main report on concor

8/8/2019 Main Report on Concor.

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Project Report

On

Container Corporation of India Ltd

Submitted To

Rashtrasant Tukdoji Maharaj Nagpur University

NagpurIn the partial fulfillment for

The Award of

Degree of

M.B.A.

Submitted By

Ms. Bhavana M. Nanote

Under the Guidance Of

Mr. Vijay Joshi

Vilasrao Deshmukh College of Engineering

And Technology.Mouda, Nagpur.

2009-2010


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CERTIFICATE

This is to certify that the project entitledContainer corporation of India ltd. Submitted by

Ms.Bhavana M. Nanote is in partial fulfillment of

the reuirement for the M.B.A. from Rashrasant

Tukdoji Maharaj Nagpur Universitry and is a

bonafide record of the work done by them at Vilasrao

Deshmukh college of engineering And technology,

Mouda, nagpur during the academic year 2009-10.

Place: Nagpur Project Guide

Date :

(Mr. Vijay Joshi)

Principal

Vilasrao Deshmukh

College of Engineering &

tech. Mouda,Nagpur.


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DECLARATION

To,

The Principal,

Vilasrao Deshmukh college

of Engineering & Tech.

mouda , Nagpur.

Respected sir,

We the undersigned , hereby declare

that the work entitled CONCOR developed and

submitted by us is our original work. The system

presented herein is developed by us independently

and has not been duplicated from any other source.

We understand that any such coping is

liable to be punished in any way the University deem

fit.

Place: Nagpur

Date :(Ms. Bhavana M. Nanote)


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ACKNOWLEDGEMENT

We wish to express our sincere thanks to thehonorable Dr. J. F. Agrawal, principal, Vilasrao

Deshmukh College of Engineering & Tech. Mouda,

Nagpur. Providing us varieties of opportunities,

infrastructural facilities and aspiration to gather

professional knowledge and material without which

it would have been impossible to complete this hard

task.

We take this opportunity to express our deep

gratitude and whole hearted thanks to our project

guide Mr. Vijay Joshi for her guidance throughout

this work. We are very much thankful to her for her

kindness, encouragement and the valuable time,

which she has devoted to us.We wish to thanks all those, who have helped

us in our way the others in bringing out this project

successful.

(Ms. Bhavana M. Nanote)


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INTRODUCTION

International Business field is concerned with the

issues facing international companies andgovernments in dealing with all types of cross border

Transactions. International Business involves all

business transactions that involve two or more

Countries export and import goods and services.

International Business consists of

transactions that are devised and carried out across

borders to satisfy the objectives of individuals and

organizations. International Business consists of

those activities private and public enterprises

Which, involves the movement across national

boundaries of goods and services, resources,

knowledge

A Multinational Enterprise has a worldwide

approach to foreign markets and production and an

integrated global philosophy encompassing both

domestic and international markets.

Defined as a process of accomplishing the

global objectives of a firm by effectively

coordinating the procurement, allocation, and

Utilization of the human, financial, intellectual,


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and physical resources of the firm within and

Across national boundaries and effectively

Preparing the path toward the desired organizationalgoals by navigating the firm through a global

environment that is not only dynamic but often very

hostile to the firms very Survival.


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ABOUT CONCOR

Incorporated in March 1988, Container Corporation of

India (CONCOR) is a multi-modal (rail and road) logistics

support provider for the country`s EXIM and domestic

trade and commerce, working under the ministry of

railways, government of India. CONCOR commenced

operation from November 1989 taking over the existing

network of 7 Inland Containers Depots (ICD`s) from theIndian Railways.

The company`s core business is characterized by three

distinct activities that of a carrier, a terminal operator, and

a warehouse operator. The company provides a single-

window facility coordinating with all the different

agencies and services involved in the containerized cargo

trade right from customs, gateway ports, and railways, toroad haulers, consolidators, forwarders, custom house

agents and shipping lines. Container Corporation of India

has value-added services like linking of road or short lead

rail shuttle services to long lead point-to-point train

services (hub and spoke services), integrated freight

terminals, coastal shipssping, transportation of perishable

products from source to end-user (cold chains), and totallogistics solutions.


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CONCOR has over 5,200 state-of-the-art high-speed

bogies, low-height container flat-wagons (type BLC) inservice. The company has a total of 57 terminals, of which

48 are export-import container depots, and nine exclusive

domestic container depots. The customs bonded inland

container depots are dry ports in the hinterland and serve

to bring all port facilities including customs clearance to

the customer`s doorstep.

CONCOR also operates container terminals across the

country to cater to the needs of the trade, whether in theEX-IM or the domestic business.

