

Negotiating

Forwarders understand the importance of a good carrier and work hard to cultivate meaningful relationships with favored cargo ship lines. An efficient forwarder is someone who can achieve a balance between convincing trusted partnerships and engaging in astute deal-making, even if the latter requires them to leave their business open to bids from other carriers.

Negotiating low-cost freight costs with carriers is a difficult task. The art of this deal is to appeal to carriers’ interests by balancing the benefits and drawbacks of your freight type, flexibility, credit status, space/tonnage prerequisites, and other factors.

Cargo space scheduling

The demonstrable aspects of a forwarder’s skill set are adept collaboration and cargo space scheduling. If you decided to hire a freight forwarder for shipping requirements, they’ll get a chance to show off their skills. It takes a careful planner to determine whether consolidating a shipment is profitable, securing timely sailings, and weighing the viability of intermodal shipping methods. 

Networking

Freight forwarders establish and maintain good connections among carriers, shippers, port officials, and other forwarders. Close collaboration enables expedited shipments and also increases the probability of satisfactory shipping rates. As a result, forwarder relationships not only reduce overall friction between steps of a supply network but can also contribute bottom-line worth to it.

Providing Cargo Insurance

Cargo insurance, also known as freight insurance, can be obtained from forwarders. Cargo insurance is designed to compensate the loss payee; if goods are stolen or damaged while in transit.

Enabling a specialist to manage shipping can strengthen processes while reducing stress on a company’s employee assets and workflows. This also enables you to focus on other significant aspects of your business about which you are more knowledgeable. Freight forwarders are typically able to improve the efficiency and effectiveness of shipping methods to promote the safe and timely delivery of goods to satisfied customers.

Tips to Choose the Right Logistics Partner for Your Business

When it relates to supply chain management and demand delivery, logistics leads a vital role that is critical in the burgeoning e-commerce industry. As a consequence, considering the productivity, performance, and security of transportation management, collaborating with a dependable logistics partner is critical. A dependable logistics partner can assist you in improving your operations by utilizing their experience.

There are many things that you need to take into consideration while choosing a logistic partner. Following are some of the best tips to choose the right logistic partner for your business. 

  • Consistency and client service

The significance of client service cannot be overstated. You may deliberately see this by analyzing their communication attentiveness and problem-solving skills. It is good to cooperate with a logistic firm that provides full-time client service as you will be accessible to connect with them irrespective of time.

All competitors will say that they have had a great client experience. But that cannot be always true. It is best to get direct suggestions from customers. You can request a recommendation from them, particularly from clients in the same field and with similar requirements.

 Find out how their consumers think about the logistics company’s service quality. If the company’s service quality is reliably excellent, it appears that it has developed a competent client service strategy throughout the year.      

  • Expertise field

Transportation, manufacturing, marketing, exporting, collecting are all examples of the logistics provider. Not every logistics firms offer all services. The majority of them seem to have their very own area of specialty. Connect your requirements to the logistics company’s service and capabilities. 

Assure the logistics company’s competence is a great asset to your team. There would also be a set of functions that would fulfill your short and long-term requirements. You should inquire pertinent to the logistic partner concerning their standard business capabilities. Learn about the options for your short- and long-term business requirements. 

  • Enterprise longevity

The logistics partner’s long-term viability is critical to your company’s future. As a reason, you must partner with a corporation that has a track record of long-term performance and functioning. All probable difficulties and important matters will be handled by a reliable strategic partner.

For the best logistical services, try to attempt to work with an economically stable company. Verify the payment record and income statement from the previous years. Choose a long-term partner who will keep investing in buildings, hardware, and people resources to provide the best logistic services.

  • Reputation

If you would like to form a long-term logistical collaboration, you need to be credible. Ascertain that the collaboration can be put to the test. To identify a reliable logistic partner, you must first determine whether the service provider is willing to fulfill its contractual obligations with honesty.

  • Security

There is no doubting that you must pay close attention to your logistic partner’s security practices. A competent logistics firm will provide frequent safety training to its personnel, post-security advisories in prominent locations, inspect their premises constantly, and publish a company-wide safety regulation following national industry safety policies and standards.

