JNPT is equipped with advanced technology ensuring higher productivity and operational excellence.

– Sanjay Sethi, IAS

Chairman – Jawaharlal Nehru Port Trust

JNPT has been one of the major ports in India. Throw some light on the port’s contribution to India’s growth story?

For the past 32 years, Jawaharlal Nehru Port Trust (JNPT) has constantly developed and upgraded to increase its operational efficiency limits. Through various measures, the port has been continuously refining its volume handling capacity and reducing the dwell time to benefit the EXIM community. These consistent efforts to grow and expand have helped JNPT in maintaining its position in container handling.

In the coming years, some major projects and strategic initiatives will drive JNPT’s next phase of transformation and not only achieve but exceed global standards with a core objective to provide a seamless customer experience and promote ease of doing business. These efforts taken by the port have been recognised, and JNPT has been being credited for India’s improving its ranking in the World Bank’s Ease of Doing Business Index, under the ‘Trading across borders’ segment to 68th position from 80.

Last year when the pandemic struck the world, India’s ports, logistics, and supply chain sectors played a crucial role in the country’s economic growth story and ensured continuity in trade. JNPT, along with its stakeholders and industry partners, provided essential goods to sustain national and international needs. JNPT remained operational and continued to deliver its services in difficult times.

Despite the pandemic, we were able to achieve a few milestones, like -opening of the new Centralized Parking Plaza and JNPT-SEZ. Implementation of the dwarf container services is set to enable growth in port cargo traffic via the railway route, reduce congestion and container shortages, and improve the turnaround time of shipping line containers from a month to just a few days. During the year, many other strategic measures for ‘Ease of Doing Business’ were also implemented following the guidelines of the Ministry of Ports, Shipping, and Waterways.

Since its commissioning, JNPT has achieved unparalleled throughput with efficient operation in the last 32 years. With several progressive expansion plans, JNPT looks to reinvent its potential and continue to support the country’s economic growth and perform its duties to facilitate development in the port sector.

Developing World Class Ports is crucial to boost coastal shipping, cut down on cost and fulfill the cargo handling needs. And, to facilitate the same JNPT is developing the Vadhavan Port. Please enlighten us with the status of the Port?

In February 2020, The Union Cabinet approved the setting up of the country’s 13th major port at Vadhavan in Maharashtra at a total cost of Rs 65,544.54 crore and with a natural draft of 20 meters. This ‘All-weather, All Cargo Port’ will support the berthing of modern ultra-large container vessels. This major port on India’s western coast will help back JN Port which has reached optimum capacity for container cargo, which is 10 million TEUs (twenty-foot equivalent unit). The ability of ports on the entire west coast is 18 million TEUs, while the total requirement will increase to 25 million TEUs in 2030.

JNPT has proposed to develop Vadhavan Port along with the participation of the Govt of Maharashtra (Maharashtra Maritime Board), and an MOU was signed on 5th June 2015 to set up a new port at Vadhavan as a Major Port to be notified under the Indian Ports Act 1908 by Government of India. This port is poised to be developed based on Landlord Port Model and will be jointly implemented by JNPT and Maharashtra Maritime Board with a shareholding of 74% and 26%, respectively.

As the projected demand for containers is expected to go up, it was necessary to create a new port site that can cater to the increasing need for port capacity along with handling the future deep-draft ships. The new port can cater to the vast hinterland region covering the states of Maharashtra, Gujarat, Western parts of Madhya Pradesh and the North Indian States. Development of Vadhavan port will enable berthing of container vessels of 16,000-25,000 TEUs capacity, giving an advantage of economies of scale and reducing logistics cost and creating vast employment opportunities.

With the development of Vadhavan port, India will break into the list of countries with the top 10 container ports globally. After completing the 4th terminal at JN Port which is anticipated to increase capacity up to 10 million TEUs by 2025, it will stand as the 17th largest container port in the world.

The detailed design and Engineering is in progress through the consultant, and it will be completed by July 2021 for the requirement of the investment decision of GoI. EAC approved the TOR for obtaining EC of MOEF & CC in its meeting held on 26/08/2020, and various studies as compliance to TOR of EC are in progress. The building of Local opinion above Vadhavan Port project is in progress, and rail connectivity & road connectivity are planned to be implemented through DFCC & NHAI, respectively.

How are operations at JNPT driving the port equipment market in terms of smart technology and sustainable machines?

