Rajkot: The lack of extreme containers in this country turned out to be the biggest obstacle in the export business with shipping costs which rose four to five times.
A project to produce original ISO shipping containers in Bhavnagar was designed a year ago, but the lack of interest has left the project in Limbo.
However, what seems to be a silver layer is an industry is that two manufacturers in Bhavnagar are ready to start commercial container production in January.
However, producers do not see any future if the government does not support their efforts.
The use of domestic containers also increases primarily after e-commerce companies start shipping in large quantities from one corner of the country to another.
The biggest obstacle in making is the availability of raw materials.
A committee was created under the umbrella of Saurashtra Commerce and Industry (SCCI) in Bhavnagar on November 2020 to address special problems for this sector.
The committee consisting of manufacturers, buyers and representatives of Gujarat Maritime Board (GMB) has also made several representations of the Ministry of Shipping and waterways in the past year.
The container requires 75% Corten Steel as a raw material, which provides strength and also prevents corrosion.
This steel needs to be imported from China and according to industrial people, Corten Steel at a current cost of 15 to 20 percent more for Indian manufacturers than Chinese manufacturers.
Hasmukh Patel, a businessman based in Bhavnagar is in the face of the manufacturing container and he will be ready in January with two container samples – 20 feet and 40 feet each.
If this meets expectations in testing, Patel will start rolling in January.
He is even ready to install its own machine only if Indian manufacturers get government support.
“If I want to make commercially production, I need to install a machine that costs around Rs 125 to 150 Crores.
This is a great cost and the manufacturer cannot take risks without government support such as getting corten steel at competitive prices, local testing facilities and Make the domestic market stable, “he added.
The second biggest challenge is to test because the container needs to pass 14 types of testing.
Bhavnagar manufacturers must take containers for testing to private operators near Delhi and very large transportation costs.
Test facilities charge around Rs 2.5 Crore.
Vaibhav Patel, another manufacturer of Bhavnagar, which is ready with sample containers say, “If we do not get government support to create public facilities for testing near Bhavnagar, this project is not feasible.”