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Dwarf containers train flagged off, to reduce logistics cost

Union Minister for Ports, Shipping, and Waterways, Sarbananda Sonowal on Monday, September 20, flagged-off dwarf container train from Jawaharlal Nehru Port Trust (JNPT). With this, the first consignment of laden dwarf containers from the port was moved by train to ICD Kanpur.

The introduction of dwarf containers train will help in reducing the logistics cost.

What are dwarf containers?

‘Dwarf Containers’ are shorter in height than normal ISO containers by 660 mm, but 162 mm wider than regular containers. This gives them a logistical edge. The low height of dwarf containers make it easier for loaded trailers, to pass through rural, semi-urban, and urban roads, and through limited height subways and level crossing in electrified sections.

Dwarf containers can carry a weight of 71 tons, against 40 tons by an ISO container. Further, the ‘Dwarf’ containers provide a 67% increase in volume when double-stacked.

Utility of dwarf containers?

There are several benefits of using a dwarf container. Some of these include –

Reduction in logistics cost, a game-changer initiative

The Jawaharlal Nehru Port Trust has started a direct port delivery (DPD) facility at its container terminal. The DPD facility will reduce the cost of logistics for shippers, improve the turnaround time of shipping line containers, and addressing container shortage issues.

JNPT container terminal will also have a Dwarf Container Depot, where cargo transfer from ISO containers to dwarf containers would be carried out. This will ensure availability of empty ISO containers at the Port itself for export repositioning, thereby addressing the shortage of ISO containers.

The initiative can be a game-changer as the turnaround time of containers will come down from month to few days as the import-laden ISO containers will not need to go to the hinterland. The cargo will be emptied and shifted to dwarf containers and the empty ISO containers would be readily available to the nearby container freight stations (CFS)/ factory for export stuffing.

Make-in-India: The Dwarf containers are port-friendly. These can be manufactured in India at a cost-efficient price, which in turn opens up opportunities for Make in India. It will also give a boost to the manufacturing sector.

Improve traffic & congestion: The commencement of the dwarf container train services from JNPT will also address the issue of traffic and congestion. The facility will diversify the port’s interlinked logistical trade avenues. Furthermore, it will enable the port to offer lower logistics costs to the EXIM community, increase rail as well as overall container volume throughput, decongest gate and road cargo traffic, promoting direct port delivery.

To enhance export from India

The Indian Railways has also offered a 17% discount on haulage (a charge for the commercial transport of goods) cost compared to double stack ISO container trains, resulting in an overall 33% discount to shippers making Indian Railways competitive.

Dwarf containers can be double-stacked , which makes it is a pivotal step in streamlining the rail movement of EXIM (export-import) cargo. The movement of cargo via rail through dwarf containers has the potential to lower the EXIM logistics costs, making Indian exports globally competitive and enhancing exports from India. According to the Union Ports Minister, the commencement of JNTP will give the EXIM community a competitive cost advantage by lowering hinterland logistical costs, while simultaneously enhancing rail-cargo traffic at JNPT.

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