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Mundra empty-box rule triggers wider container transport strike

Mundra empty-box rule triggers wider container transport strike

Container disruption at India’s Mundra port has escalated after around 1,500 transporters halted box movements in support of empty-container depot operators fighting a new Adani Ports and Special Economic Zone rule.

APSEZ’s new regime took effect on September 1 and requires shipping lines to nominate empty containers only to designated yards within the Mundra Port SEZ. External empty-yard codes have been frozen, ending the previous practice under which carriers could nominate off-dock depots outside the port area. Empty-yard operators suspended services from August 28, seeking withdrawal of the measure.

The Kandla Mundra Container Transport Welfare Association has now joined the action. Around 1,500 transporters servicing the port stopped picking containers with immediate effect on September 1, according to a trade notice reported by ETInfra. The association said its members would pull vehicles off the road from midnight on September 2 until further notice.

The disruption is already hitting empty-equipment flows. CMA CGM said releases of empty boxes for factory-stuffed exports and empty gate-ins for import returns are unavailable at affected yards. Hapag-Lloyd has issued a similar warning, while both carriers said container freight station stuffing and gate-ins remain unaffected.

The Mundra Customs Brokers’ Association estimates around 5,000 containers a day are being held up. The Federation of Freight Forwarders’ Associations in India has asked the Directorate General of Shipping to intervene, citing stranded vehicles, missed vessel cut-offs, shipment rollovers and additional detention, handling and transport costs.

APSEZ has argued that moving empty-box handling inside the port will cut road congestion, improve truck turnaround times, shorten container moves and tighten inspection, safety and security controls. Depot operators and liner representatives have pushed back, arguing the restriction removes carriers’ freedom to nominate their own authorised empty-container facilities and threatens the viability of businesses that have invested in off-dock capacity around Mundra.

There is no indication yet of a settlement, with carrier advisories keeping the restrictions in place until further notice.

Source: https://splash247.com/mundra-empty-box-rule-triggers-wider-container-transport-strike/