Indian importers are turning to breakbulk services from containerships amid space shortages on China routes, led by Cosco’s semi-liner schedules.
Amidst worsening supply-demand dynamics on containerships from China to India, Indian importers are increasingly shifting their cargo handling strategies towards breakbulk services. This move comes as traditional containerized cargo faces severe capacity constraints and skyrocketing spot rates. Industry sources indicate a growing trend where breakbulk and multipurpose vessels (MPVs) are being utilized to transport cargo traditionally shipped in flat rack or open-top containers.
Cosco has emerged as a frontrunner in this shift, offering semi-liner schedules specifically for breakbulk capacity from China to various ports on India’s west and east coasts. According to a ship agent at Mundra Port, Cosco’s MPVs are making regular sailings, addressing the demand spillover from standard containerships. These vessels not only cater to breakbulk cargo needs but also handle traditional dry bulk commodities like granites and iron ore on their return journeys.
Maersk, another major player in container shipping, has also ventured into using breakbulk space on Cosco’s MPV sailings to meet customer demands. The trend is also noticeable in India’s export sector, particularly in the agriculture segment, where breakbulk and general cargo vessels are now preferred due to challenges in securing container space for commodities such as grains, oilseeds, and pulses destined for African markets.
At Pipavav Port, an APM Terminals facility near Mundra, there has been a notable increase in requests for berthing from MPV and ro-ro operators. This surge reflects a broader de-containerization trend among Indian businesses seeking reliable shipping alternatives amidst container availability uncertainties.
“We are exploring breakbulk vessel options to avoid containership space and equipment availability issues,” commented an executive from a major Indian industrial group, highlighting the strategic shift towards more flexible cargo handling solutions. Simultaneously, Indian traders grappling with container shortages for exports have begun utilizing breakbulk vessels, as confirmed by recent shipments of agricultural products from Kandla Port to destinations like Tanzania.
“Even after confirmed bookings, container availability remains a challenge, jeopardizing shipment schedules,” lamented a Mumbai-based agricultural trader. “Thus, we have resorted to breakbulk shipping to meet our commitments.”
The shift towards breakbulk services underscores a broader adaptation within India’s logistics sector, where stakeholders are increasingly diversifying their transport strategies to mitigate risks associated with containerized shipping. As importers and exporters navigate persistent supply chain disruptions, breakbulk shipping emerges as a viable alternative to ensure continuity in trade flows amidst fluctuating container availability and escalating freight costs.
