INTERNSHIP REPORT

JULY’14 – AUGUST’14
AT
DP WORLD,
NHAVA SHEVA (MUMBAI)

Name Saurabh A. Chauhan

MBA – Port and Shipping Management,

Program
Chennai
Department Operations
 DECLARATION

I, Mr. Saurabh A. Chauhan, student of School of Maritime Management, Indian

Maritime University, pursuing Master of Business Administration (Port and Shipping
Management), hereby declare that the report titled “OPERATION - NSICT” is an original
work carried out by me availing under the guidance of my project guide and to my entire
satisfaction, this report bears no resemblance with any other report to any University or
Institute or published earlier.

Place: Mumbai

Date: 22 August 2014 Saurabh A. Chauhan

 ACKNOWLEDGEMENT

First I would like to thank Mr. Ajay Singh, CEO- DP World Nhava Sheva for giving
me the opportunity to do an internship within the organization.

I take this opportunity to express my profound gratitude and deep regards to my guide
Professor for his exemplary guidance, monitoring and constant encouragement throughout
the course of this thesis. The blessing, help and guidance given by him time to time shall
carry me a long way in the journey of life on which I am about to embark.

I also take this opportunity to express a deep sense of gratitude to the employees of DP World
Nhava Sheva, for their cordial support, valuable information and guidance, which helped me
in completing this task through various stages.

I am obliged to staff members of DP World Nhava Sheva for the valuable information
provided by them in their respective fields. I am grateful for their cooperation during the
period of my assignment.

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 TABLE OF CONTENT

 Acknowledgment - 01
 About NSCIT - 03
 Ship Planning overview
 Ship Planning process - 04
 Tools required & Definition - 05
 Identifying a stow position - 06
 Yard Planning
 Overview - 10
 Process - 11
 Class of containers - 12
 Conclusion - 16
 Documentation
 Overview - 17
 Process - 17
 Discrepancies - 18
 Conclusion - 22
 Control Tower
 Overview - 23
 Frequency channels - 24
 Functions - 25
 Findings - 26
 Inland Container Depot (ICD)
 Overview - 28
 Benefits - 28
 Services - 29
 Gate Operation
 Overview - 32
 Process - 32
 Important phases - 35
 Conclusion - 35

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 ABOUT NSICT

DP World Nhava Sheva familiarly known to all as NSICT, India’s first private container
terminal was set up in 1997 and was inherited by DP World as part of the P&O Ports
acquisition in 2006. Built at Jawaharlal Nehru Port (JN Port), India’s largest gateway to
container trade, the terminal has long been a significant contributor to India’s development,
and an exemplary example for all subsequent container terminal operators to follow.

It was set up in 1997 and is India's first private-public partnership in the ports sector. One can
proudly say that the colossal change that NSICT brought about to Indian shipping has been a
strong propeller for the Container trade growth, India has experienced ever since. While
NSICT commenced operations long ago, it has never lost its importance to the shipping
fraternity, and today still retains its position as India's preferred container gateway long after
competition has set in.

The terminal is managed under a 30 year Build-Operate-Transfer agreement set up with the
Jawaharlal Nehru Port Trust (JNPT) of the Government of India. In December 2008, DP
World Nhava Sheva became the first ISO 28000 security certified marine terminal in India,
setting the standard for all other terminals in India to follow.

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SHIP PLANNING OVERVIEW

 Ships Planner

The Ships Planner is a very important role within the Shipping Industry as this role is
critical to the discharging and loading of containers.
Ship planning basically refers to the proper stowing or arrangement of cargo onto the
board/vessel keeping into consideration:
1. Stowage plan provided by the central planner i.e. Light on the top, Medium on the
middle and Heavy on the bottom.
2. Port of Discharge
3. Size and weight of the container

 SHIP PLANNING PROCESS :

1. Baplie is received and thus downloaded onto VIA system. Errors are cleared off.
2. Plan is posted on Navis Sparcs in order to understand any overstow or any bad
stowage or handling slots if any.
3. Match import figures with the DOC after finalizing import advance list.
4. Preplan export projection and allocate crane accordingly
5. Updating the same to the senior and line regarding heavy quay crane.
6. Exporting floppy by DOC in express and start matching the preplan with the actual
plan load list.
7. After planning a copy is been sent to central planner for his approval and any changes
if required
8. After berthing of vessel, hardcopy is send for outbound EDI for vessel.
9. Preparing for discharge/ loading with scan profile Bay plan for wharf yard checker
and supervisor including the crane work list.
10. Monitoring of the crane work list and after completion of vessel, master plan is
provided and final EDI to the vessel co.
11. Documents included with the plan are:
- Hazardous list
- Reefer list
- Special stow list
- Re-stow list
- ODC list