  • Innovative technology

To deliver accountable and productive solutions to the customers, logistics companies need to invest in cutting-edge technology. They can take advantage of technology such as warehouse automation, cloud-based services, and an internet-based scheduling and monitoring system, among other things. These technologies will enable them to give error-free and efficient service, as well as timely reporting and a well-organized delivery network. You may get real-time information about where your assets are at any moment.  

  • Cost

The cost charged by a logistic partner is an important measure to evaluate. Before concluding, you must make note of the cost per distribution. Travel costs, collecting costs, storage charges, pick-and-pack expenses, delivery charges, account-fixed charges, and monthly minimums are typically comprised in the fines imposed by logistics businesses. 

  • Growth and reach of business

With rapid networking and widely affordable transportation, the world has become smaller. An efficient logistics partner guarantees that your package arrives at your consumer’s hand at the moment and in good shape, irrespective of where they are situated on the planet.

A logistic partner with a large reach ought to be able to accelerate your company’s expansion. One essential factor to evaluate is if they can grow up or down quickly in response to increased demand.

  • Adaptability to your requirements

Client relationship management is becoming highly relevant to firms because consumer trust accounts for the majority of income. Your logistic partner must provide a swift and attentive customer support team that will go far to provide you with the remedy you require. They should be dependable in moments of extreme emergency. 

It is also critical that your logistic partner has the ability to anticipate difficulties and move quickly to identify the best option. For the logistical machinery to work effectively, a specialized customer service crew is required. 

Top 9 Shipping Companies Registered in India

Top 9 shipping companies in India

Shipping enterprises are a boon to India and its financial system. Shipping enterprises are the most significant form of transportation in the current generation.

Shipping companies function as a trade correlation between the countries and enable to uphold a stable economic affair between them. Whereas this enables the interchange of profit between the foreign countries and maintains the flow of exchange of goods to a constant level.

Cargo, automobiles, petroleum products, organic chemicals, coffee, iron, and steel products, etc. are the goods normally transported through this way. 

The United States of America, China, Australia, the United Kingdom, the Middle East, and Japan are the major foreign countries in which India exports its shipping services.

America is the leading superpower in import and export has supported strengthening the profits and has continued a steady amicable relationship with India. This has enabled to maintain trade and wealth between foreign countries and India.

Let’s take a look at the top shipping companies that are trustworthy and are popular in India over the last few years. 

The Shipping Corporation of India Ltd

Shipping Corporation of India is the front-runner shipping enterprise in the country. The shipping corporation is a purely government-owned enterprise. It was started in 1961 in Bombay by the government of India.

Its headquarters is incorporated in Corporate Centre, Madame Cama Road, and Mumbai. The company is rendering various services like Liner and Passenger services, Bulk carrier and tanker services, offshore services. The company is functioning and handling vessels that catering national and international lines.

Essar Shipping

Essar shipping is the second-largest shipping company in India. Essar Shipping is a private sector company that started in the year 1945. Its headquarters is situated in Mumbai, India.

The enterprise is part of the Essar Group. Essar Shipping Ltd is an integrated logistics services provider involved in the trading of sea shipping, oilfields services, and, logistics services.

The enterprise provides various transportation services to Essar Steel India Limited (ESIL) and Essar Oil Limited (EOL), which are preoccupied with production activities, and require services of the Company for exporting and importing raw materials and finished goods.

Cochin Shipyard Ltd

Cochin Shipyard Ltd is one of the leading Shipping Companies in India. Cochin Shipyard Limited (CSL) is the primary shipbuilding and maintenance enterprise in India.

The shipping enterprise is part of a line of maritime-related services in the port city of Kochi, in the state of Kerala, India.

The company is providing an extensive range of products including Tankers, Bulk carriers, Patrol boats, Diving support vessels, and Platform supply vessels.

The Great Eastern Shipping Company

The Great Eastern Shipping Company or also known as GE shipping is the second-biggest private sector shipping after Essar Group. It was started in the year 1948.

The company headquarter is situated in Worli, Mumbai, Maharashtra. Great eastern is a top notch private sector shipping company that mainly transports gas, liquid, and solid bulk products.