JNPT is equipped with advanced technology ensuring higher productivity and operational excellence with greater safety standards. JNPT has four dedicated terminals managed by the global market leaders with the most advanced and equipped container handling facilities in the country, providing quick efficient operations for both – large-sized next-generation vessels and bulk cargo.

JNPT has always been the leader in technological advancements while introducing E-form 13/Form 11, by which entry of containers in the terminals is regulated. JNPT also introduced a Mobile App, RFID-based Terminal Gate transaction, Container tracking (first time in India), E Delivery orders, Up-gradation of the Navis system with Navis N4 Terminal Operating System. The port has also introduced Inter Terminal movement of Tractor Trailers (ITT), which saves a significant amount of time and cost for the EXIM community. Today more than half of the container traffic in the Port is routed through DPD enabling trade to save logistics cost, time and helping to reduce the carbon footprint and pollution.

The port has adopted a Radio Frequency Identification (RFID) based Gate Automation System has ensured that the gate transaction time is reduced from 10 minutes to 1 minute, also providing a high-security profile. An upgraded version of PCS was launched to enable all stakeholders to exchange data/transactions on the PCS 1x platform on a real-time basis reducing the time and overall cost for documentary and border compliance for imports and exports by eliminating unnecessary duplication of activities on different portals. e-DO (e- Delivery Orders), which is transmitted through PCS 1x facilitates quick and easier delivery and reduces cost and time in the import supply chain.

Additionally, JNPT has partnered with Zinka Logistics Solutions Pvt. Ltd to operate the Transport Solutions with the BlackBuck trucking platform which helps in eliminating inefficiencies by reducing empty trailer movements between port and CFSs, reducing empty container movements in the hinterland and also helping in reducing the truck idling time for the Fleet Owners and ensuring trucks availability to trade. BlackBuck has already initiated their activities like meeting/ discussions with CFS operators and Terminal Operators. Eventually, this will help in reducing congestion, increasing throughput, high transparency to trade and increasing earnings per truck.

Technological initiatives have helped JNPT reduce cost and allowed the port turnaround, and ensured continuity in enhancing operational efficiency. These measures enable JNPT to be at par with global ports, making it a Port of Choice in the maritime sector.

Can you update us on the progress of the JNPT SEZ project? Also, how will it contribute in making India a manufacturing hub, enable port-led development & help the maritime sector?

The Indian maritime industry has witnessed rapid growth in the last few years due to improved planned outlay of the government, enhanced infrastructure facilities, greater access to global markets, and initiatives like port-led industrialisation under Sagarmala. To boost exports by enabling port-led industrialisation and help the maritime sector, JN Port is developing a multiproduct SEZ in its owned freehold land of 277 hectares at Navi Mumbai, Five km south-east from the port.

JNPT SEZ is allotting the land on a 60 years lease to investors through an e-tender cum e-auction process. A total of 28 investors are allotted land in JNPT SEZ of around @62 ha (@160 acres), which included 85 acres of land for Nhava Sheva Business Park (NSBPL) for FTWZ. 6 units in JNPT SEZ have generated their first invoice from their JNPT SEZ unit and are declared operational unit. Thus JNPT SEZ is now the first Port-based operational multi-product SEZ from June 2020 PAN India. Another six units have started their construction activities and are planning to commence their operations soon. M/s. NSBPL has started construction for their FTWZ unit on the plot allotted to them.

The infrastructure development is completed, and the units are provided with all necessary support to commence their operations. JNPT SEZ provides single window clearance for approvals about the units which are given possession in JNPT SEZ. GoM awarded JNPT the Special Planning Authority (SPA) and Electrical distribution licensee status as per SEZ Act provisions. Also, the Development control regulation for the JNPT SEZ area are approved by GoM. Thus, JNPT SEZ will be aimed at utilising the maximum potential of the SEZ land for industrial development. This enables JNPT SEZ to provide all the permissions for setting up of SEZ units under its own umbrella.

In the coming years, JNPT-SEZ will not only enhance capacity and productivity for our business but will also generate employment and provide a livelihood to the local community. With infrastructure facilities as per international benchmarks, we are confident of attracting leading global companies for making India a manufacturing hub. Once completely operational, JNPT-SEZ is expected to generate Rs 4,000 Cr. of investments and create 57,000 jobs, generating substantial employment opportunities. Today, the ever-increasing number of investors are understood to be looking at ports and port-based SEZs as investment opportunity.

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