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 - Final POD wise load summary
- Final receiving copy

Bond Baplie of a ship refers to the profile of the ship

BFL - Bombay floating light
Details about the future calls should be provided so that cargo can be stocked accordingly.

What is Stowage planning – simply put – it is the act of allocating space to containers on
board of a container ship in the order of the discharge ports..

 TOOLS REQUIRED :

1. The scheduled list of ports that the ship will be calling at, in the order of rotation

2. A summary of the number of containers – size/type/weight of containers per port that

are planned to be loaded on the ship

3. A summary of the number of hazardous, reefer and OOG containers per port that are
planned to be loaded on the ship

4. List and summary of containers that are on board after discharge of the containers at
your port. For the purposes of this article, we will consider this port to be Durban.

 DEFINITIONS:

 Profile – is the cross sectional view of the entire ship covering both the deck and under-
deck of the ship.

 Bay plan – is the complete cross sectional view of the entire ship covering both the deck
and under-deck of the ship, but displayed or printed per bay

 Bay – each container vessel is split into compartments which are termed as Bay and
depending on the size of the ship it will proceed from 01 to 40 (for example) where Bay
01 is the bay towards the Bow (the front) of the ship and Bay 40 is the Stern (the back) of
the ship.. Odd numbered bays (1, 3,5etc) means that it is a 20’ stow and Even numbered
bay (2,4,6 etc) means that it is a 40’ stow.

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 Row is the position where the container is placed across the width of the ship.. If you
refer to the above diagram, the Row numbers are circled in Red. It starts with 01 in the
centre and progresses outwards with odd numbers on the right and even numbers on the
left.

 Tier denotes at which level the container is placed – basically how high the container is
stacked on board.. In the above diagram, the Tier numbers are circled in Blue.

 Hatch Covers (the dark intermittent lines in the above picture) are the covers that
separate the deck from the under-deck.. The area above the line is called the deck (which
is generally visible to us when we look at the ship) and the area below the line is called
under-deck (which is not visible to us from outside the ship).

The planning is mainly done on a document called a “profile” which can be viewed here..
The profile provides the full cross section of a ship at one glance. The enlarged version of this
will be the actual bay itself. Currently, the stowage planning is mostly done via computers..

Although the computers do most of the work, the basis on which they work is the tried and
tested methods that have been followed for many years around.

 The list of containers that are to be loaded on board are segregated by destination..

 space is allocated to each of the containers

Firstly in the order of destination – the farthest destination at the bottom and the next port of
call right on top

Secondly in the order of weight – the heaviest boxes at the bottom and lightest at the top

Q. Why it is important to check the stacking weights of a Containership stowage plan?

Prior loading cargo, stacking weights of containers must be checked against the allowable
stack weights on board the vessel both on deck and under deck. Neglecting above may cause
serious damage to ships structure, hull and eventually overall stability of ship may get
affected.

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Maximum allowable stack weights of Tank tops, Hatch covers and Decks shall not be
exceeded at any time.

If any stacks are found to be exceeding the allowable stack weights, Terminal planner /
Central planner is to be informed and cargo stow plan appropriately modified.

Structural Safety : Apart from stability, another factor to be kept in mind for safety reasons is
to remain within the prescribed working loads for the ship structure parts such as the decks
and so forth. Care should be taken not to exceed the load density of the decks.
Safety Codes : There are safety codes available for all types of dangerous cargoes such as
chemicals and gases and these rules have been laid down by classification societies and/or
regulatory bodies such as the International Maritime Organization. These codes must be
adhered to under all conditions so as to ensure safety of the shipstaff who handles such
cargoes.