The main business of the enterprise is separated into two parts-shipping and offshore. Crude Oil, Dry Bulk Commodities, Gas, and Petroleum Products, are transported in Shipping Business. The total numbers of the workforce working for the enterprise are around 2000 to 3000.

Bharathi Shipyard

Bharati Shipyard is India’s principal shipbuilding company. The company was started in 1973. The enterprise is based in Mumbai and the founders are Prakash Kapoor and Vijay Kumar, graduates of the Ocean Engineering & Naval Architecture program.

The company is mainly focusing on shipbuilding, designing, and repairing. The overall income of the Bharati Shipyard is Rs 5257 crore until now. The total numbers of workers are around 3000 to 5000. 

ABG Shipyard

ABG Shipyard is the largest shipping company that focuses on shipbuilding and designing company like Bharati Shipyard. It was founded in the year 1985, headquartered in Mumbai.

Rishi Agarwal is the founder and chairman of the company. The overall income of the company is around Rs 4322 crore until now. The total numbers of workers are around 3000 to 4000. The company has the largest ship-repairing unit in Goa and two facilities in Gujarat also.

Mercator Limited

The company was earlier recognized as Mercator Lines Ltd. The company is into various businesses like Commodity Transportation, Dredging, and Coal, Oil & Gas. It was started in the year 1983, Mumbai. Its headquarters are incorporated in Mumbai, Maharashtra.

The overall income generated by Mercator Limited is around Rs 1835 Crore. The total numbers of staffs working for Mercator limited are anticipated to be 2000 to 5000 and they are increasing in numbers. H K Mittal is the founder and chairman of the company.

Gujarat Pipavav port Ltd

Gujarat Pipavav port ltd is a leading shipping company started by Nikhil Gandhi in the year 1996. The shipping enterprise could be also known as Pipavav Shipyard. The company is providing various services like logistic support, cargo handling, pilotage/towage.

The total revenue generated by Pipavav Shipyard is around Rs 1515 crore. The total number of staff working for the company could be around 3500 to 5000. The company is incorporated in Mumbai and Rajiv Shukla is the current CEO of the company.

Trans Asia Shipping Services Pvt Ltd

Trans Asia Shipping Services Pvt Ltd is leading shipping & logistic service provider with 28 years of expertise. The enterprise was incorporated in 1992 at Kochi, a port city along the coastline of Kerala, India.

The company is providing various services like Ship Owning, International and Domestic Liner operations, Container owning, Logistics, Plantation, Ship Building and Realty. 

Trans Asia Line was launched with its own shipping operations in the Middle East, South East Asian ports, India and sub continents and China among others.

What are the advantages of coastal shipping in India?

India’s long 5560 KMS of coastline and range of ports on the east & west coast; and a large & resilient domestic economy grant a perfectly natural system for the country to build up a substantial coastal shipping industry. Shipping has always been considered a significant transport sector of national activities in India and it is perfectly suited for the transportation of bulk cargoes. Coastal shipping, as an approving mode of transport, is not only a financial necessity but also a beneficial asset in times of emergency.

India lays in geographical proximity to significant shipping routes which gives an innate advantage to the country’s shipping. Furthermore, coastal shipping is no longer a separate mode of transport but forms a part of an intermodal transport chain connecting other kinds of transport. National Shipping serves in making the country more autonomous and renders the essential strategy support in critical times.

The significant advantage of coastal shipping is to help in extending the resource base of the country by facilitating the harnessing wealth of the adjoining seawaters. The Indian shipping industry also gives support for national ship-building, ship-repairs ship-breaking, and other secondary industries and business, shipping, therefore, engenders employment both straight as well as through several ancillary activities.

What is coastal shipping?

Coastal shipping is the transport of cargo as a business and shipping within 20 nautical miles of the coastline. Coastal shipping allows ships to travel between the main ports of the country and it is helpful for domestic trade as well as transporting people within the country. Coastal shipping is relevant for transportation of containers, over-dimensional cargoes, and project cargoes, RORO cargoes such as semi-trailer trucks, cars, trucks, trailers, and railroad cars and also includes dry bulk cargoes like grain, fertilizers, steel, coal, salt, stone, scrap and minerals and Liquid bulk cargoes like oil products.

