The Hindu Business Line : Ministry unveils maritime development programme

Mr T.R. Baalu, Minister for Shipping, Road Transport and Highways, and the Shipping Secretary, Mr D.T. Joseph, releasing the Formulation of National Maritime Development Programme at a press conference in the Capital on Friday. - Ramesh Sharma

New Delhi , Dec. 30

THE Ministry of Shipping, Road Transport and Highways on Friday unveiled the National Maritime Development Programme (NMDP) for the country envisaging an investment of Rs 100,339 crore to be spent in 387 identified projects in port and shipping sector spread over 20 years.

Some of the projects listed under the integrated programme are already under implementation.

The total investment includes Rs 55,804 crore for the port sector during the next six years to be funded through public private partnership (PPP).

This would enhance the aggregate cargo handling capacity of 12 major ports to 820 million tonnes per annum (mtpa) by 2011-12 from 397.5 mtpa.

For this, the NMDP seeks to implement 76 projects for construction of berths and jetties, 25 projects that would help deepen port channels, 52 projects that include procurement, replacement and upgradation of port equipment, 45 projects aimed at improving port connectivity to the hinterland and 78 other related schemes dedicated to improve storage capacities, internal circulation systems.

Also included in the programme is an investment of Rs 44, 535 crore for development of shipping and inland water transport (IWT) through budgetary support and internal and external budgetary resources over a 20-year period (up to 2024-25).

This includes 111 projects on activities such as vessel acquisition by Shipping Corporation of India, maritime training activities, setting up of navigational aids and shipyards and promoting inland water transport, amongst others.

Public investment will be primarily for common user infrastructure facilities such as deepening of port channels, construction of breakwaters, internal circulation systems of cargo within the ports, rail and road connectivity, among others.

Private investments are planned in areas where operations are primarily commercial in nature such as construction, management and operation of berths and terminal.

Port Sector

From the activities envisaged for ports, 180 projects requiring an estimated investment of Rs 31,971 crore would be taken up during Phase-I.

Aggregate capacity in the major ports at the conclusion of Phase-I activities is expected to be 652.30 mtpa, said Mr T.R. Baalu, Minister for Shipping, Road and Highways at a conference here.

Phase-II includes projects to be taken up by 2011-12.

The Phase-I activities are to be funded by budgetary support of Rs 1,350 crore, Rs 8,991crore to be raised by the major ports from their internal resources, Rs 19,112 crore of private investment and Rs 2,518 crore from the National Highways Authority of India, Railways and other organisations.

The major activities listed under first phase include the third container terminal and JNPT, offshore container berths at Mumbai and container terminals at Kandla and Chennai, amongst other port connectivity projects.

Shipping/IWT Sector:

Out of the total investment under shipping/IWT sector, Rs 13,775 crore is expected to accrue from budgetary support and Rs 17,460 crore is expected to accrue from the internal and extra budgetary resources by 2024-25.