From The Desk of the Secretary General of MANSA

                                                                                                                                                                        1st July 2008

Good Day Dear Members,

During the year 1st April 2007 to 31st March 2008, the Membership of MANSA stood at 106 inclusive of 6 new Members i.e. M/s Preetika Shipping Pvt. Ltd.., M/s China Shipping (I) Pvt. Ltd., M/s Perma Shipping Line (I) Pvt. Ltd., M/s Hapag Lloyd (I) Pvt. Ltd., M/s Saisea Logistics (I) Pvt. Ltd. and M/s Hanjin Shipping India Pvt. Ltd. and discontinuation of 4 existing Members i.e. M/s Italia Maritima s.p.a., M/s Sahi Oretrans Pvt. Ltd. M/s Saturn Shipping Agencies Pvt. Ltd. and M/s W. W. Shipping Agencies Pvt. Ltd.

As on date (1st July 2008), the Membership of MANSA stands at 108 inclusive of 4 new Members i.e. M/s Ahura Logistics Pvt. Ltd.., M/s “K” Line (India) Private Ltd., M/s Sarjak Container Lines Private Limited, and M/s Chowgule Brothers Pvt. Ltd. and discontinuation of 2 existing Members i.e. M/s Seaspeed Shipping Agencies Ltd. and M/s Volkart Fleming Shipping & Services Ltd.

1. ADVISORIES

Regularly this Secretariat has been communicating various Advisories on various matters including Tariffs, Service Tax, Port related issues and directives, Government Directives and informative and puzzling anecdotes appearing in the various maritime and other newspapers. Most of the time it necessitates that the Members respond so as to evolve a stand on the issues, deliberate on the same and send responses wherever required so that MANSA views are made known with a view to get desired solutions from the authorities that be. However, my experience shows that the responses from the Members are not received overwhelmingly. However, few senior Members interact and also the very concerned Members do seek indulgence from MANSA in solving their problems.

2. THE STATUS OF ISSUES PENDING WITH CHARITY COMMISSIONERS OFFICE

Repeated efforts have been made to get the changes in MANSA Administration effected into the records of the Charity Commissioner. The required information has been filed under specified formats to the Charity Commissioner and a follow up action was also taken through our CA and also advice sought from our Advocate who advised us that once having filed necessary information in the prescribed formats to the Charity Commissioner, it is for the Charity Commissioner’s Office to carry out necessary changes in their records and revert to MANSA if any deficiencies were noticed. In absence of any Notification from the Charity Commissioner it is to be presumed that necessary effect has been given in the records of the Charity Commissioner and there needs to be no reason for approaching again and again to the Charity Commissioner’s Office. However, Charity Commissioner’s Office has confirmed the change in the name of MANSA from BANSA and the Charity Commissioner’s fees are regularly being paid, there seems to be no issues that require urgent attention by the Charity Commissioner’s Office. The matter stands there.

3. DOING AWAY WITH THE ADVISORY TARIFF

Another important aspect which drew the attention of MANSA was the Competition Commission Act. The Competition Commissioner took up the issue, called MANSA and other Shipping Trade elements and emphasized that no Association should indulge in formation of any Regulatory Tariff or deal in any manner with the Tariff or recommend any Tariff to their or other Members as such action would contravene the Provisions of the Competition Commission Act and would attract penal actions. This issue has been deliberated at length at various fora and with the Government Authorities and it was finally decided that the Associations are forbidden from attending to any of the Tariff related issues and therefore w.e.f. 30th August 2007 MANSA withdrew its Tariff and accordingly the recommendatory Tariff published on the website were also withdrawn. It is interesting to note that whereas one arm of the Government (MOS) was pressurizing various Associations to have their Tariffs posted on their website, the other arm of the Government (CCI) was seen threatening the Associations not to perform any such activity at all. In the end analysis, to have a healthy competition in the Indian Shipping Trade, the wise council sustained and the Associations have been forbidden from framing Tariffs or dealing with Tariff in any manner. However, the Competition Commission Act does permit individual entrepreneur (in our case each Member) to publish its tariff on it’s Association’s Website. The Members were requested to come forward and hoist their individual Tariff on the MANSA website if they so desired. As on date MANSA has yet to receive any request for such a facility. 

4. VENUE FOR CONFERENCES

As has been made known to the Members, MANSA Conference Room has been thrown open to all Members as well as to outsiders for conducting meetings, conferences, seminars etc. at a very concessional rate. It is disheartening to note that only one Member so far has availed of this facility. It is hoped that the necessities for conferences etc. may induce Members to use this wonderful facility created in the near future.

5. MANSA PRESIDENT BECOMES TRUSTEE OF BOTH MUMBAI & JN PORTS

The most pleasant news is that the President of MANSA has been nominated by the Ministry of Shipping, Government of India in both the Boards of Trustees of Ports of Mumbai and Jawaharlal Nehru and that our President has started functioning as Trustee of both the Ports w.e.f. May 2008. It is really a laurel for MANSA as it has now got 2 feathers at one stroke to boast with as MANSA’s continued efforts with the Port Authorities and the Shipping Ministry has finally culminated into respecting the needs of Shipping Agents community and bestowing on MANSA its due credit.

6. ADMINISTRATION MATTERS

MANSA has laid in various new codifications on the various subjects as detailed under:

This system which has been introduced has made reference to the subjects easy and for retrieval too. However, few Members have taken advantage of this system.

7. PORTS

7.1 MbPT

The Dy. Conservator held regular meetings with the Pir Pau cum Jawahar Deep Users every fortnight and the concerned members of MbPT Sub-Committee of MANSA attended the meetings.

The Traffic Manager conducted regular HOD meetings with MANSA Members preferably on the 2nd Tuesday of each month when MbPT Sub-committee members and some of the Executive Committee Members attended. The Minutes of each meeting have been circulated.