COMPANIES MISSION STATEMENT


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OUR MISSION IS TO JOIN WITH OUR COMMUNITY

PARTNERS AND STAKE HOLDERS TO MAKE

CONCOR A COMPANY OF OUTSTANDINGQUALITY. WE DO THIS BY PROVIDING

RESPONSIVE, COST EFFECTIVE, EFFICIENT AND

RELIABLE LOGISTICS SOLUTIONS TO OUR

CUSTOMERS THROUGH SYNERGY WITH OUR

COMMUNITY PARTNERS AND ENSURING

PROFITABILITY AND GROWTH. WE STRIVE TO BE

THE FIRST CHOICE FOR OUR CUSTOMERS. WEWILL BE FIRMLY COMMITTED TO OUR SOCIAL

RESPONSIBILITY AND PROVE WORTHY OF TRUST

REPOSED IN US.

COMPANIES OBJECTIVES


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WE WILL BE A CUSTOMER FOCUSSED , PERFORMANCE

DRIVEN , RESULT ORIENTED ORGANISATION, FOCUSSED

ON PROVIDING VALUE FOR MONEY TO OUR

CUSTOMERS..

WE WILL STRIVE TO MAXIMISE PRODUCTIVE

UTILISATION OF RESOURCES, DELIVER HIGH QUALITY

OF SERVICES, AND BE RECOGNISED AS SETTING THE

STANDARDS FOR EXCELLENCE.

WE WILL CONSTANTLY LOOK FOR NEW AND BETTER

WAYS TO PROVIDE INNOVATIVE SERVICES. WE WILL

AIM FOR CUSTOMER CONVENIENCE AND

SATISFACTION, LEARN FROM OUR COMPETITORS AND

ALWAYS STRIVE FOR EXCELLENCE.

WE WILL SET MEASURABLE PERFORMANCE GOALS TO

SUPPORT THE OBJECTIVES AND MISSION OF OUR

ORGANISATION AND WORK AS A PROFESSIONAL,

COMPETENT AND DEDICATED TEAM FOR THE

ORGANISATION TO ACHIEVE EXCELLENCE IN ALL

AREAS OF OUR BUSINESS AND OPERATIONS BYBENCHMARKING OURSELVES WITH OUR

COMPETITORS.

WE WILL FOLLOW HIGHEST STANDARDS OF BUSINESS

ETHICS AND ADD SOCIAL VALUE FOR THE COMMUNITY

AT LARGE BYDISCHARGING SOCIAL OBLIGATIONS ASA RESPONSIBLE CORPORATE ENTITY.

WE WILL MAINTAIN ABSOLUTE INTEGRITY, HONESTY,TRANSPARENCY AND FAIR-PLAY IN ALL OUR OFFICIAL

DEALINGS AND STRIVE TO MAINTAIN HIGH

STANDARDS OF MORALITY IN OUR PERSONAL LIFE.

INDEX


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1. Operation department

2. MIS

3. Billing counter

4. PDA A/C Department

5. Custom Department

6. Documentation and Procedure.

7. Role of CHA

8. Role of Shipping line

9. Role of Freight forwarders

10. Role of Warehouse.

11. Contractor

OPERATION DEPARTMENT


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Operation department handles container movement

from one destination to another destination, it keeps

the records of all wagons with loaded and unloaded

container movement from dry port to desirabledestination port.

All shipping companies containers kept at dry port,

which when required are been allotedthe container of

the respective shipping line, then operation

department will allot the container to that particular

allotted customer.

The concor department has its own 100(+) railways

which are only used for container transaction. There

are 45 wagons in one train the total of 45 wagons is

called as a Rake.

There are 12 separate rake allotted to Nagpur only.In one Rake there are 45 wagons in one wagon two

20 feet container or one 40 feet container can be

placed.

In one movement 90 containers are transported.

The booking, checking of the container is done in

operation department. It also handles the rakeplanning and gives position of the container (arrival,

departure and present status).

MIS


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Management information system is particularly a

concor department where the complete networking of

the server is done . It is directly connected to theheadquarter at Delhi.

It is to provide faster service to the customer. This

section is always keen to handle the network system

within the organization. It also gives exact location of

container due to the faster technology. It has ETMS

software within the organization. All the information

of goods can be easily gathered/viewed via online

software.

RDT(Radio data terminal) is a device which shows

detailed about the container position and gives

appropriate information.


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Billing counter

The billing section is main source of the concor thereare two types of billing counter.

1. Domestic

2. International

Domestic :

Domestic bill contain all billing for domestic

business i.e. within the country. The difference is

only that it provides containers to party but it

does not contain any duties. There is a different

section of billing for domestic transaction and

the server is connected to MIS department. This

has link with headquarter at Delhi.

International :

International billing contains all billing of

exported and imported goods. It has its different

section of billing. The various documents needed

along with bills i.e. Bill of entry for imported

goods etc. Bill of lading for shipping line andshipping bill for exported goods. Job order is

also attached from this section.