 IDENTIFYING A STOW POSITION

090482 is an example of a stow position.. This is basically divided into 3 parts

09 / 04 / 82 – where 09 is the bay, 04 is the row and 82 is the tier – translated in English it
means :-

Bay = each container vessel is split into compartments which are termed as Bay and
depending on the size of the ship it will proceed from 01 to 40 (for example) where Bay 01 is
the bay towards the Bow (the front) of the ship and Bay 40 is the Stern (the back) of the ship..
Odd numbered bays (1, 3,5etc) means that it is a 20’ stow and Even numbered bay (2,4,6 etc)
means that it is a 40’ stow.

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 Row is the position where the container is placed across the width of the ship.. If you
refer to the above diagram, the Row numbers are circled in Red. It starts with 01 in the centre
and progresses outwards with odd numbers on the right and even numbers on the left.

Tier denotes at which level the container is placed – basically how high the container is
stacked on board. In the above diagram, the Tier numbers are circled in Blue.

So when you see a stow position as above you will know

09 = bay number and container is a 20’ (because its an odd number). If it shows for example
10 then the container is a 40’.

04 = row number

82 = tier number which denotes that this is a 20’ container which is stowed ON DECK..
Usually ON DECK tier number starts from 80 and increases by 2 per tier, so it will be 80, 82,
84, 86 etc. If the tier number shows 02,04,06etc then its stowed UNDER DECK.

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For reasons of lashing and securing containers, a 40’ container can sit on top of two 20’s, but
two 20’s cannot sit on top of 40’ (unless under deck and surrounded by other containers or
within cell guides)

So this is how a stow position is coined and how you identify whether a container is a 20’ or
40’ and whether it is stowed under deck or on deck just by reading the stow position
provided.

 Frequency used in NSICT

Total – 16

1-8 – Quay crane

9 – RTG

10 – Lashing

11 – Port control

12 – Reefer

13 – Tower

14 – ICD

15 – Yard supervisor/ wharf supervisor

16 – Maintenance

Deck checker log is a document in which all the activities are recorded by the person on deck.
It gives you how many containers are being loaded and discharged.

It includes two columns – avoidable delays and unavoidable delays. An avoidable delay
consists of:

Hatch cover, ITV, RTG, Yard shift, Lashing, Congest, wharf, yard and others

Unavoidable delays: Q.C proximity, gearbox, Q.C Boom up/Boom down, Plan approved,
Port convenience, crane, lock, unlock etc.

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Yard Planning

Overview

 WHAT IS IT?

Yard planning refers to allocation of space to all the import and export containers in the
yard in a proper suitable manner. It should be arranged in such a manner so that there is
proper mobility of vehicle and containers in the port. Proper planning is required prior in
order to save time and conjustion problem. This functionality allows appointments to be
made for transports to distribution centres and warehouses. Based on the orders registered in
the system, these transports can be scheduled by the interested parties. The solution creates
visibility in the process and optimises the incoming consignments in a warehouse for all
parties.

Yard planning is planned according to the gate operation i.e the number of containers coming
for export as well as the discharge containers from the ship being berthed.

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 Process of yard planning

At NSICT

- According to the service space is being allocated to stack the container in the yard.
- Red refers to the number of discharge containers which has to be discharged from the port
i.e from port yard to road or rail.
- Green area refers to import which is being discharged from the ship currently.

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- Pink relates to the rail offering which means containers to be sent through rail from ICD (
Inland container depot)
- Adhoc area is being available in yard for rare services containers coming to port.
- Yard supervisor is being present
- One supervisor in import yard and one in export yard.
- V refers to vessel is at hold.
- High cube container – normal stacking but should not be mixed with other 40 foot
containers and 20 foot containers
- 5 tier high maximum stacking in the yard.
- Hazardous class containers on the NHAVA side. Proper place is being allocated to
specific class of containers.

- Class of Hazardous containers according to IMO

- Class 1: Explosives

- Division 1.1: substances and articles which have a mass explosion hazard

- Division 1.2: substances and articles which have a projection hazard but not a mass
explosion hazard

- Division 1.3: substances and articles which have a fire hazard and either a minor blast
hazard or a minor projection hazard or both, but not a mass explosion hazard

- Division 1.4: substances and articles which present no significant hazard

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- Division 1.5: very insensitive substances which have a mass explosion hazard

- Division 1.6: extremely insensitive articles which do not have a mass explosion hazard