MANSA took up the issue of incorrect and delayed billings with the Dy. Conservator of MbPT vide Letter No. MANSA/MbPT-Bill/109/06-2007 dated 1st June 2007.

The Traffic Dept. of Mumbai Port arranged a programme of Tree Planting Drive in Mumbai Port and invited MANSA for planting trees on 11th June 2007 which was well attended led by Mr. V. C. D’Souza, Vice-President MANSA.

MbPT held quarterly Review meetings chaired by Chairperson, MbPT. MANSA was represented by either President or Vice-President and other Senior Executive Committee Members along with other MANSA Members. Major Policy Issues were discussed and Record of Discussions of Review Meetings and the Minutes thereof have regularly been sent to all the Members.

A Presentation of Business Plan for Long Term Vision for Mumbai Port for the next 20 years and Action Plan for 7 years was held on 16th January 2007 / 20th July 2007. The Presentation was specially arranged for MANSA Members and chaired by the Chairperson. Large number of MANSA Members attended the meeting.

The issue of Deduction of Tax at Source from the Bills payable to MbPT and the issue of TDS Certificates to MbPT was take up with FA & CAO on 6th August 2007 and clarification obtained. Record of Discussions of the same were sent to all the Members under Cir. No. MANSA/247/08-2007 dated 20th August 2007. The matter was again taken up with FA & CAO on 1st April 2008 and further clarification was obtained for the ensuing Financial Year vide Cir. No. MANSA/002/04-2008 dated 1st April 2008 followed by Cir. No. MANSA/006/04-2008 dated 3rd April 2008 and Cir. No. MANSA/010/04-2008 dated 3rd April 2008 enclosing MbPT’s Circular in the above regard. These matters were pursued by the Vice-President Mr. V. C. D’Souza; Capt. P. P. Singh and the Secretary General.

The issue of Heavy Lift Charges was separately taken up with Traffic Manager, MbPT vide Letter No. MANSA/MbPT-HL Surcharge/538/12-2007 dated 3rd December 2007 requesting Port Authority to waive the levy of Heavy Lift Surcharge for discharge of packages weighing above 20 tons using vessel cranes.

MbPT regularly dispatches Port performance parameters, Traffic handled and throughputs achieved each month and also the comparative figures for the previous Financial Year and the same are regularly circulated to all the Members for their information and guidance.

The matter of detention of containers and not permitting de-stuffing of cargoes in the containers resulting in levy of penalty on the Lines & Agents was taken up by President MANSA with both the Commissioner of Customs at JNCH & MbCH who directed that the matter should be addressed by MbPT and resolved accordingly. The matter was taken up with Traffic Manager, MbPT vide Letter No. MANSA/MbPT-Contr. Detention/721/03-2008 dated 11th March 2008. The matter is yet required to be further pursued.

Chief Engineer, MbPT had an inter-active session with MANSA Members to discuss about the facilities to be created for the Port Users the conditions of Dock Wharves, Roads and Storage Areas, construction of multi-purpose shed, construction of Terminal for car carriers and facilities for Ro-Ro vessels at 1-2 ID were discussed. Please refer to Cir. No.MANSA/655/03-2008 dated 20th March 2008.

MANSA took up the issue of proposed Transit Shed at 16 ID and represented to Chairperson MbPT for reviewing the stand taken by Traffic Manager/Chief Engineer and to go in for moderately large Transit Shed at 16 ID admeasuring 16-20,000 Sqm so that this multi-purpose Transit Shed can cater to the Transit Storage needs of vessels berthed at 16 & 17 ID as well as 18, 20 & 21 ID vide Letter No. MANSA/MbPT-Board/090/05-2008 dated 14th May 2008. For detailed storage and evacuation Plans for Dock Cargo of Mumbai Port regarding please refer to Cir. No. MANSA/077/05-2008 dated 17th May 2008.

MbPT regularly circulates details of their cargo disposal through e-auction sales notices which are circulated to all members for their information and action.

MANSA took up the issue of lashing of steel machinery and project cargo in the holds of the vessel with the Traffic Manager and observed that MbPT having undertaken the stevedoring work by the On-Board Labour stevedoring section, it cannot pass on the responsibility and the liability to the Lines/Agents for whom it undertakes the stevedoring work and therefore desired that MbPT should issue necessary instructions to its Stevedoring Sections vide Letter No. MANSA/MbPT-Docks/142/06-2008 dated 16th June 2008.

7.2 JNPT

JNPT formed a Welfare Committee in the month of April 2007 comprising of Dy. Chairman, Dy. Conservator, Chief Manager, Sr. Dock Master, Asst. Manager Safety alongwith other representatives from the Shipping Trade like FSUI, MANSA, GTIPL, NSICT, MHA, MS & DGS. Mr. Thomas Varghese, Vice-President, was nominated by MANSA to represent it on the subject Committee and has been functioning since then taking various issues of MANSA in the Committee keeping Safety & Welfare aspects in mind.

Inter-Terminals Committee was formed for fixation of charges of Inter-Terminal Rail Handling Operations (ITRHO) in respect of ICD Containers at JNPT in which MANSA was represented by Mr. Thomas Varghese and Mr. K. P. Unnikrishnan and its recommendations were accepted by TAMP. In this connection Letter No. MANSA/TAMP-ITRHO/110/06-2007 dated 2nd June 2007 refers.

MANSA took up the issue of the maximum permissible arrival draft for outer berth to be 12.5m during the fair weather as well as during the monsoon. MANSA thanked the Chairman JNPT for considering the demand of MANSA and helping the shipping fraternity for declaring the maximum permissible draft for outer berths will be 12.50m during the fair weather as well as monsoon vide Letter No. MANSA/JNPT_Draft/134/06-2007 dated 11th June 2007.

