Benefit to Importers after JNPT announces Direct Port Delivery

3rd April 2017.

JNPT has extended its Direct Port Delivery (DPD) facility to all its Accredited Client Programmer (ACP) clients, irrespective of their trade volume. Initially 10 to 14 agencies that fulfilled the criteria of importing 300 TEUs per month were availing DPD facility at the Port. By doing away with the minimum volume criteria, it will benefit around 143 ACP clients. This decision is in line with directives of the Ministry of Shipping related to policy of ease of doing business. This facility shall benefit importers / CHA immensely as the import laden containers will be delivered to the consignees (in this case ACP clients) directly thereby reducing Logistics cost by one third. Extending DPD facility will ensure cost reduction to accredited CBEC importers /CHA, benefiting from declining gestation period of clearing cargo from total 10 to 11 days to 3 days. The port is making adequate arrangements in terms of yard and equipment for extending DPD to maximum ACP clients.

By facilitating DPD, importers gets the following benefits:

The prompt and timely delivery by the Port Terminals will help in reducing inventory cost.

ii) Saving in transportation from Port Terminal to Customs bound warehouses.

iii) Handling and storage charges at warehouse.

iv) Container detention charges payable to Shipping agencies.

v) Delivery of DPD container at Port Terminals is on 24x7 basis which is not possible in custom bounded warehouses.

vi) Saving towards dwelling of boxes till clearance at destined custom bound warehouses. The average dwell time of import laden containers moved locally by road is 1.6 days at JNPT (all three terminals put together) as against 7-9 days in JNPT eco system ie the time between landing at Port Terminal to receipt of container from warehouses. Aforesaid benefits collectively result in saving of approx. Rs.25,000/ to Rs. 40,000/- per container to the importer.