Shipping Industry

The shipping industry facilitates domestic and global manufacturing and trade via
transportation of commodities and finished products, while also providing for the
delivery of goods directly to consumers. A wide variety of commercial transport
methods can be found in the shipping industry, from bulk transport of commodities
in railcars to highly specialized "intermodal" container shipping.
The world economy relies on the movement of commodities and goods across oceans, in
the air, and over railways and highways. The ceaseless flow of materials and
products is often out of sight and far from our attention, but life would be vastly
different for most of us without the necessities and conveniences made possible by
the shipping industry.
The shipping industry is responsible for the transportation of ninety percent of
world trade. In other words, 90% of world trade is transported by sea.
Seaborne trade continues to expand, bringing benefits for consumers across the
world through competitive freight costs. Thanks to the growing efficiency of
shipping as a mode of transport and increased economic liberalization, the
prospects for the industry’s further growth continue to be strong.”
“There are over 50,000 merchant ships trading internationally, transporting every
kind of cargo. The world fleet is registered in over 150 nations and manned by over
a million seafarers of virtually every nationality.”
The shipping industry is huge. Merchant ships are estimated to generate half-a-
trillion dollars worth of business in freight rates each year.
Four major modes of transport exist in this industry: marine, air, rail, and
freight.
Marine
Marine shipping occurs on general cargo ships, container ships, bulk carriers, and
tankers. General cargo ships, as their name implies, carry a variety of items,
which are often loaded on pallets. Container ships carry stacks of uniform steel
containers, each loaded with materials and goods. The container method is noted for
its efficiency: According to the World Shipping Council, the cost to transport a
kilogram of coffee from Thailand to the U.K. is just $0.15. Bulk shippers primarily
convey commodities in large amounts, such as iron ore, coal, grain, and forest
products. Finally, tankers carry crude oil, chemicals, and other liquid cargo,
including non crude petroleum products.
Air
Commercial air cargo is flown from one destination to another for further transport
to trade or consumer endpoints. Boeing estimates that 60% of air cargo is
transported via dedicated air freighters, with the rest moving within the lower
cargo holds (the "belly") of passenger aircraft. The air cargo sector of the
shipping industry includes expedited delivery services such as FedEx, UPS, and DHL.

Rail
The rail sector transports cargo via regional and national rail networks.
Commodities can be shipped in bulk on open railcars or within secured cars. The
rail sector is also instrumental in intermodal transportation, in which specially
designed containers are transferred from one mode of shipping to another, often
without human intervention. For example, a container might come into port on a
ship, then be transferred onto a nearby railyard by an automated port transfer
system. Commercial rail is an unsung workhorse of U.S. trade: one-third of U.S.
exports are transported by rail.
Freight
According to the American Trucking Association, an industry trade group, trucks
transport approximately 70% of total freight tonnage in the U.S. annually. This
sector facilitates movement of goods to and from ports, as well as enabling
domestic commerce. Freight is divided into two major categories: full truckload, or
FTL, and less than truckload, or LTL. FTL carriers cater to larger corporations
that often deal in bulk goods, while LTL carriers enable small businesses to ship
goods using a portion of a truck's capacity, thus paying only for the space needed.
The growth in global manufacturing is one of the most important recent drivers of
the shipping industry. Developing economies such as China and South Korea import
commodities including iron, steel, and copper. With these and other materials, a
wide range of products are manufactured for export, from appliances to phones to
automobiles. The purchasing of manufacturing inputs and subsequent need to ship out
finished goods by rising economies has propelled the shipping industry.
Consumer end-product demand, in particular the emergence of e-commerce, has also
invigorated the industry. Amazon.com, Rakuten in Japan, and MercadoLibre in Latin
America are examples of substantial online e-commerce concerns that provide a
channel to connect consumer demand to exporters across the globe.
Technological innovation and fuel prices prominently influence shipping. The rail
sector is analyzing efficiencies where these two factors intersect. Rail companies
have reviewed proposed methods of engine modification to allow fueling by liquefied
natural gas in addition to the current primary fuel, diesel. Increased natural gas
production has lowered the costs of the fuel by 50%, with long-term implications
for the rail sector's profits.
Finally, as the costs of aircraft, marine vessels, truck fleets, and rail
maintenance can be enormous, the efficiency of financing affects the industry's
growth and profitability. Low interest rate environments tend to favor growth, and
as we move further away from the recession of 2009, an increased appetite for
lending among banks and finance companies may also promote industry expansion.
All ports in India are situated in the 9 coastal states of India namely Kerala,
Karnataka, Maharashtra, Goa, Gujarat, West Bengal, Odisha, Andhra Pradesh, and
Tamil Nadu. India’s extended coastline forms one of the major portions of land that
juts out into a water body. Thirteen major ports in the country handle a lot of
volume of container and cargo traffic.
On the west coast, there are the ports of Mumbai, Kandla, Mangalore, JNPT,
Mormugao, and Cochin. The ones on the east coast are the ports at Chennai,
Tuticorin, Visakhapatnam, Paradip, Kolkata, and Ennore. The last one, Ennore is a
registered public company with the government owning a 68% stake. In Andaman and
Nicobar Islands, there is Port Blair. Mumbai is the largest natural port in India.
The list of important ports in India is given below:
Zone
State
Port
Features
Eastern Coast
Tamil Nadu
Chennai
Artificial Port
Second busiest port
Western Coast
Kerala
Kochi
Sited in the Vembanad lake
Exports of spices and salts
Eastern Coast
Tamil Nadu
Ennore
India’s First corporatised port
Eastern Coast
West Bengal
Kolkata
India’s only major Riverine port
Situated on Hugli river
Known as Diamond Harbour
Western Coast
Gujarat
Kandla
Known as Tidal Port
Acknowledged as Trade Free Zone
Largest port by volume of cargo handled.
Western Coast
Karnataka
Mangalore
Deals with the iron ore exports
Western Coast
Goa
Mormugao
Situated on the estuary of the river Zuari
Western Coast
Maharashtra
Mumbai Port Trust
Largest Natural Port and harbor In India
The busiest port in India
Western Coast
Maharashtra
Jawaharlal Nehru Port Trust (JNPT) also known as Nhava Sheva, Navi Mumbai
Largest Artificial Port
It is the Largest Container Port in India.
Eastern Coast
Odisha
Paradip
Natural Harbor
deals with the export of iron and aluminum
Eastern Coast
Tamil Nadu
Tuticorin
A major port in south India
deals with the fertilizers and petrochemical products
Eastern Coast
Andhra Pradesh
Visakhapatnam
Deepest port of India
deals with the export of iron ore to Japan. Amenities for building and fixing of
ships are available
Bay of Bengal
Andaman & Nicobar Islands
Port Blair
The port connected to the mainland of India through ship and flight. This port is
situated in between two international shipping lines namely Saudi Arabia & US
Singapore.

