Asians improvise to ease container crisis | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Tuesday
July 22, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
TUESDAY, JULY 22, 2025
Asians improvise to ease container crisis

Global Economy

Ann Koh and Rajesh Kumar Singh, Bloomberg
11 March, 2021, 03:55 pm
Last modified: 11 March, 2021, 05:18 pm

Related News

  • Milestone plane crash: Bangladesh’s global friends mourn, offer support
  • A dissection of rising hostility against Bengali migrants across India
  • In India's deportation drive, Muslim men recount being tossed into the sea
  • Tesla enters India with $70,000 Model Y as Musk yields to steep tariffs
  • India urges Bangladesh to halt demolition of Satyajit Ray’s ancestral home, offers support for restoration

Asians improvise to ease container crisis

Indian Railways cuts empty-container freight fees by a quarter

Ann Koh and Rajesh Kumar Singh, Bloomberg
11 March, 2021, 03:55 pm
Last modified: 11 March, 2021, 05:18 pm
Cargoes operated by UTLC Eurasian Rail Alliance. The group of former Soviet states has reduced freight charges to ease transport crisis. Photo: Collected.
Cargoes operated by UTLC Eurasian Rail Alliance. The group of former Soviet states has reduced freight charges to ease transport crisis. Photo: Collected.

Some of the world's biggest exporters in Asia are intervening to alleviate a shipping container shortage that jeopardises their overseas trading.

Government-owned Indian Railways has moved empty boxes to inland depots like Delhi from seaports for free. South Korea has deployed an extra nine vessels on the Trans-Pacific route to help local manufacturers while China's state-owned shipyard, Cosco Shipping Heavy Industry, has converted at least one freshly built paper-and-pulp carrier to transport the containers.

The state-backed companies and governments are working quickly to smooth disruptions on the supply side of global trade to avoid losing business, even as clogged ports like Los Angeles trigger import delays and freight costs remain high. Asian economies remain deeply reliant on exports to Europe and North America to line government coffers.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

"The state has a far bigger role within shipping in Asia, with equity stakes in numerous shipping lines, shipyards and terminals," said Simon Heaney, senior manager of container research at Drewry Shipping Consultants Ltd. "That influence is much less prevalent elsewhere in the world."

Indian Railways is discussing if its current 25% discount for moving empty containers inland along some routes needs to be extended beyond March, according to Manoj Singh, executive director for freight traffic and transportation. The carrier offered free carriage at least twice last year and hasn't ruled out waiving all charges again when it reviews the situation at the end of the month, he said.

Container Corp of India Ltd, on whose board Singh sits, is also moving containers to neighbouring countries such as Sri Lanka and Bangladesh to help ease the shortage, he said. Typically, the company would only move the boxes to facilitate domestic shipments.

That coincided with a turnaround in India's trade, with both exports and imports witnessing two consecutive months of growth since December after record declines last year due to the pandemic.

"Exporters and their industry groups are noisier and more active lobbyists on these types of issues," said Daniel Richards, a senior analyst at Maritime Strategies International Ltd, a shipping consultancy. "When you add to that the importance of the export sector to most Asian economies you can see why these governments have at least made efforts to be seen to be proactive."

But even countries less reliant on exports than powerhouses like China or South Korea are looking at ways to unclog global trade arteries.

The UTLC Eurasian Rail Alliance reduced tariffs last April for transporting empty containers via its Europe-China link. The company jointly formed by the state railways of Russia, Kazakhstan and Belarus said that this would help "avert the shortage of containers for loading in China."

"There's a lot of stress with container availability, costs, schedule reliability" in the market, said Ng Baoying, global managing editor for container shipping at S&P Global Platts. "This could persist through the first half of this year."

To some extent, state intervention can run counter to steps corporations have taken in response to disruptions driven by the pandemic. For instance, Hapag-Lloyd is raising freight rates next month to ship boxes from Europe to India's Nhava Sheva port, the company said this month.

Government role is limited and market forces will ultimately determine how things pan out, said Ajay Sahai, director general at the Federation of Indian Export Organisations.

"The best thing governments can do is ensure rapid and effective vaccination of their populations so that landside logistics labour capacity and productivity can be restored to pre-pandemic levels," said Heaney. "That will do a lot to improve the circulation of containers."


Disclaimer: This opinion first appeared on Bloomberg, and is published by special syndication arrangement

Bloomberg Special / Top News / World+Biz

Asians improvise / India / Container / crisis

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Photo: Syed Zakir Hossain/TBS
    Law enforcers use tear shells, sound grenades to disperse protesters in front of Secretariat
  • Photo: Mehedi Hasan/TBS
    Milestone plane crash: Aggrieved nation left with questions as citizens rally to help
  • Siddique Zubair. Photo: Collected
    Education ministry senior secretary removed from post: Adviser Mahfuj

MOST VIEWED

  • Training aircraft crashes at the Diabari campus of Milestone College on 21 July 2025. Photo: Courtesy
    BAF jet crash at Milestone school: At least 20 including children, pilot dead; 171 hospitalised
  • Flight Lieutenant Md Towkir Islam. Photo: Collected
    Pilot tried to avoid disaster by steering crashing jet away from populated area: ISPR
  • An idle luxury: Built at a cost of Tk450 crore, this rest house near Parki Beach in Anwara upazila has stood unused for six months. Perched on the southern bank of the Karnaphuli, the facility now awaits a private lease as the Bridge Division seeks to put it to use. Photo: Md Minhaz Uddin
    Karnaphuli Tunnel’s service area holds tourism promises, but tall order ahead
  • Bangladesh declares one-day state mourning following plane crash on school campus
    Bangladesh declares one-day state mourning following plane crash on school campus
  • 91-day treasury bills rate falls 1.13 percentage points to 10.45% in a week
    91-day treasury bills rate falls 1.13 percentage points to 10.45% in a week
  • Air Force F-7 BJI training aircraft crashes at Milestone College in Uttara
    Air Force F-7 BJI training aircraft crashes at Milestone College in Uttara

Related News

  • Milestone plane crash: Bangladesh’s global friends mourn, offer support
  • A dissection of rising hostility against Bengali migrants across India
  • In India's deportation drive, Muslim men recount being tossed into the sea
  • Tesla enters India with $70,000 Model Y as Musk yields to steep tariffs
  • India urges Bangladesh to halt demolition of Satyajit Ray’s ancestral home, offers support for restoration

Features

Photo: Mehedi Hasan/TBS

Milestone plane crash: Aggrieved nation left with questions as citizens rally to help

1h | Panorama
Illustration: TBS

Uttara, Jatrabari, Savar and more: The killing fields that ran red with July martyrs’ blood

17h | Panorama
Despite all the adversities, girls from the hill districts are consistently pushing the boundaries to earn repute and make the nation proud. Photos: TBS

Despite poor accommodation, Ghagra’s women footballers bring home laurels

1d | Panorama
Photos: Collected

Water-resistant footwear: A splash of style in every step

2d | Brands

More Videos from TBS

Students demand resignation of advisor and secretary

Students demand resignation of advisor and secretary

26m | TBS Today
Transgender people step up once again to donate blood for Milestone plane crash victims

Transgender people step up once again to donate blood for Milestone plane crash victims

31m | TBS Today
Thursday exams will not be held after July 22

Thursday exams will not be held after July 22

1h | TBS News Updates
Relatives gather at Taukir's house to bid their last farewell

Relatives gather at Taukir's house to bid their last farewell

1h | TBS Today
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net