- Class 2: Gases

- Class 2.1: flammable gases

- Class 2.2: non-flammable, non-toxic gases

- Class 2.3: toxic gases

- Class 3: Flammable liquids

- Class 4: Flammable solids; substances liable to spontaneous combustion; substances

which, in contact with water, emit flammable gases

- Class 4.1: flammable solids, self-reactive substances and desensitized explosives

- Class 4.2: substances liable to spontaneous combustion

- Class 4.3: substances which, in contact with water, emit flammable gases

- Class 5: Oxidizing substances and organic peroxides

- Class 5.1: oxidizing substances

- Class 5.2: organic peroxides

- Class 6: Toxic and infectious substances

- Class 6.1: toxic substances

- Class 6.2: infectious substances

- Class 7: Radioactive material

- Class 8: Corrosive substances

- Class 9: Miscellaneous dangerous substances and articles

Plan for hazardous containers

Class 9, 8, 6, 3 can be placed in some yard to NHAVA side.

Class 3 in 5N, 5 in 5P and 2 in 5N 01-05

Blue – off loading

Red – delivery

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 Following colours reflected in the system represents the status of the containers :

Green – discharge

Orange – load

Yellow- ICD loading

Black – Shuffling

Pink – ICD offloading

Brown – Shifting

Always keep count before planning. Keep a watch on the gate activity. Number of trucks
entering in and going out.

+2+ refers to RTG operator has updated activity twice in the same stack.

Getting summary of the missing containers

- Missing containers can be located by Express

- Yard description is being provided. Details of that yard are filled up.

- Container service

- No. of containers present of that service

- Details of the containers are being provided.

- All the activities related to that container are being displayed off on the screen.

- Last known shifting of that missing container is being mentioned, so according to that we
can easily trace the missing container in the yard. According to the RTG summary we can
trace the activity of any container at any moment of time.

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 Conclusion:

Yard planning thus plays and important role in controlling the inflow and outflow of
containers in a proper and effective manner without disturbing the normal flow of export
import operations in the port. Yard planner has to study all the risk involve in dis appropriate
stacking of containers as it may lead to haphazard stacking and also dislocation of containers
which may lead to port conjustion.

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DOCUMENTATION

Overview

Documentation department works in coordination with the control tower consist of ship
planner and yard planner. Documentation works prior to the functioning of the ship planner
before the ship is berthed and also after the container is being discharged.

Ship planner plans the ship according to the advice and plan forwarded by the documentation
department. It consists of mainly Export Advance List and Import Advance List. Finance
department also coordinates with the functioning of documentation department as collection
of any kinds of amount is being recorded and transferred to finance department through
documentation department only.

PROCESS

 Export Advance List

Export advance list in received and also the baplie that is the plan of the ship. First it is
arranged according to the format of sparcs. Navis sparcs is the software used. Any unusual
format which is not supported in sparcs is not valid.

Proper format is being assigned only then the fill is uploaded on sparcs.

 Container no. Size POD POL Temperature

Check in excel any overlapping of container no. if any overlapping is found correct such
errors or else sparcs data and EAI data will not tally.

Save a word file according to the format of sparcs which can be uploaded onto sparcs.

As the file is uploaded onto sparcs it automatically starts distributing container according to
the POD and services. Its fully automatically done through the software.

We should also check for any discrepancies

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 List of discrepancies are :

Not in yard containers

e.g List is provided for 100 containers but only 95 container is present.

Rolled containers – extra containers are present but list is provided for less containers.

POD changes

Other discrepancies – All other changes related to that vessel loading.

Taking out printout and cross checking the containers, reefer ones that is present in the EAL
and sparcs. It should be tallied.

If there is a problem in the tally report then there would be a error in uploading file onto
sparcs. File will not be uploaded onto sparcs.

In sparcs containers are arranged according to the alphabetical order and thus is helpful in
tallying with the POD.

If there is any change in the POD extra charges are being applicable which is collected by
finance department.

Containers are being listed on sparcs accoding to their HAZ class listed by IMO.

 For Import:

IAL import advance list is received from ICD, CFS list of containers to be moved are beinf
mentioned in the list.

List is being present in the form of Excel doc. It is then matched with the Baplie which is
provided by the previous port ship planner giving details of the imports according to the port
of discharge.

It is arranged in a suitable format which can be uploaded onto sparcs. Take print out of the
same and match with the list provided.