Mumbai Port, Maharashtra

Mumbai Port is the largest port in India in terms of size. It is spread over an
area of 46.3 hectares and has a pier length of 8000 km. This port has been in
operation since 1873 and is the second oldest port in India. Mumbai port is said to
have one of the best locations for an Indian seaport because of the following
reasons -
1. It is situated on the midway mark of the western coastal region.
2. It is a 400 sq. km natural deep water harbor. The Konkan mainland protects it on
the
eastern side, and the Mumbai island does so on the western side.
This port in Mumbai, the biggest port in India, is a 10-12 meters deep port. This
helps the big ships to make their way in and out easily. There is natural
protection in this port that provides shelter for round-the-year shipping.
The Mumbai port can handle all kinds of Cargo. Therefore it is also known as a
multi-purpose fund. There are 32 berths in this port with a refilling facility. The
port has railway connectivity to the Central Railways and Western Railways.
Mundra Port, Gujarat
Mundra port is the busiest port in India. It is known for handling 5.7 million
units of Cargo in the year 2020-21. The port is operated and owned by the Adani
Port and Special Economic Zones Limited – the largest private port operator and one
that accounts for about 24% of the port's capacity.
Mundra port is located on the Western Coasts of India. It provides railways and
roadway connectivity to the Northern hinterland while also providing connectivity
to the international ports. This port in Gujarat specializes in container shipping,
bulk, and oversized cargo such as minerals, fertilizers, machinery, steel, and
agricultural goods. There are several berths in this port – 10 berths for dry bulk,
six for containerised cargo, and three for liquid bulk.
This port also serves as the world's largest coal import terminal. It has large
covered storage areas that offer complete coverage for the cargo in monsoons.
Kolkata Port, West Bengal
The Kolkata port is the only major riverine port in India. It is officially known
as Shyama Prasad Mukherjee Port. The port in Kolkata is located around 203 km from
sea level. The port was constructed by the British East India Company. It is a port
with freshwater with no variations in the salinity of the water. There are two
distinct dock systems of the port - a deep water dock at Haldia Dock Complex and a
Kolkata Dock. The port is located on the banks of the Hooghly River of Kolkata.
Kolkata port serves as the terminal agent for Indian Railways. The port has
connectivity with Eastern Railways of India through the Majerhat railway station.
Chennai Port
The Chennai port in Tamil Nadu is the second largest port in India. It specializes
in handling general cargo, iron ores, fertilizers, and petroleum products.
Ennore Port
The Ennore port is located in the Northern Region of Chennai. Located in the
Coromandel Coast in the Bay of Bengal, the port was constructed to reduce
congestion at the Chennai port. It is the first corporate port of India.
Government initiatives for the Port Sector
1. In the union budget 2021, the Indian Government has come up with allocations for
the expansion of Inland and shipping waterways.
2. The government has also developed the make in India movement. The Ministry of
Port has also amended the guidelines of the Act of Right of First Refusal. The
right of chartering vessels is given to the vessels built in India.
3. The government has also decided to develop the National Logistics Portal. It
will help the importers, exporters, and service providers.
4. The government has also decided to develop the Society for Affordable Redressal
of Disputes. It will be helpful for private players.
5. The government has also passed the Major Port Authority Bill 2020. This bill
will establish the board of major port authorities for all the ports.
How many Major Ports does India have?
There are 13 major seaports in India. Among these 13 major seaports, 12 are
government-owned ports, and one is a private port. Apart from these, there are 187
minor ports in India.
In the year 2010, Port Blair was also declared the major port of India. But this
status was revoked recently.
The Sagarmala project introduced by the Indian government helps modernize these
ports. The Major ports of India handle 74% of the total Indian cargo traffic.
Which is India's deepest port?
The Krishnapatnam port, located in the state of Andhra Pradesh, is the deepest port
in India, with a draft of 18.5 meters. The port is operated and owned by
Krishnapatnam Port Company Limited.
This port has 7.5 crore tonnes of cargo per annum. The port is connected to the
Chennai- Kolkata railway line and is also connected to the National Highway 16 of
India.

Conclusion
The seaports in India play a major role in the environment and develop the marine
economy and national economy in general. Seaports in India also serve as the
crossroads for export and import and transform the delivery of goods from maritime
transport to the roadways, railways, and waterway transport.
India has a rich history of trading over seaports. The seaports not only serve an
economic but also a social function. When it comes to carrying the load from one
place to another, seaway transportation is the most effective and cheapest form of
transportation compared to the other systems. Our Indian industry requires a safe
and cheaper way to export goods and import raw materials. This is why the majority
of industries are located close to the coastal regions and are connected to the
major ports of India.