Advantages of coastal shipping

Cost savings

The primary advantage of coastal shipping is huge cost investments to the shipper and government. Freight transportation by coastal vessel is far more proficient and money-spinning than road transport and is much less prone to theft and damage. Conversely, ocean freight shipping expenses are normally four to six times less expensive than air. Hence, it is easy to claim that ocean transportation is an affordable international shipping option.

Efficiency 

One of the significant advantages of coastal shipping, no matter the size of the shipments; sea freight enterprises can frequently accommodate the needs. Smaller shipments can be broadly grouped with other cargo to fill a container, permitting for co-financing of the transportation services. Huge cargo can fill one or more containers, providing shippers unmatched bulk options. Indeed, vessels are the perfect way to move high volumes of cargo as they are intended to hold a large number of goods or raw materials.

Heavy, oversized, and bulky cargo capability

A major advantage of coastal shipping is shipping enterprises’ capability to manage extra-large, weighty, or huge cargo; often categorized as breakbulk or Not in Trailer loads. Such cargo could comprise types of equipment, large vehicles, construction materials, and more. Oftentimes too weighty or huge for air freight or even over-the-road transportation, very huge cargo is not a difficulty on many shipping vessels.

Safety

Ships are developed to carry dangerous materials and hazardous cargo securely. The shipping industry is adept in the managing of such goods and has regulations in place to make sure the security of the vessel, crew, cargo, and environment. Cargo loss caused by circumstances during transportation is continually dropping as maritime protection increases and has dropped considerably in the past decade. Containers are adapted to be sealed and locked during transportation for extra safety.

Environmental friendliness

When contrasted with sea shipping, air and many alternative modes of transport have much high carbon footprints; an explicit disadvantage for the environment. On the other hand, ships render the most carbon-efficient mode of transportation and create fewer grams of tire out gas emissions for each ton of cargo transported than any other shipment method.

How does COVID-19 affect the shipping industry in India?

The COVID-19 pandemic has resulted in a huge influence on people’s lives, families, and communities.

One of the activities that have also been majorly affected due to the expansion of spreading this disease is the shipping and maritime industry in India.

India is one of the dominant suppliers of seafarers for the maritime sector. The shipping industry in India has been playing a significant role in supporting the world market, sustaining trade, creating jobs, linking countries, businesses and people, on a level not possible otherwise.

The impact of Covid-19 on the shipping industry in India has resulted in a situation whereby commercial shipping is confronting serious financial constraints and the cruise business has virtually closed down.

Overall, the medium and long-term effects will be influenced by global macro-economic trends which seem to become visible very severe at this stage.

Covid has caused the industry to cope up with the worst circumstances as the workforce in these sectors have been shut down for the preventing another outbreak.

During the pandemic and the pressure of the situation, a ban has also been mandated by different countries on the entry of containers and vessels that are being operated from other ports, mainly those that are transported from China. The shipping transport and maritime industry are plastered with great difficulties during these challenging times.

Port Shutdown

The pandemic has lead to shutdown of ports due to the isolation periods. The ports have closed to make sure the safety of workers and several conditions have been levied.  For instance, the ban of shipping vessels into various countries which has obliged such vessels to be on the water and not have a destination port to go to.

The entry of vessels by certain countries has been constrained or banned, thus, resulted in chaos amongst the marine transportation amenities globally.

Fewer exigencies for cargos

The health authorities of India have eluded the menace of spreading COVID-19, which has led to the refusal in import and export of products and goods between countries.

All such goods that were before carried expediently on a ship have to follow a set standard of rules and processes which has limited the exigencies for such cargo. The holdup in such transportation due to added intricacies of quarantine periods has led to the further refusal of demand for such cargos.

Conflicts between owners and charters

Charters hire the vessels from the owners of the vessels and different kinds of clashes are surfacing between the owners and charters of such vessels due to loss of time and money. The owners permit the vessels to charters for a certain period for fixed expenses.

The overriding of such period results in additional expenses that have to be paid for surpassing the set period. The pandemic has imposed major challenges on the payment of such period as the vessels are banned from entering definite ports and compel them to be on territorial waters for an extended period forcing them to be a party to pay additional expenses that are under the light of dispute.