JNPT constituted a Committee for implementation of Port Community Systems (PCS) and requested for nomination of MANSA Members on the same. MANSA vide its letter No. MANSA/JNPT-PCS/173/06-2007 dated 22nd June 2007 nominated Mr. C. S. Manohar, Past President, Mr. Thomas Varghese, Vice-President and Capt. A. S. Pillai, Executive Committee Member. It is satisfying to note that MANSA was well represented and the nominated Senior Members took active part in the deliberations and implementations of PCS System.

On the issue of unilateral deduction of charges from PDA Accounts the matter was represented to various Authorities vide Letter No. MANSA/JNPT-Welfare/031/04-2007 dated 19th April 2007 followed by Letter No. MANSA/JNPT-Comp/092/05-2007 dated 19th May 2007 and Letter No. MANSA/JNPT-PDA/221/07-2007 dated 13th July 2007 through which we requested that no charges other than vessel/cargo related charges from the PDA Accounts of the Members without concurrence of the concerned parties be deducted. This point was discussed in the Port Customers meeting held on 23rd May 2007 and a favourable decision was taken.

Another issue of minimum amount to be kept in the Members PDA Account by the Agents was taken up with JNPT by MANSA and the minimum amount to be kept from 5.5 Lakhs was brought down to a differential scale starting from 1.50 Lakhs to 5.50 Lakhs as per the volume handled per month of the respective Line/Agent as proposed by MANSA vide Letter No. MANSA/JNPT-PDA/226/07-2007 dated 18th July 2007 and Cir. No. MANSA/222/08-2007 dated 10th August 2007.

  A felicitation programme was arranged on 7th August 2007 in honour of Mr. R. T. Revankar, Ex-Chief Operations Manager, JNPT.

The issue of abnormal delays in evacuation of containers in JNPT was taken up by the President with Chairman JNPT vide Letter No. MANSA/JNPT-Delays/364/09-2007 dated 10th September 2007 wherein Chairman was requested to instruct the Officials handling the operations efficiently and avoid situations of delays, detention, strike etc., as these unwarranted actions would result in levy of unwarranted fines and set in unhealthy working trends.

JNPT constituted a Core Group to take adequate steps for increasing the Port capacity in view of the very good growth of 24% increase in the traffic in the Year 2006-2007 and MANSA President was one of the nominated Members in the above group. This Core Group regularly met and various plans for capacity expansion are drawn by JNPT vide Letter No. MANSA/ECM/384/09-2007 dated 14th September 2007.

JNPT issued a Circular dated 13th September 2007 specifying the procedure in respect of inward and outward empty trailors and trailors with laden/empty containers, which MANSA felt was a lengthy procedure and did not solve the problem for fast turn around of the trucks in the Port and will develop further complications and more delays with the resultant Dwell Time delays. MANSA took up the issue with the JNPT Authorities and with the due intervention, implementation of the procedure was withheld. The procedure was fine tuned with certain modifications as appearing in Cir. No. MANSA/315/09-2007 dated 19th September 2007.

The Nhava Sheva Container Operators Welfare Association (NSCOWA) issued a Notice dated 21st September 2007 threatening that there will be no pick up and deliveries of containers from Monday 24th September 2007 from 8 am onwards. Thus giving a sudden threatening strike Notice. MANSA took up the issue with JNPT Authorities along with the representatives of CISF, CSLA, NSCOWA and its Members in the meeting held on 24th September 2007 and the issue got clarified from the Authorities and it was decided that respective Associations will monitor the performance of all the Stakeholders and certain measures were laid down as detailed in the Cir. No. MANSA/321/09-2007 dated 25th September 2007 and the matter got resolved.

Capt. L. S. Sahi, Capt. A. S. Pillai and Mr. K. P. Unnikrishnan, Senior Members of MANSA were nominated in the Committee for Fire Audit Report for PUB vide Letter No. MANSA/JNPT-PUB Comm/451/10-2007 dated 15th October 2007 and have been attending to the various issues arising out of the subject matter.

President MANSA took up the issue of waiver of Port Dues and 20% Shifting Charges and represented to the Dy. Chairperson JNPT and requested for favourable consideration of the requests for : (1) No Port Dues to be levied for re-berthing of vessels (2) Pilotage to be charged only 20% of the normal charges and (3) Vessels to be considered for berthing as per the window schedules instead of window timings vide Letter No. MANSA/JNPT-Dues/485/10-2007 dated 03rd October 2007. This matter also was taken up with TAMP Authorities requesting them to take up the matter with JNPT Authorities that it would not be correct on the Port Authorities to recover charge that is not due. The matter is being considered by TAMP and its directions are awaited. Dy. Chairperson, JNPT was also reminded to expedite her favourable consideration in this regard vide Letter No. MANSA/JNPT-Dues/573/12-2007 dated 17th December 2007 with a copy to TAMP Authorities of even date.

The issue of JNPT closing the Line Code of Lines/Agents or de-activating the same was taken up by MANSA with JNPT Authorities vide Letter No. MANSA/JNPT-Line Code/063/05-2008 dated 6th May 2008 and the request of the Members who desired that the Line Code etc. be continued was considered by JNPT.

President took up the issue of lack of anchorage facilities at JNPT with the Chairman JNPT requesting to take up the issue with Chairperson MbPT for providing urgent relief to the Shipping Trade at JNPT by reserving some of MbPT Anchorage Points to such vessels vide Letter No.MANSA/JNPT-Anchorage/089/05-2008 dated 14th May 2008. Also took up with Chairperson MbPT and sought intervention of Chairman Core Committee (High Powered Committee).

An urgent meeting was fixed by Chairman JNPT on 25th June 2008 at 12 noon when Addl. Secretary, Ministry of Commerce, Government of India also attended. MANSA was represented by President. The present severe congestion situation of the piling up of ICD Containers of the 3 Terminals of JN Port was discussed and all the Plans for evacuation were reviewed on the intervention of MANSA. CONCOR has agreed to increase the number of rakes from 17-18 to 22-23 for the ICDs of TKD/Dadri. Also regular dispatch will be made to Hyderabad ICDs. Other actions were also planned for attending to the serious situation of the 3 Terminals.

