The government is working on a four-point formula to provide a solution to the shipping industry that is stuck due to the blockage of the Suez Canal. The plan was adopted on Friday.
What is the four-point formula?
The logistics division, Ministry of Commerce suggested prioritizing cargo, freight rates, advisory to ports, and re-routing of ships at a meeting attended by the representatives from the Ministry of Ports, Shipping and Waterways, ADG Shipping, Container Shipping Lines Association (CSLA), and Federation of Indian Export Organizations.
How will the plan be executed?
Federation of Indian Export Organizations (FIEO), Marine Products Export Development Authority (MPEDA), and Agricultural and Processed Food Products Export Development Authority (APEDA) will jointly look after the prioritization process that includes identifying the perishable cargo and work with shipping lines for priority movement of the cargo.
What the government is doing to manage the cargo price?
The commerce ministry stated that the situation was temporary and a long-lasting impact is unlikely to happen hence the ministry had made a request to CSLA to maintain stability in the freight charges. CSLA has also assured that the … Read the rest