Indebtedness

Many small enterprises engaged in the shipping and maritime industry have resulted in bankrupt due to fewer exigencies and the lack of ability to manage the finances of the company during this period of less require of cargos and shipping. This has majorly affected the small running business enterprises and even resulted in the closure of various companies engaged in this industry.

Further Reading :  

Top Shipping Companies in India

How to Choose a Shipping Agent?

10 Largest Seaports in India

Major Ports in India

Seaports have been the backbone of the trade and economy of the world. There are many seaports in India that facilitate the transportation of goods worth billions of dollars every year. 

India also has the longest coastline on the Indian Ocean. In fact, the Indian Ocean got its name from the country. 

The sea ports are the lifeline of the country’s economy. In this article, we will be taking a look at the major seaports in India and how they work. Let’s dive right in!

List of Major & Largest Sea Ports In India

Below given are the details of the major seaports in India, all of these ports are equipped with state-of-the-art facilities and are tightly monitored by authorities and management for any irregularities and issues.

1. Jawaharlal Nehru Port, Navi Mumbai, Maharashtra 

Located in the proximity of the financial capital of India, the Jawahar Lal Nehru port is one of the biggest and most active ports of India, Mumbai is a big hub for import and export, the city has a massive population and has every infrastructure to support the trades. 

Ranked 28th among the world’s top container ports, this port handles 55% percent of the total container cargo passing through India. The port was opened in 1989. The Jawahar Lal Nehru port is managed by DP world and is amongst the first privately managed ports in India. Several other plans and processes regarding seaports in Mumbai are undergoing, these ports will handle more than 10 million tons of cargo each and will be managed by international companies too.

2. Chennai Port, Chennai, Tamil Nadu

The Chennai Port, as the name suggests is located in Chennai, Tamil Nadu, and is the biggest port located on the southern tip of the Indian mainland. The Chennai port is one of the oldest operating modern seaports, functioning since 1881. 

This port manages a massive 50 million tons of cargo each year and has been the backbone of Chennai’s automobile industries by helping them import steel. The Chennai port also majorly exports automobiles. The current container handling capacity for the Chennai Port is at 2 million TEUs. Chennai Port is also seeking to increase its handling capacity by 100 million tons. 

3. Mundra Port, Kutch, Gujarat

Mundra port is managed by Adani Ports and SEZ limited and is the largest privately managed seaport in India. Gujarat is the hub for business in India, and there are tremendous amounts of imports and export.

The Mundra port has a bigger advantage over other ports as it is well connected to the railway routes all across India. Also, the Mundra Airport is undergoing several changes for it to become an International airport for air cargo.

The port handles a massive 5 million TEUs and 338 million metric tons of cargo. The Mundra port also holds the title of the largest coal import terminal in the whole world.

4. Visakhapatnam Port, Visakhapatnam, Andhra Pradesh

Located on the eastern ghats, Visakhapatnam port is the center of arrival for cargos on eastern ghats. Visakhapatnam Port is the largest harbor in all of Andhra Pradesh. The unique location of the port makes it even more favorable as it is situated in the most active regions of the country, between Chennai and Kolkata ports. 

The Visakhapatnam port handled 0.43 million TEU units and has a cargo capacity of 72.73 million metric tons. The port is already on its course of expanding, RINL has begun operations out of Vizag for its expansion. 

5. Cochin Port, Kochi, Kerala

Approximately 100 years old, the Cochin port in Kerala experiences traffic from the Arabian Sea and Indian ocean. The port was established by the British in 1928 to facilitate trade from countries in the Gulf. The Kochi port is also the home to ICTT, The international container transshipment terminal, which is the largest container facility in India.

The Cochin port has a gross cargo tonnage of 32.03 million metric tonnes and a TEU traffic of 0.6 million units. Cochin port witnesses around 1500 vessels visit every year. This port is well connected with railways, highways, and international airports too. There is a naval base nearby.

6. Kandla Port, Kandla, Gujarat

The Kandla port of Gujarat is yet another hub for imports of petroleum and gases from the gulf, this port is located on the gulf of kutch and lies close to the Karachi port of Pakistan. Kandla port is also closely located to Kandla special economic zone, KASEZ, which is one of the first and biggest SEZ in all of asia.

