The world of international trade is constantly evolving, and India has emerged as a major player in recent years. With the fastest growing major economy in the world, India is experiencing increased trade activity and a rising demand for large boxships to transport its exports. In 2022, the nation managed to beat its government’s export target of $400 billion with $422 billion in exports. The share of machinery and electricals in India’s exports has overtaken the legacy textiles and apparel sectors, further solidifying its place in the global market.

S&P Global Market Intelligence predicts that India’s trade economy will experience rapid growth in 2023, thanks to the country’s diversification of its manufacturing base and the active use of trade policy measures under the ‘Make in India’ program. The recent construction of the Galathea Bay Transshipment Port is expected to save Indian ports $200m to $220m a year on transshipment cargo and create an opportunity for India to become a major hub in the industry. The terminal is expected to be completed by 2028 and will attract Indian and regional transshipment traffic, reducing logistics inefficiencies and risks to the country’s export competitiveness.

Ocean carriers are also recognizing the growth potential in India, as they pull capacity from Chinese export routes and redirect their ships to more robust tradelanes with growth potential, including Middle East and India-related services. The shift in capacity has seen a boost of 320,600 TEU or 11% of the fleet capacity in these regions.

In addition to the physical infrastructure, digital solutions are also gaining ground in India’s ports. The Nhava Sheva Port is using a tech-enabled imaging system to significantly reduce cargo dwell times for import loads. This high-speed container scanner has a throughput capacity of 100 containers an hour and has been introduced after trial runs. CMA CGM has also adopted a “digital forwarding system” across major depots in northern India, improving turnaround times for rail-related documentation and reducing the need for paper-based processes.

In conclusion, India is making significant strides in the global trade market and is poised for even greater growth in the coming years. Its investments in both physical infrastructure and digital solutions make it a key player in the industry and a destination for businesses looking to tap into the growth potential of the region.