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PDA A/C Department

Concor maintains PDA a/c of customer for dealingdaily financial transaction which provide the facility

to customer for that they have to maintain Rs.20,000

minimum balance on the PDA a/c.

If exporter or importer use this facility of concor then

the service charges are deducted from the pre deposit

a/c balance.

By the use of PDA a/c in the organization it is easily

forwarded with the exact position of the business to

the head office. They can fatly transfer the fund also.

Custom Department


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Itis a government authorized department at every

ICD in the country. As mostly the area surrounded in

the ICD is custom bounded area. And from thisparticular area goods cannot be taken in or out

without prior information or permission to custom

department.

Custom department basically performs the work of

collection of appropriate amount of duties levied

either on import or export and verify thoroughly the

essential documents for import and export.

As under the custom act 1962 the provision are

collection of duty, import/export procedures, to

prohibit import and export of goods, to charge

penalties.

And custom tariff act 1975 in which there are

various types of duties import tariff and export tariff.

Custom valuation act 1988, baggage rules, 1998.

These are basically the act made by the government.

Documents for custom clearance


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1. Sales contract or Performa invoice.

2. Tax invoice or export/custom invoice.

3. ARE1 form.

4. Packing list.5. Test certificate.

6. Fumigation certificate.

Procedure for custom clearance-

1. Noting.

2. Assessment.

3. Examination.

4. Custom examination of material (10 to 100%)

5. File audit.

6. Custom sealing.

7. Assistance commissioner of custom sign in

documents.8. Let export.

In export shipping bill is made for custom.

Custom documents = Tax invoice + ARE1 +

ARE2

Documentation & procedure


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Procedure for Import

1 DGFT (Director General Foreign Trade) issue a

license for Export and import.2 IEC (Import Export Code) code is generated.

3 Registration in Central Excise. (for SSI

registration is not necessary)

4 Then search vendor for deal.

5 Exporter sends a sample to Importer.

6 Importer contract with Exporter.

7 Importer decided the cost.

8 Then Import the good.

Documents for Import :

1. Bill of Lading (issued by shipping line)

2. Commercial invoice.3. Packing list.

4. Container wise detailed packing list.

5. Certificate of origin.

6. Test analysis report/Quality

certificate/technical analysis report.

7. Detention free certificate.

8. Sales contract/purchase order copy/letter ofcredit copy.

9. Fumigation certificate for wood products.

10. Pre inspection certificate + Technical

specification.


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11. Detailed in foreign trade policy.

Procedure for Export :

The following are the documents required for the

processing of the Shipping Bill:

1. GR forms (in duplicate) for shipment to all the

countries.

2. 4 copies of the packing list mentioning the

contents, quantity, gross and net weight of each

package.

3. 4 copies of invoices which contains all relevant

particulars like number of packages, quantity,

unit rate, total f.o.b./ c.i.f. value, correct & full

description of goods etc.

4. Contract, L/C, Letter of origin, Purchase

Order of the overseas buyer.5. AR4 (both original and duplicate) and invoice.

6. Inspection/ Examination Certificate.

7. The formats presented for the Shipping Bill are

as given below:

8. White Shipping Bill in triplicate for export of

duty free of goods.

9. Green Shipping Bill in quadruplicate for theexport of goods which are under claim for duty

drawback.

10. Yellow Shipping Bill in triplicate for the

export of dutiable Blue Shipping Bill in 7


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copies for exports under the DEPB scheme.

Export

In export ARE1 & ARE2 forms are used for

custom purpose.

Duties paid excisable rules are cleared then we

used ARE1 form.

And if duty is not paid then ARE2 form is used.

Custom = Tax invoice + ARE1 + ARE2

Documents for Export

There are 2 types of documents.

1. Pre shipment document.

2. Post shipment document.

1. Pre Shipment documents are-

Performa invoice.


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Sales contract.

Acceptance.

Purchase order.

Test certificate.Packing list.

Invoice for custom purpose.

ARE1 and ARE2 form.

2. post shipment documents are-

Commercial shipment.

GR form or SDI form.

Commercial invoice.

Packing list.

Container packing list.

Test certificate.

Fumigation certificate.Certificate of origin.

Bill of exchange.

Benefit certification.

Shipping advice.

Insurance certificate.

Shipping line


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Shipping line plays a very important role. It

provides the container to the customers for the

movement of goods/ raw material. In addition to

the procurement of the container the surveyor,vessel is provided by the shipping line.

Shipping line is very important part for container

movement as container are carried by way of sea

through vessel.

Seven days prior to the vessel entry shipping line

files IGM(import general manifest).

Custom allows SMPT for ICD.

The rate of shipping line is decided as per the

destination, volume of movement.

The detention charges of shipping line and concor

are different for import unloading and exportloading to the factory of the container.

Ground rent is charged on the shipping line by

concor.