The port majorly exports Salt and textiles and has a capacity of 122.5 million metric tons for cargo and a TEU traffic of 0.17 million units. The port is also undergoing several upgrades to improve the handling capacity and the surrounding areas.

7. Mumbai Port, Mumbai, Maharashtra

The port of Mumbai is one of the most known and recognizable ports in India, all of this because of its unique history and importance. The port is more than 300 years old and was established in the late 17th century by the British. The Jawahar Lal Nehru port was opened to ease the traffic on Mumbai port, the Mumbai port currently handles bulk and general cargo. 

The Mumbai port handles a gross cargo tonnage of 62.9 million metric tons and TEU traffic of 40000 units. There are over 41 births and the port spans over 400 Sq. KMs.

8. Hazira Port, Hazira, Gujarat

The Land of business has yet another major port to offer on this list. The Hazira port of Gujarat is related to one of the biggest import and export centers of India, Surat. It is one of the most important petroleum and LNG harbors on the western coast and is managed by Adani Hazira Port Private Limited. Hazira port is one of the most advanced ports of India and handles vessels from Europe, Africa, America, and the Middle east.

Hazira port has a perfect location on the Delhi-Mumbai special economic zones and lies close to the ports in Mumbai. There are expansion activities going on in the port and it will soon be able to handle more traffic. At present, the port can handle 1 million TEU units and cargo tonnage of 2.5 million tons.

9. V.O Chidambaranar Port, Tuticorin, Tamil Nadu

The 4th largest container terminal. VOCP port is an ISO-certified port and handles traffic from China, Sri Lanka Mediterranean, and the USA. The port spans over only 8 sq. KMs  and is the prime exporter of raw materials and agricultural goods.

The VOCP port manages roughly 7% of India’s total container traffic and is undergoing a $1 billion expansion project. There is also a space for passenger cruises on the port. Currently, the port manages 36 million tons of cargo and 0.8 million TEU units.

10. Marmagao Port, Goa, India

Located at one of the most serene locations in Goa, the Marmagao port in Goa has a state-of-the-art mechanized material handling system of conveyers and a cargo capacity of 7 million metric tonnes. The Marmagao port of Goa also has specialized berths for the navy and is undergoing huge expansion activities. The port is one of the most recently declared major ports of India.

The Bottom Line

India has a great advantage when it comes to trade, the governments, time and again have understood this and always worked towards the improvement of facilities when it comes to ports. India is home to a vast variety of exports, and these ports help in making made in India reach out to the world.

10 Most Common Types of Shipping Containers

Common types of shipping containers

Shipping containers plays the most vital part in delivering goods from one region to different parts of the world. Whether it is trade, shipping industry, or transportation work, none of it will be possible without shipping containers. 

Numerous types of shipping containers are used to store different kinds of goods depending on the structure or requirement of the material that is being transported.

The primary purpose of using shipping containers is to ensure or guarantee the safety of the products, as more than 90% of the world’s cargo is carried by ships. The containers vary in different structures, shapes, dimensions based on the product they are meant to carry and their purpose. 

Here are the 10 most common and generally used shipping containers:

1. General Purpose Containers

The general purpose containers are the most commonly used category of containers. These are also known as Dry Containers. They are used to ship dry products, and they are fully enclosed from all sides, making them weatherproof. These containers carry standard types of cargo.

 They come in various sizes ranging from 40ft, 20ft, and 10ft. Some dry containers might have flexitank or linear bags to carry certain liquids or dry bulk cargo.

2. Flat Rack Containers

Flat rack containers are ideal for carrying goods like heavy machinery, vehicles, building materials, etc. These containers have collapsible sidewalls, which can be folded to store cargo in a more accessible and efficient way. After loading the shipment, the sidewalls can be unfolded, making it a secure way to transport cargo.

3. Open Top Containers

As the name suggests, the roof or the top of the container is entirely removable. This feature makes over-height products that cannot be loaded traditionally from the front door easy to load. Likes of the product include tall machinery and finished products that are tall in nature and can be loaded from cranes or rail bridges only.

4. Double Door Containers

These containers have doors on both ends. It is also called a Tunnel container. Having doors on both ends makes them very accessible for quick loading and unloading of products. It also allows putting slightly wider products. Both the doors have a similar locking scheme and are weatherproof, ensuring the safety of the goods.

