The Hindu Business Line : India Steamship plans to expand tonnage

INDIA Steamship Company (ISS), the shipping company belonging to the K K Birla Group, proposes to reach the one million dwt level within the next three years, according to company sources.

The present tonnage, comprising three tankers, "Ratna Abha"(60,000 dwt), "Ratna Shalini" (90,000 dwt) and "Ratna Urvi" (96,000 dwt), is estimated around 2,50,000 dwt. Of these vessels, "Ratna Shalini" was acquired in April 2003 while "Ratna Urvi" will join the fleet in September this year.

The immediate plan is to acquire a very large crude carrier (VLCC, capacity upwards of 250,000 dwt), if possible within the current fiscal itself. The acquisition, if materialises within this year, will straightaway push up the company's tonnage to more than half a million tonnes in one go.

There is a further proposal to acquire a third Aframax (capacity around 1,00,000 dwt). It might be noted that both "Ratna Shalini" and "Ratna Urvi" are Aframax tankers.

The ISS management, it is learnt, is also toying with the idea of acquiring a second VLCC. But the decision on this is yet to be firmed up as the management is also mulling acquiring a bulk carrier, particularly the Capesize type (170,000 dwt).

The company's medium term business plan, currently under review, primarily focuses on expanding the tanker fleet with a mix of vessels catering to a diverse range of cargo parcels, flexible in serving not only as transporter of the country's oil imports but also as an active player in the international trade.