Kerala exporters in despair..
Exporters of fruits and vegetables from Cochin are in great dismay.
There are two main reasons for this.
One is high transportation cost.
Second is the duration of transit.
250 metric tons of fruits and vegetables are exported daily from Cochin by air.
375 containers are exported every month.
The shipping cost of one 40 feet container from Cochin Port to Dubai is USD 1545.
But at the same time, the cost of shipping a 40-foot container from Mumbai port to Dubai is just $533.
Apart from this, the duration of voyage from Cochin port to reach Dubai is 14 days.
18 days to reach Qatar.
It takes 22 days to reach Saudi Arabia.
But the ship reaches the Gulf countries in just five days from Mumbai.
Avoiding such delays and reducing transportation costs importers encourages to ship goods from Mumbai port.
As a result, around 150 exporters have opted for Mumbai port instead of Cochin port.
Footwear manufacturing company VKC was exporting 125 to 150 containers from Cochin port.
Now they have completely moved towards the port of Mumbai.
When approached Cochin Port about the issue, their explanation was different.
Container shortage still prevails at Cochin port.
It costs about 600 dollars to bring the container from another port. This is the main reason for the increase in transport costs.
Vessels departing from Cochin port have to wait at the cargo terminal at Colombo port. Hence there is delay in traffic. Ships departing from Mumbai port do not go to Colombo.
The central government should look into this situation that may have occurred at Cochin port.
#exportbusiness #export
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