Similarly, the Port Customers meetings and Port Advisory meetings are held which are attended by President and nominated members and the issues brought out and resolved are circulated to all the Members.

7.3 GTIPL

President MANSA took up the issue of re-positioning of containers to facilitate proper loading on to the vessels with the CEO, GTIPL vide Letter No. MANSA/GTI-Loading/567/12-2007 dated 14th December 2007 wherein it was pressed and emphasized to issue instructions to the operational staff to assist the container loading in the right direction on to the vessels and also liaise with CONCOR to avoid such problems at the commencement of the loading of the rakes itself.

President MANSA took up the issue of participation of MANSA Members in the meeting of GTIPL. The meetings are now held on every 2nd Friday of the month by GTIPL with all Stakeholders to solve the attendant problems.

8. CUSTOMS

8.1 MbCH

The Addl. Commissioner of Customs (Import Noting) issued Notice dated 31st December 2007 directing MANSA to submit its objections/suggestions on the issue of payment of Light House Dues for carrying cargo at any other place utilized in addition to net registered tonnage of ships. This was in continuation of an earlier Notice issued by the Commissioner of Customs (General) MbCH under Public Notice No. 52/07. This matter was promptly taken up by President MANSA who along with other Senior Members of MANSA had a personal meeting with the Commissioner of Customs (General) MbCH followed by request letters delivered to him under Letter No. MANSA/01/002 dated 7th January 2008. This matter was also taken up with DG Shipping, Nautical Advisor, Addl. Commissioner of Customs, JNCH. The matter was then taken up with the Nautical Advisor, Government of India, Ministry of Shipping. Since the matter did not get resolved quickly it was also taken up with Joint Secretary, Government of India, Ministry of Shipping, New Delhi vide Letter No. MANSA/Govt.-MOS/653/01-2008 dated 22nd January 2008 and the President had personally taken up the issue with the Joint Secretary, Government of India, Ministry of Shipping in the Grievance Redressal Meeting held on 11th January 2008. Therefore the matter was considered by Customs after receipt of certain clarifications from DGLL and Customs notified MANSA along with all other Stakeholders that Light Dues are payable for the containers stored on the Deck of the vessel and held their view that such tonnage is not included in the calculation of NRT of the vessel and therefore the Lines/Agents shall pay necessary Light Dues on such tonnage in addition to the Light Dues calculated on the basis of the NRT of the vessel. The matter was taken up by MANSA in its Executive Committee Meeting held in the month of April/May 2008 and it was finally decided that it was in the interest of the Lines/Agents to pay the dues so as to avoid further complications, lest the Agents would be in dire strait for the payment of Light Dues with retrospective effect for which they could not seek relief from their Principals. All the Members therefore were advised accordingly to make payments and wait for development in the matter for further action. This issue was also taken up on priority with both the Commissionerate of Customs and thereafter with DG Shipping, Nautical Advisor by President and Senior Executive Committee Members. Thereafter the matter was also taken up by the President with the Ministry of Shipping. CSLA & INSA were also requested to intervene as the matter needed urgent attention.

Regular Trade Facilitation meetings and Open House meetings are conducted by Customs and normally Secretary General / some of the MANSA MbCH Sub-Committee Members attend it.

Commissioner of Customs (General) called for an urgent meeting on 22nd Mary 2008 regarding the complaints received from the Trade especially from Importers and some of the major Companies who had faced difficulties in bringing the cargoes from JNPT to Mulund CFS later on by CONCOR. The meeting was attended by various Stakeholders like CONCOR, BCHAA, FFFAI and MANSA was represented by President and Secretary General. The details of the discussion and the decision arrived at have been circulated to all Members vide Cir. No. MANSA/100/05-2008 dated 29th May 2008.

8.2 JNCH

Regular PTFC meetings and Open House meetings are held by the Commissionerate of Customs and MANSA JNCH Sub-Committee members attended these meetings, deliberate the issues concerning MANSA and the Trade and various solutions arrived at are regularly circulated to all the Members for their guidance and necessary action.

President took up with the Chief Commissioner of Customs issue of total damage to the containers caused when in custody of the Importer/Exporter/Clearing Agent and requested for a directive to be issued in the matter in this regard vide Letter No. MANSA/JNPT-Comp/080/05-2007 dated 15th May 2007 addressed to Chief Commissioner of Customs, JNCH.

In accordance with the recommendations of IMG for simplification of Customs procedure at JNPT in Nhava Sheva, Joint Commissioner, JNCH constituted a committee of Custom Officers, CEO’s of Terminals, CONCOR and various other Trade Associations in which MANSA was represented by Mr. Thomas Varghese, Vice-President having been nominated to it vide Letter No. MANSA/ECM/133/06-2007 dated 11th June 2007.

Commissioner of Customs (Export) constituted a Committee to study and make recommendations for the minimum documents required for import and export at JN Port and Mr. Thomas Varghese, Vice-President was nominated as Member who took active part in the deliberations and suggested various propositions in minimizing the documents of Import/Export at JNPT vide Cir. No. MANSA/339/10-2007 dated 3rd October 2007.

JN Customs devised Application Format for the Entry Pass to JN Custom House Building premises, Nhava Sheva and required that the same be countersigned by President/Secretary of MANSA. The issue was deliberated at length and a procedure was evolved by MANSA and circulated to Members vide Cir. No. MANSA/457/12-2007 dated 13th December 2007. After the introduction of the revised procedure for obtaining Customs Passes for entry into JN Custom House, many of the Members have applied and got the necessary Custom Passes. The Procedure is now working satisfactorily.

