With over 500 projects being implemented under the prestigious Sagarmala project, India will see more waterways being used as a preferred mode of transportation thus reducing logistics costs for India Inc and also free the country’s roads from congestion due to trucks and trailers, Capt. Rahul Bhargava, Chief Operating Officer, Essar Shipping Ltd, said recently at a virtual maritime conference.
He also said with redefinition of Ministry of Shipping by our honourable Prime Minister Mr. Narendra Modi as the Ministry of Ports, Shipping and Waterways will help sharpen focus on development of more coastal ports and usage of 21,000 kms of Jal marg.
On developments, impacting the global maritime trade, Capt. Bhargava observed that all eyes were now on year 2021 and identified two major events that may lead to an improvement in global shipping business from the current levels: — China’s relations with US, Taiwan, Australia, Japan and India and the availability of a vaccine to combat the C-19 pandemic.
He said that travel restrictions are expected to ease by mid second quarter in 2021 and that would in turn benefit the oil markets resulting in more movement of crude and petroleum products.
“This may bring a cheer to the tanker market, which will only get better in the second half of 2021, when most of the restrictions will be lifted,” he said.
Capt. Bhargava also observed that global dry bulk and container shipping businesses will get a fillip if trade relations between the United States and China show signs of normalisation and that the war like situation in South China Sea will also subside.
“Trade from US and Australia will increase to China and this will be a welcome news for dry bulk and container ships,” he added.