Shipping lines expected to replace direct Karachi calls with transshipment routes post-India ban
NEW DELHI : India’s ban on Pakistan-origin cargo passing through its ports from May 2 is expected to create delays in consignments reaching Pakistan, as shipping lines will be forced to come up with alternative routes when delivering consignments to India and Pakistan, industry insiders and market experts.
“Shipping lines usually serve the ports of Karachi and Mumbai as part of the same service. Following the Indian government’s move to restrict all cargo origination from Pakistan or being delivered to Pakistan, even if remaining on board, shipping lines are being forced to offload said cargo before being allowed to dock at Indian ports,” a senior executive from a Mumbai-based shipping line told .
He added that shipping lines are exploring changes to their delivery services to cater to cargo originating from Pakistan or to be delivered to Pakistan. It may be combined with cargo meant for ports in West Asia, which is likely to delay delivery of shipments meant for Pakistani traders by a day.
The move left carriers with little choice but to avoid calling at ports like Port Qasim in Karachi on westbound sailings, mostly for trades to the US and Europe, and search for alternatives to connect Pakistan trade.
Two-way trade between India and Pakistan has historically been negligible, but third-country freight remaining in Indian networks became a victim of the diplomatic face-off, despite there being no restrictions from either side on foreign-flagged vessels plying their respective territorial waters.
Connor Helm, ocean procurement manager, Indian subcontinent and Middle East at Flexport, said that while shipping lines have so far not notified changes in their long-distance cargo delivery services, automatic identification system (AIS) tracking of US East Coast services like Hapag-Lloyd’s TPI and CMA-CGM’s INDAMEX reveal service changes.
“These services typically call at Port Qasim, Pakistan, before Nhava Sheva and Mundra, India. Hapag-Lloyd’s Nagoya Express (a Liberia-flagged container ship), after calling at Port Qasim on May 1, was due in Nhava Sheva on May 3 but diverted south to Colombo, Sri Lanka, likely to tranship Pakistani cargo to AA7 or US4 services for the U.S. East Coast,” Helm said. CMA-CGM’s CMA CGM Bianca carrier after visiting Pakistan turned back mid-voyage on May 1 to offload cargo loaded in Pakistan before resuming its route to Nhava Sheva and Mundra, he said.
“Carriers will likely reshuffle their Pakistan direct calls and move to a transhipment routing from an alternative Middle East port or Sri Lanka,” Helm added.