Any kind of discrepancies are being recorded automatically in different .TXT file. E.g 1.txt,
2.txt, 3.txt.

Save the .txt file in the c: drive.

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Any small space error should be removed from the list when open in .TXT (notepad). Space
should be removed as it cannot be read onto sparc software. It will show a error message.

Sparc has a predefined format in which all the file should be uploaded or else it will fail to
upload.

List of import discrepancies are:

Not in advance list

Not in Baplie

General in Baplie, Haz in the list.

ISO mismatch records

Group invalid records

Agent invalid records

After successful updation onto sparcs mail is being sent to the line operator in order for
sending them information to send job order to take their delivery of containers.

Back to Town containers – Some services containers comes to yard for exporting but due to
some problem faced by services they withdraw their containers from the port premises.

This are termed as back to town containers. They are chargeable service as it requires lifting
of containers in the yard for gate out of those specific containers. It should be informed
before the vessel is berthed for loading that container.

Gate operation :

Gate operation is linked with the functioning of the documentation department. Preadvisor
checks the container and fills up a form known as form 13.

It is then passed to gate surveyor. Gate surveyor gives a bat number to the truck and also
checks the container physically. Later on the c.i.s.f member on gate checks the container
again and then passed on towards the yard.

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 Conclusion:

Documentation department works in coordination thus helping other departments to function

smoothly and effectively. Proper functioning of these department in turn help in smooth
functioning of the other departments such as finance and tower consisting of ship planner and
yard planner.

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CONTROL TOWER

India has more than 7517 kilometers of coastline with 187 minor ports and 13 major ports.
The management and development of the major ports are controlled by the central
government through the respective port trusts. Minor ports are controlled by the state
governments. About 80 percent of the India’s seaborne trade is conducted through major
ports, which are administered by the Board of Trustees constituted under “The Major Port
Trust Act, 1963”.

 Guidelines for PPP in Major ports

The objective of these guidelines was not only to attract private investment, but also to
improve efficiency, productivity, and quality of service as well as to bring competitiveness in
port services in India. The guidelines listed the areas to be thrown open to private sector
participation and outlined the procedure to be adopted for PPP initiatives. Salient aspects of
the guidelines are:

1) Open tenders to be invited for private participation on Build, Operate and Transfer
basis (BOT),
2) Period of license not to exceed 30 years,
3) At the end of concession period, all the assets revert back to Port Trust, free of cost,
4) Two bid system (Financial and Technical bids) to be followed. Financial bids of only
the technically qualified bidders to be opened,
5) Bidders to be asked to indicate in their financial bids
I. An upfront fees for the license,
II. Royalty per ton of cargo handled, and
III. The minimum cargo handled

6) Comparative financial evaluation of offers to be based on the concept of maximum

realization to the Port on Net Present Value (NPV) basis calculated by using a
discount rate as periodically fixed by the government. Royalty for the purpose of
analysis would be based on the minimum traffic which the entrepreneur guarantees.

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 Tower:

The word tower in simple words can be defined as “a structure taller than its diameter; can
stand alone or be attached to a larger building”. For any industry tower is Centre of the
operation, where plans are prepare, arrangement of data, and filtration of information done
which are receives from various sources, receives and gives command and execution of plan
takes place.

Tower control in a port industry acts as a nerve system, from where all types of information is
consolidated and disseminated to various departments.

About Control Tower of NSICT:

1. In NSICT tower is located at fifth floor of the building

2. Employee: Eight employees are working in the control tower as per shift, for four
days in a week
3. Shift: Employees are working in two shifts and each shift consists of 12 hours. First
shift starts from 7:00 a.m. in the morning and ends at 7:00 p.m.
4. Software: Navis Express and Navis Sparcs are two main software, used by the control
tower of NSICT
5. Operating System: Presently, NSICT is using Windows XP operating system for all
the departments, including control tower.
6. Channels: In NSICT, employees are using VHF (Very High Frequency). Channels are
divided in following ways:

Channels Frequency Connects To...

