JNPT truckers have gone on strike from today due to new logistics arrangements at the port that took effect on May 1st.
By this evening we will get to know if this strike will continue or be called off. As of today we do not have any containers affected due to this. However, if this continues we will keep you posted with details of shipments that may be affected.
Harbor truck operators at Jawaharlal Nehru Port Trust (JNPT) took vehicles off the roads Wednesday morning to pressure authorities to reconsider a regulated transport system rolled out May 1.
Local trade sources said that all truckers in the public harbor are out-of-service and that the abrupt stoppage has put a halt to container handling by road, which represents the majority of JNPT’s supply chains. The disruption and resulting congestion threaten hard-won productivity improvements through a spate of government ease-of-doing-business initiatives in the past few years.
“The (freight) movement to and from all terminals in the entire JNPT region has been ceased by the transporters,” third-party logistics provider Gateway Distriparks Ltd. stated in an advisory sent out to its customers.
APM Terminals Mumbai on Tuesday issued a trade notice warning customers of possible disruption to laden import and empty container handling in the event of a strike. Efforts to reach the port and terminals for updates regarding the truckers’ boycott on Wednesday were unsuccessful.
The truckers’ concern is centered on exclusive handling rights that JNPT awarded to four logistics companies for the transportation of direct port delivery (DPD) shipments. The drayage community fears the decision will render most vehicles idle and the new operation will create a monopolistic environment in the market.
The logistics contracts cover five busy hinterland points in Maharashtra and Gujarat, which combined is estimated to generate nearly 600,000 TEU of DPD bookings annually based on current market trends.