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The vehicle manufacturers restart production in Europe after shutdowns caused by the Covid-19 pandemic. However, the outbound logistics sector could hamper distribution and sales. In markets with lockdowns, car sales have come to a virtual standstill. New vehicle sales have dropped around 70% in Spain and France, and 85% in Italy.

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One of the biggest concerns for the trucking industry for the remainder of 2020 is the shrinking number of drivers in the sector. While the driver shortage is nothing new, it is increasingly getting worse and making a greater impact on delivery and supply chains.

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According to a survey, 79% of today’s supply chain leaders worry about recruiting people able to handle the increasing pace of change within the industry. While CSCOs have always been critical to a company’s success, recent world events underscore the need for strategic and adaptable supply chain leaders.

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PSA SICAL Terminals Ltd has invoked force majeure in its licence agreement after the volumes slumped by as much as 75 per cent since April 1 due to the lockdown restrictions. This clause absolves firms from meeting their contractual commitments for reasons beyond their control.

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As the cash-flow crunch escalates, the maritime logistics industry has openly defied a Government diktat to waive off some charges. They’ve done it to help exporters and importers tide over a tough time as the country fights to slow the spread of the virus.

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Several major global container shipping lines have started skipping the country’s top container gateways. The disruption caused at the major ports by the lockdown and the drastic drop in demand has been the reason for the same. Issues in clearing import containers from the ports and CFTs have ended up disrupting carrier schedules.

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The GOI has allowed three of India’s older container terminals to recalibrate their royalty pay-outs to the government. The CTs are granted discounts for handling containers shipped between the country’s ports and transhipment containers. The policy change will reduce the losses they were so far suffering on this business.

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The Centre is working on a scheme to reimburse pending payments with interest to micro, small and medium enterprises. Once implemented, the government's plans towards framing a mechanism for clearance of huge pending dues owed to MSMEs by central and state PSUs. Corporate players are expected to provide a major relief to the sector battling distress.

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Union Minister, Mansukh Mandaviya discussed business continuity plans with representatives of the maritime industry. The industry leaders highlighted the challenges like supply chain issues and movement of cargo and trucks. They’ve requested policy interventions.

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