1-8 In NSICT each QC connects with tower on a
special designated frequency. For Example:
QC one works on channel 1 and so on.
9 Channel 9 connects to RTG operator
10 Lashing supervisor
11 Port controller
12 Refer Yard supervisor
13 Control Tower
14 ICD supervisor
15 Yard supervisor/Wharf supervisor
16 Engineering department

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 Function of Tower: Control tower as it names itself suggests managing or exerting
control over something. Port is a place where machine and human interference maximum,
cargoes and passengers handling, providing services for ships such as bunkering and
repair, bases for industrial development, terminals forming part of a transport chain,
shelters for ships. But the monitoring and execution takes place in tower, therefore
control tower possess important functions which are as below:
1. The basic function of tower is to monitor activities of Internal Transport
Vehicle(ITV), Rail Mounted Gantry Crane(RMG), Rubber Tyre Gantry Crane(RTG),
Quay Cranes(QC), Reach Stacker, Front Loader, Fork Lift and other equipments
carries out the works in designated areas,
2. Tower manages the berthing and unberthing of vessel and for this purpose berthing
reports are prepared and kept in separate file for future purpose,
3. Tower maintains a separate book in which export-import of containers are recorded as
per plan,
4. Control tower maintain allocation of work sheet on daily basis of employee working
in wharf, deck, yard, RTG, RMG, Reach Stackers, QC’s and other equipments,
5. Any breakdowns in equipment are reported to control tower and tower operator
acquaints to engineering department. Control tower also maintain a book in which
breakdowns are recorded regularly,
6. Emergency, any haphazard act or accident can be immediately report to control tower
on radio. Control tower has right to stop or presume work which halt due to any
cause. For example: In NSICT employee can report accident or suspicious activity to
control tower at channel no:13,
7. Shift hours is maintain by the tower, in NSICT shift report prepare 5:45 a.m. in
morning every day,
8. Employee absenteeism records kept with control tower
9. Indian Metrological Department issues weather report which is used by the control
tower in providing weather information for berthing/unberthing vessel. Weather
report is prepare regularly
For example: Tide report (high or low level),
10. Control tower maintains safety document for vessel. NSICT has separate vessel
inspection checklist and follows “OS5A” rule. Copy of inspection checklist and
findings to be given to the Master of the vessel or their representative. For example:
 Vessel’s name

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  Date of inspection
 IMO no. of vessel
 Time/Shift
 Inspection conducted by
 Vessel representative

11. Port is not a small area; it is extensively large area where movement of equipments
and human interference happen maximum. So all the safety precaution and
measurement control taken by the tower, to ensure safety of employees,
12. Tower continuously made proper communication with ICD supervisor and gives
necessary instruction, if any necessary changes are require to be made,
13. The existence of control tower facilitates efficiency and provides information to
respective departments,
14. Control tower makes sure for each movement of export and import cargoes,
15. It also acts as an intermediary between management and employees.

 Some Important Findings:

1) To begin with, the statement of confrontation between tower operator and ITV’s driver.
Tower operator program the work for ITV’s to load and unload container in specific
areas such as; wharf, yard, ICD etc. and send it on VMT (Vehicle Mounted Transport)
installed in each ITV’s. So, ITV’s driver should follow the direction as per given by the
tower operator in normal case. But it generally not happens in practice and as a result of
that it impacts on productivity of port.

But why it happens and how management can control over these problems?

A port is extensively wide area spread in many of hectares. Total terminal area of
NSICT is 28 hectares and about 85-90 ITV’s working round the clock in different shift.
Control tower coordinates with transport supervisor for the ITV’s movement. However
but the execution of plan does not take place as per schedule prepare by control tower
for ITV’s.

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 One way to overcome from such problem to install GPS (Global Positioning System) in
every ITV. It provides real time monitoring of ITV’s movement. Tower operator by
looking at the screen in tower itself can easily track position of ITV in port.

2) Secondly, as NSICT do not have owned ITV’s and engage for service under terms of
contract by the private transporters. So while signing contact with ITV’s owner/provider
all terms and conditions should be made very clear. During operation driver should
comply with instruction as per agreement and for violation of any agreement deed,
stringent action and penalty should be levied on both ITV driver and its owner.

3) Formal training is one aspect of this and port industry should devote considerable effort
to developing and conducting port training courses and seminars for senior management
and to prepare training materials to enable employees. It was felt that additional would
be the availability of clearly written technical papers devoted to common problems in
the management and operation of the ports.

Ultimately the main objectives of ports are essentially providers of service activities in
particular for the vessels, cargo and inland

The degree of satisfaction that is obtained on the basis of pre-set standards will indicate
the level of port performance and this can be achieved by reducing vessels turnaround
time and thus increasing port efficiency.