The shipping lines basically use EDI (Electronic Data

Interchange) it is an electronic means for companies

to exchange business documents, such as purchaseorder or invoices.


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The various type of business information available

via EDI are :

Booking Information.

Bill of lading information.

Invoicing.Electronic funds transfer.

Arrival notice information.

Shipping status information.

CONTAINER

Container is basically suitable for carrying goods

by the way of sea. So it is mostly preferred. Thereare 130 parts stick to the container.

Tues:- twenty feet equivalent units.

Fues:- forty feet equivalent units.


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1 tues = one 20 feet container

There are 3 types of container

40 feet , 20 feet , 22 feet.40 and 20 feet container are used for international

trade.

22 feet container is used for domestic transaction.

Capacity limit

20feet empty container 2.3 metric tons/with load

upto24 metric tons.

40 feet empty container 4.6 metric tons/with load

upto28 metric tons.

Types of container

High cube , opentop , reffer, tank container.


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CHA

CHA is a custom house agent. It acts as a mediator

between importer, exporter and customs department.CHA is a supporting part of the industry.

He is a person who is licensed as an agent for

transaction of export and import of goods on a behalf

of party.

The CHA presents all the documents related to

Import/Export and clears all the documents from

customs.

CHA maintain all the copies of documents such as

shipping line, bill of entry, etc.

The CHA is a duty bound to advice the client to

comply with the provisions of the act, regulation and

all the schemes provided by the government.

He is a person who works for importers and exporters

goods/raw material to be cleared from custom

department by fulfilling all required documents. As

well as generally perform the work of using job

order, getting position of container with concor.


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Freight forwarder

Freight forwarder is a middleman who quotes the

best rate of shipping charges to the customer fromone country to another country. It acts as a bridge

which meets the gap between exporter/importer and

shipping line. And for this service they take the

commission for the deal. They also handle their own

transportation line. Moreover they act in a similar

function as that of a CHAs.


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Warehouse

The basic purpose of warehouse is for the storage of

goods. The goods are charged rent (warpit) as per theweight and the time period.

In Concor there are two warehouses is present near

to the yard.

1. Bonded warehouse

2. Public bonded warehouse.

1.Bonded warehouse :

In the bonded warehouse the various

exporting /importing companies store there goods.

As per the weight and the time period the

warehouses rate is charged on the

exporter/importer.

2.Public bonded warehouse :

In the public bonded warehouse the

imported goods are stuff. The goods which do not

clear the custom duty this types of goods are stored

in public bounded warehouse. There after the customcleared goods are handed over to the party, if the

party is not able to pay all the whole amount of duty

in one stroke so they take the good in partial manner

and pay the duty accordingly.


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Required job order in warehouse

Job order is required for all

departments. Without job order the container cannotbe moved.

Arrival Job order.

Unloading job order.

Stuffing job order.

De stuffing job order.

Exit job order.


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Contractor

The overall operational work is done on the basis ofcontractors.

Like transportation, loading unloading of the

container, handler, packing, repairing yard.

Whenever the requirement arises for any contractor

they give notice for the tender in newspaper and

invite for the particular work accomplishment in a

specific time period. the contractors have contract

with concor w.r.to there work.

Transporter

The role of transporter is to do the transaction of

containers from source to destination. Transporter

signs the contract with concor via. Tender. Thepayment of transporter by any party is paid earlier

where as the payment to transporter is paid

fortnightly by concor. distance covered by the trailers

of the transporter are specified in terms of short

lead(from 0-99km),long lead(99 km onwards).

Handler

Handler works for the loading and unloading of a

containers with the help of Kalmar(Lifter) from the

rake. When rake reach at Yard the time allotted to


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handler is minimum 6 hours for loading, unloading

respectively. If they exceed beyond the time limit

then Concor charge the penalty on hourly basis. The

kalmar is also used for placing the container at theappropriate place which can lift the container from

ground+1+2+3.


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Security

In Concor the security plays a vital role for incomingand outgoing of container. Security checks all the

containers numbers in a designated way for

throughput movement. They also check the container

status at the time of in or out.

Workshop

This is a contractor to concor they check the

container whether damaged and repair it. If any

damage is seen then they charge the penalty to party.

In one container there near about 130 parts present,

all parts have there separate name.

If any damage is in the container it is firstly noted

down and then applies the charges on the paperrespect to the damage. And this paper is submit to

shipping line otherwise exporter. Then they can pay

the charges to the Concor.

They have link with the surveyor of the damaged

shipping line container.


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Conclusion

To conclude, I would say that my training inContainer Corporation of India Ltd. was indeed a

great learning experience. The company in itself is an

example of terminal management, logistic activity,

export/import procedure had a direct bearing to our

curriculum, so the training also helped me to

understand part of our syllabus. All in all, it was an

excellent learning experience for me.