The Hindu Business Line : Box movement from ICDs — Delhi roads to have no truck with containers

THE decision of the Delhi Police to restrict the movement of transit containers on trailers, that is, containers on trailers moving between Tughlakabad (TKD) inland container depot (ICD) of the Container Corporation of India (Concor) and the neighbouring States, has evoked sharp response from a cross-section of trade and industry, shipping, shippers, freight forwarders and various other agencies.

From July 1, these containers, according to the Delhi Police, will not be permitted to come to the TKD-ICD via Ring Road or Outer Ring Road.

The containers have to come to the ICD via Faridabad-Badarpur route entailing additional inland transportation and, therefore, delay and cost.

However, two relaxations have been made. First, there will be no restriction on movement of containers originating and terminating within the Delhi area. Also, no restriction has been imposed on break-bulk cargo coming in trucks. Neither Concor not the shipping agents' association is convinced of the scope of the relaxations and, therefore, both are believed to have sought clarification from the Delhi Police and the Commerce Ministry.

Following the Delhi Police decision, Concor has urged the shipping lines, shippers and others concerned from outside Delhi, to use the ICDs located at Dadri and Rewari so that outside Delhi traffic currently being handled by the TKD-ICD could be shifted to these ICDs over the next two months. According to Concor, the ICDs at Dadri/Rewari are fully operational and are connected to all major ports by rail.

The Delhi Police's decision may prove costly for the trade, fear trade sources. For several reasons.

The containers from Panipat and Punjab, not being be able to access the TKD-ICD through Delhi, have to pass west of the city to Faridabad and then east to Badarpur to approach the TKD-ICD. Alternatively, the containers can be transported around the city to the Dadri ICD.

The imports have to move east to Badarpur and then work their way west and north to Panipat and Punjab.

From July 1, the containers to and from NOIDA, a major industrial area, will not be able to access the TKD-ICD at all. They all have to use the Dadri ICD. The same applies to containers to and from Moradabad and Kanpur.

Faridabad is another major industrial area. However, the export containers from Faridabad can approach the TKD-ICD by moving east and then via Badarpur. The same is true of the containers from Agra. The imports will be routed the same way, via Badarpur. Alternatively, Ballabhgarh and Rewari railheads could be used.

While trucks with break-bulk cargoes will be able to use the Delhi roads, though with some restrictions, the cargo has to come to the Patparganj container freight station (CFS) for consolidation. But the containers from the CFS have to take a long route and enter the TKD-ICD through Badarpur.

Alternatively, the nearby Dadri ICD can be used. The break-bulk cargo by trucks can also come to the TKD-ICD for consolidation but the CFS there has a limited space of 10,000 sq.m. only.

Several satellite ICDs have come up around the TKD-ICD including Associated Container Terminal Ltd in Faridabad, Gateway Distripark Ltd near Gurgaon and Surajpur in Greater Noida all in the private sector, and Central Warehousing Corporation's ICD at Patpargunj and Concor's at Dadri and Rewari in the public sector. The rail connections to most of these ICDs leave much to be desired.

The Dadri ICD, it is claimed, is well connected by rail but going round Delhi to reach Dadri from south Haryana and north Rajasthan will mean an additional 400 km (round trip) entailing increased time and therefore cost of inland transport.

In other words, the traffic originating from Haryana, Punjab and UP has to follow the Sonepat-Baghpat-Loni-Ghaziabad-Dadri route.

Next, many shipping lines are not providing empty containers at all but asking the shippers to bear the additional cost of repositioning.

Also, the Customs facilities at all these ICDs are inadequate and the feeder road connections far from satisfactory.

Meanwhile, Concor, at a recent meeting at the Jawaharlal Nehru port, indicated that the rake handling capacities of various ICDs: Eight rakes a day at the TKD-ICD, Dadri one a day to be stepped up to five rakes from September (subject to strengthening of the rail-tracks), four rakes a week at Ballabhgarh, and one rake a week from the Rewari ICD to the JNPT.

Considering the burgeoning traffic on the Delhi-JNPT route, these capacities, it is felt, are clearly inadequate and, therefore, will affect container movement not only to Nhava Sheva but also Pipavav and Mundra ports.

Concor is also pushing hard the Dadri ICD for securing better support from the shippers and shipping lines and has, accordingly, made several promotional offers.

It was also pointed out that the containers with imports from Nhava Sheva to Dadri would have a waiting period of barely a day compared to three-four days for containers bound for the TKD-ICD.

However, the shipping agents are not convinced. They insist on need-based movement of empties between the TKD-ICD and Dadri "in order to stick to general norm of container evacuation as per FIFO (first in first out) and also to avoid increased haulage charge from the trade" so as to stop Dadri from becoming "unviable option vis-à-vis the TKD-ICD."

They also emphasise the need for a proper accounting system and development of the infrastructure as the present state of the road to Dadri leaves much to be desired.

Since the area falls in UP, the matter has been taken up with the State government which, it is learnt, is mulling the construction of a flyover to facilitate movement of heavy duty trailers and trucks with containers.

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