Commissioner of Customs (Import) JNCH, Sheva issued a Public Notice 09/2008 dated 16th January 2008 on the subject of levy of Light Dues under Light House Act 1927 followed by another Notice dated 16th May 2008 from Addl. Commissioner of Customs (Import), JNCH. In view of the DGLLs advise to Customs in terms of his letter No. 10/3/2008-B&A Noida dated 28th February 2008 and JNCH Letter dated 16th May 2008 from Addl. Commissioner of Customs, JNCH, which revealed that both Customs and DGLL have concurred with views held by them, the matter was then taken in the Executive Committee meeting of MANSA which finally decided that it was in the interest of the Member to agree to pay on the volume of cargo loaded above the Deck so that the Agent is not out of pocket in case the same is demanded in future by the Authorities. It was finally decided that it was prudent to pay what is demanded by the Custom Department. In this connection please refer to Cir. No. MANSA/023/04-2008 dated 8th April 2008. The matter was however taken up with Commissioner of Customs (Import) suggesting certain facilities and clarifying that the ILH Dues is payable on the Deck cargo (in tones) loaded on the vessel deck space or space not included in the calculation of NRT computing the same for even empty containers on the same value as loaded container gives rise to increase of the cost of empty being positioned to India and requested him to avoid inaccuracies while calculation in LH Dues vide Letter No. MANSA/CEDI-JN/113/05-2008 dated 29th May 2008.

9. MINISTRY

9.1 Ministry Of Shipping

MANSA took up the issue of Shipping Trade Practices Act with the Ministry of Shipping and attended various meetings and respective records of discussions have also been circulated.

The President represented MANSA in the meetings the Secretary, Ministry of Shipping and other Government Officials had on 14th August 2007 held at New Delhi with regard to furnishing complete break-up of THC for display and grievances of Shippers and Shipping Lines. The provisions of Competition Commission Act were also discussed and deliberated.

Another meeting was held with reference to Grievance Redressal under the Chairmanship of Secretary, Ministry of Shipping on 9th October 2007 in New Delhi. Minutes of this meeting have been communicated vide Cir. No. MANSA/429/12-2007 dated 1st December 2007.

Another meeting was held on the same subject by the Secretary Ministry of Shipping, New Delhi on 11th January 2008 when the subject of levy of Light Dues under the Light House Act of 1927 was also discussed. This was communicated vide Cir. No. MANSA/627/03-2008 dated 4th March 2008 followed by MANSA Letter to Ministry of Shipping under Letter No. MANSA/MOS/611/01-2008 dated 7th January 2008 wherein Secretary MoS was requested to take the matter of levy of Light Dues with the Finance Ministry/CBEC so that the Shipping Trade at large would not be put into distress. The matter was also taken up concurrently with the Commissioner of Customs (General); DGLL, Noida; DG Shipping, Mumbai. The President and some of the senior members also represented the case of levy of Light Dues with the Commissioner of Customs (General), Mumbai.

The matter of allotment of PAN for payment of tax for Tramp vessels was taken up by the President with the Chairman CBDT vide MANSA Letter No. MANSA/Govt-CBDT/619/01-2008 dated 10th January 2008.

President MANSA took up the issue of revised Public Tariff for handling transportation of containers by rail in respect of THC at ICD/TKD by CONCOR with Secretary MoS and Secretary MoC with a request to review in mitigating the problems arising out of the above action vide Letter No. MANSA/MOS-CONCOR-Tariff/217/03-2008 dated 13th March 2008. It is satisfying to note that CONCOR in its later clarification has sorted out the issue vide Cir. No. MANSA/674/03-2008 dated 31st March 2008.

MANSA was again represented in the meeting of the Competition Commissioner held on 10th April 2008 at New Delhi by Mr. K. P. Desai, Past President when the provisions of the Competition Commission Act was further deliberated. It was clarified in the meeting by the Commissioner that while Associations do not contravene the Competition Commission Act as well as they only act as a platform to discuss with various Government Bodies and improve the working process vis-à-vis Port, Customs etc. they cannot discuss any rates/tariffs. It was further emphasized that MANSA should ensure that they do not publicize any rate such as Agency Fees/Tariff for services such as sign on/sign off, documentation charges etc. It was also instructed that the Principals should have THC, IHC, Documentation Charges etc. of each Line differently i.e. no Line should have similar THC, IHC, PAF, CAF etc. if it is found that any of the Lines had similar/same tariff structure it would be implied that the Lines are in collusion with each other in fixing the tariffs. Mr. K. P. Desai’s Advisory has been circulated to all Members under Cir. No. MANSA/038/04-2008 dated 21st April 2008.

MANSA was represented by Mr. Sunil K. Vaswani in a presentation given by AMTOI on 14th November 2007 to explain the different trading and billing practices followed by Maritime Transport Service Providers (MTSPs) in relation to EXIM Trade of LCLs as well as FCLs. This was followed by a presentation in the Ministry of Shipping. The note of the Asst. Director General of Shipping in this regard was circulated vide Cir. No. MANSA/044/04-2008 dated 24th April 2008.

Another issue which was bothering MANSA was eligibility criteria formulated by the Government in respect of criteria for Request For Qualification (RFQ) for selection of bidder for development of Container Terminals. The President took up the issue of Provisions in the Model Concession Agreement (MCA) for Public Private Partnerships (PPP) in the Port Projects and requested the Secretary MoS to have considered approach to the issue and sought urgent clarification in the MCA for PPP Documents vide Letter No. MANSA/Govt.-MoS/046/04-2008 dated 28th April 2008. The matter was also taken up by the President with Managing Director IPA to take up the matter with the Government Authorities and initiate appropriate action for issuing an urgent clarification in the MCA for PPP Projects. It is heartening to note that the Government is re-considering the issue; however, appropriate advice is yet to be received.

