The Hindu Business Line : New policy for major ports on anvil

A PRIVATE operator will be allowed to run not more than two container terminals having a total quay length of 1,600 metres in any one of the 12 Government-owned major ports in the country, according to a new policy on ports drafted by the Shipping Ministry.

In the case of container terminals, minimum quay length is required to optimise utilisation of the facility. "Hence, a quay length of 800 metres in a straight line will be considered wherever possible for one container terminal in future. This, however, will not apply to existing terminals and the existing private terminal operators, while eligible, would have no rightful claim for any additional quay length if the present quay lengths are lesser," says the draft policy.

P&O Ports, which operates the Nhava Sheva International Container Terminal (NSICT) having a quay length of 600 metres and the Chennai Container Terminal (CCT) with a quay length of 885 metres, has consistently demanded additional quay length from the Government to convert these two terminals into hub terminals on the west and east coasts, respectively, as planned by the Ministry.

According to trade sources, a hub port terminal would require a draft of 15-17 metres with a minimum quay length of 1,200 metres to accommodate two mother vessels and a couple of feeder vessels at the same time. Given the lack of adequate quay length in JNPT, none of the three box terminal operators (JN Port terminal with a quay length of 680 metres, NSICT with 600 metres and the new terminal being developed by Maersk-Concor with 720 metres) are going to be a hub terminal operator. "For the next 30 years, we are not going to have a hub port on the west coast of India," says Mr Mark S. Fernandes, an official with the Mumbai-based Indian Merchants' Chamber.

The new port policy strives to promote both inter-port and intra-port competition to provide users with a choice not only between different major ports but also between different operators within the same port.