WELCOME

SHIPPING INDUSTRY

About 90% of world trade is carried by the

international shipping industry. Without shipping,

the import/export of affordable food and goods

would not be possible - half the world would starve

and the other half would freeze!

Shipping is regulated globally

by the International

Maritime Organization

(IMO).

There are over 50,000 merchant ships trading

internationally, transporting every kind of

cargo. The world fleet is registered in

over 150 nations, and manned by over a million

seafarers of virtually every nationality.

WORLD SEA BORNE TRADEThe International Maritime Organization (IMO) is

the United Nations system’s regulatory agency for the maritime sector.

Its global mandate is “Safe, secure and efficient shipping on clean oceans”.

IMO’s rules and standards are accepted by Govt’s. and global shipping industry

Driven in particular by a rise in China’s domestic demand as well as increased intra- Asian and South-South trade

International seaborne trade performed better than the world economy, with volumes increasing at an estimated 4.3 per cent in 2012, nearly the same rate as 2011.

About 9.2 billion tons of goods were loaded in ports worldwide, with tanker trade (crude oil, petroleum products and gas)

WORLD MAJOR SEAPORT

Country Ships In Fleet

Japan 3,962Greece 3,032Germany 2,321China 1,999USA 1,963Russia 1,872Norway 1,458Singapore 1,122Netherlands 1,016UK 957

World Top Ten Largest Merchant Shipping Fleets

Top 10 Shipping Companies1. Maersk Line (Denmark)2. Mediterranean Shipping Company (Switzerland)3. CMA CGM (France)4. Evergreen Line (Taiwan)5. COSCO (China)6. Hapag-Lloyd (Germany)7. APL The American President Lines (Singapore)8. Hanjin Shipping Company (Korea)9. CSCL The China Shipping Container Lines (China)10.MOL MOL (Japan)

MAJOR PORTS IN WORLDPORT OF SHANGHAIPORT OF SINGAPOREPORT OF HONGKONGPORT OF DUBAIPORT OF NEW YORK PORT OF MUMBAIPORT TOKYOPORT OF ROTTERDAMPORT OF PERTH

Indian tonnage currently stands at 10.11 million GT and Indian flagged vessels carry 8.4% of Indian trade

cargo. The rest is carried by

overseas shipping companies.

Coastal shipping accounts for just 10% or a million GT

of India’s total tonnage.

INDIAN SHIPPING INDUSTRY

PORT INFRASTRUCTURE

•India has a long coastline, spanning 7516.6 kilometers and is serviced by approximately 200 ports

•India has historically been serviced through 14 major ports.

•Mumbai is the largest port and handles 50% of all of Indian export originating mainly from the Northern and Central India •Container wise, Mumbai handles 4.1 million Twenty Foot Equivalent Units (TEU)

•Bulk wise, the overall tonnage of all cargo shipped through major ports in the 2010 was 560 mn. tonnes

TOP 10 INDIAN SHIPPING COMPANIES

1. The Shipping Corporation of India Ltd

2. Essar Shipping

3. The Great Eastern Shipping Companies

4. Bharati Shipyard

5. ABG Shipyard

6. Mercator Limited

7. Gujarat Pipavav

8. Varun Shipping

9. Global Offshore Services Ltd

10. Shreyas Shipping

India is ranked 15th in the world, with a shipping tonnage of around 11,5 million gross tonnage (GT) in 2011

Today, India has around 1071 ships with 722 coastal and 349 overseas ships Indian coastal shipping is highly fragmented

The top 9 companies account for nearly 70% of the total fleet by Dead Weight Tons and in terms of number of ships, the top 9 companies only control 20% share of the fleet. Many companies own just 1 or 2 ships

The Indian shipping industry consists of approximately 31 major shipping companies with Shipping Corporation of India (SCI), the largest public sector enterprise also being the largest in the country

TYPE OF VESSELS No. of G.T. D.W.T.  Vessels    Dry Cargo Liner 22 285455 407826Cellular Container 17 228591 272124Dry Cargo Bulk Carrier 100 3086423 4078918Ore Oil Bulk Carrier 1 28029 45792Oil Tanker (Crude Carrier) 60 3228335 5767181Oil Tankers (PC) 49 1897556 3266466Passenger-Cum-Cargo Vessels 4 19659 10731Acid Carrier 2 32747 50523LPG Carrier 9 278330 272881Supply Vessel 50 146579 94655RO-RO Container Vessel 4 54019 18889Dredger 5 21182 12641Tug 27 23857 14893

GRAND TOTAL OVERSEAS 350 9330762 14313520

Category-wise Indian Overseas Tonnage as on 31-12-2012

India’s overseas tonnage as on 31-3-2013 was 358 ships of 9160044 GT

Transport of goods by Waterwaysa comparison of present scenario

% of total goods

moved by

India China United States

Road 57% 22% 37%Rail 36% 47% 48%Waterways

6% 30% 14%

SWOT ANALYSISOF THEINDIAN

SHIPPING INDUSTRY

STRENGTHSINDIA HAS ACCESS TO TWO

MAJOR SHIPPING ROUTES

MORE THAN 7500 KM COASTLINE INCLUDING THE ISLAND TERRITORIES

WIDESPREAD PORTS

• Indian shipping companies having acquisitions with foreign shipping companies • More than USD $4bn is expected to be invested in India's port sector. • New major container terminals being developed at the port of Chennai and Mumbai • Cargo volumes are expected to grow with an average of 16.5% year on year in the coming 5-10 years

OPPORTUNITIES

WEAKNESSES• The underinvestment in the India’s maritime sector has affected the development of ports in the country • Inefficient judiciary system slow development of new port infrastructure • High levels of bureaucracy prevents the government funding from developing new port projects in the country • Tax structure not allowing the Indian manufacturers to be competitive <Think this is an argument Indian exporters are using in lobbying rather than being a fact>

THREATS

Major developments taking place in Sri Lanka's port sector may reduce demand for transshipment services at Southern Indian ports. A government tax on iron ore exports may lead to a fall in bulk shipments at major export terminals. India's ports have suffered from congestion during 2011, potentially slowing the country's growth trajectory

Vision 2020: Maritime Sector•Estimated Traffic in all ports including non-major ports - 2495 MMT•Total Capacity in major and non-major ports – 3130 MMT•Total proposed Investments in major and non-major ports by 2020 – US $ 10.67 billion (Private investment- 95%)•Shipping tonnage to increase to 43 million GT by 2020.•Share of India in shipbuilding to increase to 5% of the world market.•Promote use of Inland Waterways.

Way Ahead….A Vibrant Economy - Huge market with a billion plus population and impressive GDP growth.

Ports play a vital role in overall economic development. About 95% by volume and 70% by value of the country’s international trade is through maritime transport.

Aim is to navigate and steer the Indian maritime sector realistically into the premier maritime nations.

THANK YOU