A Direct Port Entry (DPE) facility was inaugurated at the V O Chidambaranar Port in Tuticorin by Union minister of state (independent charge) for shipping and minister of state for chemicals and fertilizers Mansukh Laxman Mandaviya through video conference on Tuesday.
Mandaviya called DPE a noteworthy step towards reducing logistics cost and increasing the velocity of cargo transportation. He said the facility would increase ease of doing business for exporters by increasing efficiency and improve the competitiveness of shippers in international trade.
Earlier, factory stuffed containers were taken to Container Freight Stations (CFS) or inland container depot in Tuticorin. CFSs operated only between 10am and 8pm on working days, resulting in considerable delay in admitting the containers into the terminals.
DPE was developed to enable export clearance for faster and cost-effective export admittance. The port entered into an MoU with the Central Warehousing Corporation (CWC) to operate the facility for 30 years. The customs department also approved operating the port’s DPE facility.
Port officials said the state-of-the-art DPE would enable direct movement of containers from factories to the container terminal round the clock, without intermediate handling at CFSs. The facility is set up in an area of 18,357 square meters inside the truck parking terminal that was developed under ‘Sagarmala’ for issuing customs clearance of export cargo such as factory stuffed and e-sealed containers. It can handle 18,000 twenty-foot equivalent units (TEUs) per month.
The customs department is expected to generate the Let Export Order (LEO) under a single roof without any hassle. A dedicated team of CWC and customs officials in association with VOC Port will serve Tier-II, Tier-III certified export and import clients.
Secretary for the ministry of shipping Sanjeev Ranjan said IT-enabled infrastructure at ports would make ports world-class, aligning ‘Maritime Vision 2030’ of the ministry. Senior officials from the ministry of shipping, chairman of VOC Port Trust T K Ramachandran, and CWC managing director Arun Kumar Shrivastava were present at the virtual inauguration.