Financial Daily from THE HINDU group of publications Monday, Jun 14, 2004 |
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Logistics
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Interview `We have miles to go to match international standards' Mr K. Ratna Kishore, Chairman, Visakhapatnam Port Trust Ch. R. S. Sarma
Visakhapatnam has been the prime port for the past four years in the country in terms of tonnage handled as well as on several efficiency parameters. But still the port has miles to go to match international standards. All efforts are being made in that direction, says Mr K. Ratna Kishore, Chairman, Visakhapatnam Port Trust, in an interview to Business Line. Excerpts from the interview: It must, of course, be gratifying to be No. 1 successively for four years and setting the national record this year, but has the port succeeded in attracting new cargoes or achieving an impressive growth rate? Of course, as my predecessor, Mr S. R. Rao, used to say, mere tonnage is not the criterion for assessing a port's performance. On all other parameters, too, the Visakhapatnam port is performing well. As for the growth rate, it depends on the development of the hinterland, the state of the economy and several other factors. In the given circumstances, Vizag is doing exceedingly well and we are striving to improve our services. Specifically, Vizag has been losing considerable transhipment cargo to the fledgling Kakinada port the past two years. Would you to like to comment on it? Yes, we have identified it as one of the issues to be addressed. Frankly, there are no identifiable reasons why Indian Oil should prefer Kakinada to Visakhapatnam, as the weather conditions and other factors are more or less the same at both the ports. However, we are taking it up with IOC and hope to get VLCCs (very large crude carriers) to Vizag too. What is the position in the port in the first quarter? As you are aware, there is a lull in iron ore exports to China, as that country is not issuing letters of credit to exporters and, as at other ports, iron ore is stockpiling at Vizag too, roughly 11-12 lakh tonnes at present. But we hope the situation will improve, though the first quarter performance may be slightly affected. After the introduction of mechanised operations at Paradip, a chunk of the thermal coal from Talcher for the Tamil Nadu Electricity Board is being routed through that port. These are some of the problems we are grappling with. What is the pace of containerisation at Vizag? Are you satisfied with it? Containerisation is, of course, essential and it should be encouraged. That is why a separate container terminal has been set up with private participation. Though there may be the usual teething troubles in the first couple of years, I am sure the terminal, which has made some progress, will attract more cargo. What projects are under progress at the port? Two berths EQ 8 and EQ 9 are under construction by Gammon India. EQ 8 has been constructed and the dredging work is complete. Customs clearance has been obtained and the company wants to operationalise it soon. As for the other berth, dredging is going on. The company is investing Rs 160 crore on these berths. Besides, the work on EQ 7 undertaken by us at a cost of Rs 32 crore is going on. All these berths are expected to be operational by the year-end. We have obtained three cranes each of 20 tonne capacity and one more is expected by September. We have also given Dredging Corporation of India (DCI) works worth Rs 33 crore for increasing the draft to 10.7 metres to enable entry of Panamax vessels into the outer harbour. Berthing detention can be reduced then.
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