5. One Side Containers

One side containers are very similar to the general-purpose containers. The only noticeable difference between them that sets them apart is that the doors can open entirely on the sides. Due to this capability, it creates a much wider space to load and unload stuff. This container is ideal for materials that cannot be loaded through the front doors. One side container is generally available in two sizes, 20’ and 40’.

6. ISO Reefer Containers

The ISO reefer is an exceptional kind of container. These containers are generally used for storing and shipping temperature-sensitive products or materials. The most common examples of the products can be edibles like fruits, vegetables, meat, etc. Keeping them at a specific temperature is necessary; otherwise, they will rot before reaching their destination. 

These containers are powered by an external power source to maintain the specific internal temperature inside the container.

7. Insulated Containers

Similar to the last container mentioned above, this comes under the special category of containers. The insulated containers share a lot in common with the ISO Reefer container. 

The only difference is that the thermal container has a regulated temperature that can cope with high temperatures. They are attached to a mechanical compressor to heat or cool the insides of the container. They carry items that are easily affected by temperature, like blood, organs, food materials, etc.

8. Tank Containers 

The design of a Tank container is very different from our traditional containers. These containers are designed to carry liquid or fluid materials. They are made up of strong steel and anti-corrosive materials. 

But there is a condition with them, and these tanks must be 80% filled to prevent surging of liquids inside them and should not be filled more than 95% to allow sufficient room for thermal expansion.

9. Half Height Containers

They are most commonly used in transporting bulk cargo that is supposed to be extremely heavy and dense in nature. Goods such as coal and stones are the ideal stuff for half-height containers. The most area where these containers are utilized is the Mining industry. They are designed in a way so that they have a low center of gravity compared to our tall containers for better handling. These are very robust and very easy to load and unload goods.

10. Car Carriers 

These containers are specially designed for transporting newly manufactured cars from one place to another. Most of the vehicles we use are imported, and these containers help them reach their destination safely. These containers are equipped with collapsible sides that allow the car to get loaded in the container. 

Keep Reading: 

Different Types of Shipping You Probably Didn’t Know About

7 Different Types of Cargo Transported Through Shipping

Conclusion 

Mentioned above are the most common types of containers that are used in transporting goods that we use in our daily lives. Each container is made with a specific purpose to fulfill and follows a different trait. 

If you’re looking to rent shipping containers, we’re here to help. At Tassgroup, we offer high-quality 40ft and 20ft storage and high cube containers at affordable and flexible lease options. Feel free to contact us to know more about how we can help you!

Meaning of CNF in Shipping

Meaning of CNF in Shipping

International shipments are way too complex than domestic shipments as there are many steps involved in the shipping process. That’s where the acronym CNF comes in. 

Meaning of CNF in Shipping

CNF stands for Cost and Freight. It is the most widely used shipping term in International shipments. It is basically a shipping agreement between the buyer and seller. The seller pays to deliver the goods to the port closest to the buyer, after which the buyer is responsible for all other shipping charges, including insurance from the port to the final destination. 

CNF is also known as CFR and C&F. 

Importance of CNF in Shipping 

With the growth of worldwide trade, there is a need to standardize international shipping. Understanding the various shipping choices allows the business owner and seller to improve the efficiency and flexibility of their supply chain.

CNF and other international shipping terms assist shippers and buyers in calculating and managing freight costs efficiently. 

Other terms related to CNF 

FOB: 

FOB stands for Free on Board/Freight on Board. Here the seller bears the cost of delivering items to the nearest port, but then the buyer is responsible for the shipping and all the other charges. 

CIF:

CIF stands for Cost, Insurance and Freight. Here the seller is responsible for all costs, including freight and insurance, associated with transporting the items to the final destination. Once the products are carried on the ship,  the risk is moved to the customer.

What is the difference between CNF and CIF?

In CIF, the cost includes sea freight and insurance to deliver the items to the buyer’s closest port. The buyer then has to take responsibility for the package from that point forward. CNF is similar to CIF, except insurance is not included.

If you would like to know more information about shipping or if you are looking to get your cargo moved seamlessly, then feel free to contact our shipping experts at Tass Group.