Lok Sabha Question No. 1867 (UNSTARRED), answered on 2016-05-05
Subject: Cargo Transportation
Ministry: SHIPPING
Asked by: HUKUM SINGH

## GOVERNMENT OF INDIA MINISTRY OF SHIPPING

## LOK SABHA UNSTARRED QUESTION NO 1867 TO BE ANSWERED ON 5 TH May 2016

## CARGO TRANSPORTATION

## 1867. SHRI HUKUM SINGH:

Will the Minister of SHIPPING be pleased to state:

- (a) whether the Government proposes to offer monetary incentives to those using coastal transportation in the country and if so, the details thereof;
- (b) whether  the  Government/Chennai  Port  Trust  has  introduced  a  new  initiative  called 'Mission Resurge' in the country and if so, the details and the present status thereof;
- (c) whether the Government has introduced wharfage at flat rate for small cars and big cars  to  encourage  the  Original  Equipment  Manufacturers  (OEM)  to  use  the  coastal services and if so, the details and the objectives thereof;
- (d) whether  the  wharfage  for  Roll-on-Roll  off  (RoRo)  vessels  using  coastal  route  has been reduced by 40 per cent and if so, the details thereof; and
- (e) the other  measures  taken/being  taken  by  the  Government  to  encourage  the  use  of coastal route for cargo transportation in the country?

## ANSWER MINISTER OF STATE IN THE MINISTRY OF SHIPPING

- (a) No Madam.

## (SHRI PON RADHAKRISHNAN)

- (b) Chennai Port Trust has launched Mission Resurge Chennai Port. This initiative aims to showcase  various  steps  taken  by  Chennai  Port Trust such  as modal  shift; capacity addition; modernization; concessions and rebates in tariff; shuttle service for reducing road congestion;  operationalising  high  capacity harbour mobile cranes  for  increased productivity; increasing  draft  to  enable  berthing  of  higher  parcel  bulk  an container vessels;  and    introduction  of Radio  Frequency  Identification  (RFID) base  document check and access control.
- (c) Yes Madam. For transportation of automobile cargo through coastal Roll-on-Roll-off (Ro-Ro) vessels, the wharfage charges on per unit basis, instead of on advolarem basis, have been introduced for major ports.
- (d) Yes  Madam.   40%  concession  is  prescribed  in  the  tariff  of Roll-on-Roll-off  (RoRo) vessels on coastal voyage for transporting cars from one Indian port to another Indian Port.
- (e) The  following  measures  have  been  taken to  encourage  the  use  of  coastal  route for cargo transportation in the country:
- i) A  River-Sea  Vessels  (RSV)  Notification  for  moderating  the  technical  and manning requirements for vessels operating within the Indian territorial waters was issued by the Directorate General of Shipping on 31/7/2013.
- ii) The Directorate  General  of  Shipping  has  issued  an  order  declaring  the  Inland Vessel (IV) limits for facilitating coastal trade operations.
- iii) Coastal  Shipping  Rules  for  coastal  vessels  operating  within  20  miles  off  the coast have been issued by the Directorate General of Shipping on 04/03/2014.
- iv) All major ports have been advised to introduce Green Channel for coastal cargo, priority berthing for coastal vessels and construction of exclusive coastal berths.
- v) Government  has  exempted  customs  and  Central Excise  duty  on  bunker  fuels (IFO 180 and IFO 380 CST) for use by coastal vessels carrying EXIM cargo or empty containers or domestic cargo between two ports in India.
- vi) The abatement of service tax has been brought at 70% for coastal shipping at par with road and rail.

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