CONCOR cuts empty container charges at Dronagiri terminal

04 Nov 2024 CW Team

Container Corporation of India Ltd (CONCOR) clarified that recent adjustments in empty container handling charges apply solely to its Dronagiri terminal near Jawaharlal Nehru Port, following reports suggesting cuts across its entire terminal network.

"We revised empty handling charges exclusively at Dronagiri," stated Chairman and Managing Director Sanjay Swarup, during a call with analysts. "These charges, previously set at around Rs 6,000 for 20-ft and Rs 9,000 for 40-ft containers, have been reduced. With low empty inventory at Dronagiri, the aim is to attract more business and empty containers to this facility." He emphasised that handling fees at all other terminals remain unchanged.

Despite the reduction, the Dronagiri terminal, contributing under 1% to CONCOR's total volume, has yet to see a revenue impact, as empty containers from shipping lines have not started arriving there. "We expect shipping lines to utilise this terminal within the next 10-15 days, adding incremental revenue to the company," Swarup noted.

Over the past year, CONCOR has offered 90 days of free storage for empty export-import (EXIM) containers and 15 days for loaded ones across its 66 terminals. Additionally, a 25% discount on the transport of empty containers from gateway ports to inland depots was introduced to support exports. Swarup highlighted that these initiatives have driven increased exports and market share without compromising margins, thanks to CONCOR's consistent, high-quality service standards.

"Our dwell time at ports is under 30 hours, while competitors can take up to 30 days," Swarup added. "Customers are willing to pay more for our reliable, rapid service, and this dedication to quality is core to maintaining their loyalty." (ET)

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