MANSA once again took up the issue of appointment of representation of MANSA on the Board of Trustees of the Board of Mumbai & Jawaharlal Nehru Ports vide Letter No. MANSA/Govt.-MoS/056/05-2008 dated 5th May 2008 & MANSA/Govt.-MoS/285/08-2008 dated 10th August 2008. As stated earlier, it is heartening to note that Government considered the request of MANSA and appointed President MANSA to represent on both the Boards of Trustees of Ports of Mumbai and Jawaharlal Nehru.

The issue of infrastructure inadequacy in JNPT was taken up with the Government by MANSA vide Letter No. MANSA/Govt.-MOS/061/05-2008 dated 5th May 2008 and requested MoS to expedite the actions in providing Northward expansion of 330m berthing space to the existing NSICT Berth and for timely action to implement and commence the 4th Container Terminal at JNPT. It is satisfying to note that these actions are on the anvil in JNPT and would soon be available for the Shipping Trade activities.

President MANSA was invited by Secretary MoS for Inter Ministerial Group (IMG) Meeting for making recommendation for reducing Dwell Time in Ports held on 19th April 2007. In this connection a Draft Report of Government for reducing Dwell Time in Ports were perused, scrutinized and comprehensive comments of MANSA were forwarded to Ministry vide Letter No. MANSA/Govt.-MOS/014/04-2007 dated 12th April 2007. The meeting was followed by another meeting held on 11th May 2007 when President attended the meeting and the comprehensive comments sent by MANSA were taken note of and appreciated and formed part of the IMG Report.

9.2 Ministry Of Commerce

Ministry of Commerce fixed 39th Session of SCOPE meeting which was held on 13th April 2007 at Navi Mumbai when the Ports issues like congestion at JNPT, NSICT, permitting non-governmental testing laboratories for sample checking in Mumbai Port, validity of shipping bills TDS, Service Tax, movement of import loaded containers from one Custom nominated area to other Custom nominated areas, non-availability of EDI connectivity on Sundays & Holidays, Stamp Duty on Delivery Order’s, Containerisation issues in JNPT, shortage of Pilots etc. were taken up for discussion. The Minutes of the Meeting was circulated to all Members vide Cir. No. MANSA/122/06-2007 dated 6th June 2007.

10. CONCOR

MANSA requested CONCOR to have regular meetings. Accordingly, the first meeting was held on 28th March 2007 in the Conference Room of MANSA wherein points raised in the 3C meetings and other CFS related matters like Forwarding Note, CRO Billing, Delays in Documentation and others in Mundra Pipavav Ports, points to be taken up at SCOPE meeting, Dwell Time of ICD containers and handling of OD Containers etc. were discussed and deliberated.

The next meeting was held by Mr. R. N. Varma, Chief Operating Manager (COM), Central Railway with CONCOR, JNPT, CSLA and others were present. MANSA was represented by President and Mr. C. R. Nambiar, Past President and Secretary General. Issues like doubling of the Lines by Central Railway in JNPT and increase of rakes by CONCOR and bottlenecks in transiting 20Ft TEUs with low weight/under weight etc. CONCOR was to come up with the suggestions of schemes to benefit the Trade.

The volume discount scheme offered by CONCOR for import boxes from Gateway Ports to hinterlands was circulated vide Cir. No. MANSA/039/04-2007 dated 26th April 2007.

The next meeting held on 10th August 2007 with CONCOR when President MANSA represented. The various issues like competitive pricing for movement of empties, CRO at Nhava Sheva and Rules for hazardous cargo containers with a view to trying to align these to IMO Rules were discussed. Price Service Packages commensurate with volume and service patterns and liaison of Railway/CONCOR with MANSA & JNPT to discuss ways and means in which the capacity shortage could be effectively addressed were deliberated. The Record of Discussion was circulated vide Cir. No. MANSA/223/08/2007 dated 10th August 2007.

The President MANSA took up the issue of re-positioning of Containers to facilitate proper loading onto the vessels with the Director CONCOR vide Cir. No. MANSA/CONCOR-Loading/568/12-2007 dated 14th December 2007.

President MANSA took up the matter of revised Public Tariff for handling transportation with CONCOR published in the Maritime newspapers wherein the Tariffs were made effective from the date of their publication vide Letter No. MANSA/CONCOR-Tariff/727/03-2008 dated 13th March 2008. In response to the representation of MANSA and other Stakeholders CONCOR informed that the revision notified vide their letter dated 11th March 2008 stood withdrawn and existing freight rates are to continue.

Chief General Manager, CONCOR was requested to revive the 3C Committee and to take urgent advance steps to mitigate the hardships faced by the Stakeholders operating in the Port Terminals vide Letter No. MANSA/JNPT-3C Comm/726/03-2008 dated 13th March 2008. Chairman JNPT was also requested similarly to revive the 3C Committee With the efforts of MANSA it is needless to say that the 3C Committee stands revived as on date.

Another meeting was held with the Central Railway/CONCOR on 5th May 2008 with all the Stakeholders like Private Container Operator, Terminal Operators, JNPT, SCI, CSLA & MANSA represented by Mr. C. R. Nambiar, Past President, Mr. P. P. Singh, EC Member & Mr. H. D. Kulkarni, Secretary General. The salient features of the meeting were to assess the container traffic projection for the Year 2008-2009 and to explore ways and means to handle traffic expeditiously. It was stressed by MANSA that the Liner Operators have no control over dealing time achieved by Terminal Operators. Railways should create more stabling capacity inside Ports to handle more traffic. The Minutes of the meeting were circulated vide No. MANSA/074/05-2008 dated 16th May 2008.