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Inland Container Depots (ICDs)

ICDs are dry ports. Dry ports at a distance far away from the shoreline handle all the
import export formalities. ICDs act like deep-water, ports installed inland or interior where
the natural benefit of shoreline is non-existing. This a large warehouse where containerized
cargo is accepted for export. The exporter books his cargo at an ICD and completes all export
formalities. Thereon ICD moves the containers by movement consolidation to natural port.

 Benefits of ICD:

1. ICD connects major ports to hinterland.

2. ICD facilities customs clearance, export import formalities. ICDs ensure that business
person does not have to go to the deep water

3. ICD serve as consolidation facility and has handling equipment ports. Facility to group
small consignment and create container loads needs handling equipment.

4. Inter model transfer is a major operation in an ICD.

5. ICD increases the export potential of industries.

6. ICD decongests major ports.

7. Benefits of containerization can be fully availed only when we have a good network of
ICDs.

An inland container depot is an organization offering a total package of activities to handle

container and general cargo flows between road, rail, and waterways, resulting in maximum
service for inland transportation at minimum costs.

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 ICDs provide the following services:

a) Handling of containers from road, rail, and barges (light freight-boa, a seagoing vessel)
to a temporary storage area or container yards.

b) Intermediate storage between various transportation modes. Special containers and/or

cargo may require additional provisions such as refrigeration, special areas for dangerous
cargo, etc.

c) Receipt and delivery of containers and general cargo. This may include activities such
as weighing, inspection of scales, inspection of possible damages, inspection of safety
stickers, verifying container information, verifying codes, etc.

d) Sometimes the cargo cannot be directly delivered to the customer’s door. In this case
there can be cargo consolidation, i.e. redistribution of cargo in the containers depending upon
the direction of the dispatch of the cargo.

e) Facilities may include container cleaning service, pre-trip trials of new containers,
checking the proper functioning of refrigeration equipment, regular maintenance and repair
service of containers, material handling equipment for containers, etc. In other words, ICDs
should be self-sufficient units.

f) Customer clearance activities at inland terminal can help to decrease the dwell-time of
the containers in the deep-sea ports. These activities include whether the containers are filled
to their maximum capacity or not (LCL), checking of the container seals, proper assessment
and the valuation of the cargo and so on. Such a function has proved to be time and cost
saving.

g) A company may decide to provide certain physical distribution services which are
situated close to the ICDs. For example, garments can be ironed and packed, price tags/labels
can be affixed to consumer goods, liquids which are to be packed in bulk can be bottled and
sealed properly, etc. This means a variety of activities related to finished goods can be carried
out close to ICDs wherever such services are capable of being provided. On their port, ICDs
may help companies by providing sophisticated refrigeration plants and warehousing
facilities for export of vegetables, and fish.

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The Inland Container Depot (ICD) performs a number of services for the transport operator
and for the shipper or consignee. In general, there are three sequences of activities.
The three main operational systems in the ICD are:

 container arrival,
 container storage and
 container departure

The activities that are included in each sequence depend on the direction of the container
movement (inbound or outbound) and the container status – Full Container Load (FCL), (no
stuffing/de-stuffing) required or Less than Container Load (LCL) (stuffing/destuffing
require).

Claiming a consignment can be a relatively time consuming process that involves cross-
border formalities, de-stuffing, etc. In clearing the containers quickly through the port
terminal, the port terminal activities are roughly restricted to ship to shore transfer,
positioning in the yard for pickup, Customs detention if warranted, and so on. In essence,
time consuming activities like de-stuffing, duty payments, cargo storage, container storage
are deferred to another location outside the port.

At the completion of processing at the container depots, the cargoes will be claimed by the
owners and generally distributed as break-bulk to their respective sites.
In the case of break-bulk cargo where both the ICD and the cargo owner are located far away
from the port, the line haul portion of the voyage can be undertaken using containers instead
of break-bulk vehicles whereby break-bulk transport is much less efficient than containerized
transport. (Generally 3 break-bulk shipments by truck is equivalent to one container shipment
by truck) Transport costs can be reduced by keeping the goods in containers vis-à-vis break-
bulk transport for as much of the line haul component as possible.