CONCOR vide its email Circular dated 3rd June 2008 communicated to all that they had planned contingency movement of ICD Containers destined to Hyderabad/TKD/Dadri and will be from JN Port via CFS DRT and they had also advised that the charges along with the difference will be debited to the Lines directly by CONCOR. As the subject matter was neither discussed nor deliberated personally or in the 3C meeting, President MANSA immediately took up the issue with the Chief General Manager, CONCOR to review / implement any decision only after discussion and deliberation with the concerned Partys/Associations. It is satisfying to note that there was immediate response from the Chief General Manager and both MANSA & CONCOR deliberated at length and CONCOR resolved the issue by explaining that to mitigate the problems and help Port to discharge more boxes such an action was initiated and now will be put in operation only after MANSA and Shipping Lines consent for such actions and they further assured that no extra charges will be levied on the Lines and Agents and then MANSA agreed to their proposal of contingency plan. The unpleasant situation that would have followed was sorted out and resolved amicably. In this connection Cir. No. MANSA/112/06-2008 dated 6th June 2008 refers to.

11. DG SHIPPING

There was a briefing meeting with regard to the relevance of Competition Act 2002 viz-a-viz the IPBC-Interactive Meeting on 9th August 2007 in the office of the DG Shipping when the salient features of the Competition Commission Act were briefed by the Competition Commissioner. Members were also requested to be familiar with the legislations and various publications being issued by the Competition Commission in its website www.comp.com.gov.in. In this connection Cir. No. 228/08-2007 dated 14th August 2007 refers to.

President MANSA alongwith Mr. C. R. Nambiar, Past President had a joint meeting with Nautical Advisor, DG Shipping, representatives from INSA and IIP on 23rd January 2008 when the issue of refusal by Shipping Lines to carry certain classes of IMDG cargo from Indian Ports as part of export shipments was discussed and deliberated and amicable solution found vide Cir. No. MANSA/543/01-2008 dated 24th January 2008 followed by Cir. No. MANSA/670/03-2008 dated 27th March 2008.

Another meeting was held on 11th February 2008 at 1100 hours with the DG Shipping to discuss the guidelines for specialized operation including towing in Indian waters vide Cir. No. MANSA/575/02-2008 dated 13th February 2008.

DG Shipping issued Cir. No. 1/08 regarding “Revised Guidelines for Chartering of Vessels” u/s 406 & 407 of Merchant Shipping Act 1958: As the Circular was not very clear and ambiguous in respect of its applicability to foreign vessels chartered by foreigners trading into India, a representation was made by MANSA vide Letter No. MANSA/Govt.-DGS/080/05-2008 dated 12th May 2008 to DG Shipping to clarify the exact position and also to favour MANSA with an Official Circular. Even the other Stakeholders like CSLA represented. Thereafter Mumbai Port Sub-Committee members of MANSA had a meeting with Dy. Conservator and Harbour Master of MbPT on 16th May 2008 when the matter got clarified. The Clarifications were circulated to all Members vide Cir. No. MANSA/076/05-2008 dated 17th May 2008. DG Shipping also clarified the issue stating that the Cir. No. 1/2008 was from 15th January 2008 and therefore does not affect vessels licenced u/s 406 & 407 before 15th May 2008 even if the extension licence overlaps the rough weather period. He has further clarified that the Circular does not apply to Indian Flag vessels. This clarification was circulated to all Members under Cir. No. MANSA/070/05-2008 dated 14th May 2008. Further clarification on the subject was also sent under Cir. No. MANSA/098/05-2008 dated 29th May 2008.

12. TAMP

MANSA took up the issue of clarification of conditionality of vessel related charges by JNPT and represented the issues of vessel shifting charges and Port Dues to the Chairman TAMP vide Letter No. MANSA/TAMP-JNPT/178/06-2007 dated 25th June 2007 and requested TAMP Authorities to remove ambiguity and give necessary clarification to Port Authorities. TAMP’s response is yet awaited.

On the request of TAMP dated 25th July 2007 to nominate a representative in the Committee formed for the purpose of drafting Model Scale of Rates for Major Ports and Terminals, MANSA nominated Mr. V. C. D’Souza, Vice-President on the Committee and the Committee has completed its task and submitted the draft Model Scale of Rates. 

MANSA sent its comments and observations to TAMP in respect of proposal from NSICT for reduction of free days for ICD and Transshipment Containers vide Letter No. MANSA/TAMP-NSICT Proposal/466/10-2007 dated 20th October 2007.

MANSA forwarded its comments to TAMP on the proposal of MbPT regarding the revision in their Scale of Rates for (i) Revising the wharfage charges for coal handled at bunders, (ii) For providing a wharfage rate for the cargo handled overside and (iii) For recovery of the embarkation and disembarkation charges with retrospective effect vide Letter No. MANSA/TAMP-MbPT Proposal/654/01-2008 dated 23rd January 2008 - the issue is yet to be finalized by TAMP.

MANSA sent its comments to TAMP Authority regarding proposal from NSICT for review of its Tariff vide Letter No. MANSA/TAMP-NSICT Proposal/125/06-2008 dated 03rd June 2008 commenting on General, Shutout/Re-nomination of containers, Dwell Time of Containers, Charges of Container storage, Transshipment between JNPT & NSICT and miscellaneous charges. MANSA also recommended that request of the Terminals to hike the charges need not be considered.

TAMP Authorities fixed up a Joint Hearing on 30th June 2008 of all the Stakeholders on the subject and MANSA was represented by the Vice-President Mr. Thomas Varghese and Mr. Brian Alexander, Executive Committee Member and other senior Members of MANSA.

13. BCHAA

BCHAA sent an appeal for a meeting with MANSA to resolve the problems faced by their Members with the Shipping Lines/Agents. The matter was at the first hand internally discussed with the President and then with Executive Committee Members and a meeting was thereafter arranged on 6th June 2007 when the following issues were discussed and deliberated : - Assessment of Container Damage Charges unilaterally, multiple locations for Stamp Duty payments thus resulting in delay of issuing Delivery Orders, delay in refund of excess detention/Security Deposit paid. The details of the discussions and the solutions arrived at were circulated vide Letter No. MANSA/ECM-BCHAA/189/07-2007 dated 2nd July 2007.