Furthermore cargo owners are not required to send agents to the port in order to clear the
goods, rather document and cargo clearance can be undertaken at the ICD saving the cargo
owner’s time and money.

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The activities that are undertaken in an ICD ultimately depend on the type of cargo (break-
bulk versus containerized), mode of transport (road, rail, inland waterway), and type of
shipment (foreign or domestic). Certainly the movement of containers around the ICD will
require the use of handling equipment, and storage whether in a container yard or Container
Freight Station (CFS). In addition, shipments that require stuffing or de-stuffing services
(break-bulk movements) will be processed via the CFS. Likewise, foreign shipments that
require customs clearance will also be routed via the CFS.

How ICD make import and export easier, and increase foreign trade

 Better customs checking/clearance/easier collection of taxes/revenue

 Better transport links/easier transport to Gateway Ports and Airports /cheaper transport to

Gateway Ports and Airports

 Cheaper Container storage and handling facilities

 Better cargo management

 Cargo Storage in sheds and open areas

 Refrigeration available in most locations

 Quicker processing / less time lost / avoid delays at Gateway Ports and Airports

 Less congestion at Gateway Ports and Airports /eases pressure at Gateway Ports and

Airports

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GATE OPERATION

The basic meaning of word gate means, “Passageway where goods or passengers can embark
or disembark.” Gate is a place where total admission and discharge activity takes place. Gate
defines boundary within which different operation conducts and executes. In simple words
gate is “entry and exit point”, and where;
 Congestion happens,
 Queue made,
 Movement of goods and people,
 Enquiry is made,
 Receipts of goods,
 Discharge of goods,
 Security deploys, and
 Exchange of documents.
 Gate operation at DP World Nhava Sheva

DP World Nhava Sheva is located in Navi Mumbai on the West Coast of India. International
standard, state of the-art infrastructure and cutting edge IT systems place it among the elite
list of world class container terminals. A 600 meter quay line supported by land side and
other ancillary services, road and rail connectivity to the country’s major cargo generating
hinterlands makes it the Terminal of Choice.

In DP World Nhava Sheva gate operation takes place in following ways:

 It handles and deals with the export and import of goods in containers,
 Issue of copy of EIR(Equipment Interchange Receipt),
 Pre-Advice process is just updating the details of the specified container and a Pre
gate process is at Ambevadey,
 A survey is done by surveyors who inspects the container and notes down the details
of container such as: - container number, damage if any, seal no, temperature of refer
container etc.
 Total of 8 gates are in DP world –Nhava Sheva in gate no: 1-5 deals with mostly with
In-gate process and gate no: 6-8 delays with Out-gate process.
 ODC (Over Dimensional Container) is handled by gate no: 8 only.
 As per the yard requirement they will use export and import containers to get in.

DP WORLD NHAVA SHEVA Page 32

DP WORLD NHAVA SHEVA Page 33
EIR (Equipment Interchange Receipt) includes the following details:

 Date
 Transaction number
 Status
 Size
 Required temperature if its reefer
 Weight
 Operator
 Set temperature
 Truck number
 BAT number
 ISO code
 Destination
 POL
 Container
 Vessel
 VIA
 Seal 1 & Seal 2
 POD

EIR Sample Copy

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In DP World Nhava Sheva there are four important phases in gate operation which are as
below:

1) Survey,
2) Pre advice cabin process,
3) In gate operation, and
4) Out gate operation.

1. SURVEY: Conducting survey is the first and foremost important phase in gate
operation. A survey is conduct in DP World Nhava Sheva for the containers and the
person who conducts the survey called surveyors.
2. PRE-ADVICE CABIN PROCESS: The next phase in gate is Pre-Advice process
and Pre advice process is all about the information of container to be exported or
imported. Navis Express is the software which is used in entering the details and its
processing.
3. IN GATE OPERATION: This is third phase in gate operation. Receive EIR form
from the vehicle driver.
4. OUT GATE OPERATION: This is the last and important step in gate operation,
which are as follow:
a) The vehicle is parked in yard parking
b) Handover one copy of EIR to CFS.
c) Custom copy stamp should be made on EIR.

 Conclusion:

Gate Operation is the main area where all the primary work takes place which further leads to
yard planning and vessel planning. There should be proper watch on the operation at gate as
any error would lead to future misunderstanding.

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