Both MANSA & CSLA Presidents’ had a meeting on 10th August 2007 wherein proposal from BCHAA regarding Insurance Policy scheme for 3rd Party Insurance Cover, Franking Facilities on Delivery Order copies and Stamp Duty issues were discussed and it was also decided that the Committee of 6 Members, 3 each from CSLA-MANSA to be constituted to finalize the issues relating to BCHAA matters. The recommendations of the Committee were to be brought out for consideration of the Executive Committees of CSLA/MANSA. The Committee was to meet every 2 months and discuss all the matters pertaining to BCHAA and come up with suggestions/solutions to their respective Executive Committees for approval and their action. These ongoing activities are continued whenever BCHAAs issue crop up.

On a representation made by BCHAA a special committee was formed of Mr. C. S. Manohar, Mr. V. C. D’Souza and Mr. Thomas Varghese to deal with the matters connected with problems faced by BCHAA so that the same are attended in depth and solutions brought out and the first meeting commenced on 12th September 2007 vide Letter No. MANSA/Assn.-BCHAA/338/08-2007 dated 30th August 2007.

14. IMC

MANSA took up with the Chairperson Indirect Taxation Committee, IMC, Mumbai vide its Letter No. MANSA/CEDI-Mb/JN/120/06-2007 dated 5th June 2007 protesting severely for the inaffable interactions during the meetings held in their Office.

15. EXECUTIVE COMMITTEE MEETINGS

The Executive Committee holds meetings on the last Wednesday of every month very regularly and Minutes of the meeting are drawn and circulated to each Executive Committee Member. Various decisions taken in each of the Executive Committee Meetings are then complied with and necessary actions are taken by the Secretariat and concerned are advised and actions are followed up. The Minutes of the Meetings are also ratified by the Committee, which are thereafter maintained in the Minutes Book.

16. LEGAL & TAXATION

A meeting was arranged with Price Water Cooper Officials on 20th September 2007 to seek advise on the following issues :
a) Service Tax on Associations, Societies.
b) Competition Act 2002.
c) Stamp Duty related issues
The advice received from the Chairman, Legal & Taxation Sub-Committee, MANSA have been circulated to Members for their guidance.

The Superintendent (A.E.) Service Tax, Mumbai issued a Notice to MANSA seeking certain clarifications vide his Notice dated 18th October 2007. This matter was taken up with the Legal & Taxation Sub-Committee as well as with our Chartered Accountants M/s T. M. Mullaji & Co. vide Letter No. MANSA/Admn-CA/463/10-2007 dated 20th October 2007. Our CA replied to the Notice issued by Service Tax Authority which was circulated to all the Executive Committee Members. The Superintendent (A.E.) Service Tax in his reply reiterated that u/s 65 (105) (zzzc) of the Finance Act 1994, the Services of MANSA are taxable therefore demanded Service Tax at the applicable rate starting from 16th June 2005. The matter was then discussed in the Executive Committee Meeting as well as by Legal & Taxation Sub-Committee Members and it was finally decided in the Executive Committee Meeting held on 22nd November 2007 that in lieu of the legal position that the taxes are due, the same are required to be paid. Accordingly, under the advise of our CA, Debit Notes were served on the Members and after the recovery of relevant Service Tax dues from the Members the same were paid to the Tax Authorities. Necessary Advisories were also sent to all the Members in this regard.

  A meeting was called by Mr. Yashwant Kerure, IAS, Addl. Controller of Stamps, Mumbai on 17th December 2007 when representatives of some Companies were summoned along with MANSA. MANSA was represented by Secretary General. The Addl. Controller desired to know the charges collected on the Stamp Duty, Franking etc. It was clarified to the Authorities that MANSA does not provide any advise on the recommendatory tariffs in general and recovery of Administration tariff in particular as in view of the provisions of the Competition Act 2002, the Associations are not permitted to deal with or set any tariff in any manner nor decide to publish the same and that the earlier recommendatory tariff has since been withdrawn. The MANSA issue got settled there - Letter No. MANSA/ECM/578/12-2007 dated 18th December 2007 refers.

17. CULTURAL ACTIVITIES

MANSA arranged a friendly cricket match between MbPT 11 and MANSA 11 on 25th March 2007. The Cricket Match was held on the south end oval. As usual the MbPT 11 won and the sponsors presented gifts to the participants in the match. MbPT also reciprocated by honouring the players and the participants. It was a well arranged friendly match.

On a proposal to form MANSA Sports & Cultural Committee (MSCC), the Executive Committee during its meeting held on 31st October 2007 approved the formation of MSCC which comprised of Chairman, Co-Chairman and 5 members all from MANSA Membership. A separate account has been opened for the purpose of keeping their funds separately in the name and style of “Accounts MANSA Sports & Cultural Committee”. The MANSA Sports & Cultural Committee conducted its first Cultural meeting on 22nd December 2007 which was a great success. Some of the sponsors came forward and sponsored the event.

MANSA Sports & Cultural Committee arranged a Championship Trophy Cricket Tournament (Inter-Shipping Cricket Tournament) starting from 9th February 2008 to 24th February 2008 on Saturdays and Sundays at JNPT Township ground, Nhava Sheva. The various Shipping Lines/Agencies participated in the Cricket Match and it was a well arranged Cricket Tournament.

Another friendly Cricket Match was arranged between JNPT Officers and Shipping Agents on 10th February 2008 at JNPT Cricket Ground, Nhava Sheva. It was a moment to be remembered as Chairman JNPT himself participated in the Cricket Match. Wonderful Cricket Match indeed!

An unveiling ceremony of a beautiful Oil Painting named ‘Anchor’ was arranged on 28th May 2008 in MANSA Conference Room when Mr. Dinesh Lal, Past President gifted the painting to MANSA. A befitting ‘present’ indeed from Past President to MANSA.

Two hands can do wonders, but twenty hands can do miracles! Wish MANSA continues to do miracles.

With regards,

H. D. Kulkarni
Secretary General