The Hindu Business Line : `The first mainline vessel should be calling at Kochi soon'

With the refurbishment of equipment and better vessels calling at Kochi, the terminal will be able to offer high quality facilities and services, in tune with international standards. MR SURESH JOSEPH, GM, INDIA GATEWAY TERMINAL

India Gateway Terminal has completed one year of operations at Kochi Port. Mr Suresh Joseph, General Manager, IGT, spoke to Business Line on the initiatives taken by the company for a smooth functioning of the Rajiv Gandhi Container Terminal (RGCT) as well as the plans to offer high levels of productivity in the terminal in tune with international standards.

Excerpts from the interview:

What has been the progress of IGT during one year of operations?

IGT focussed on reengineering the product offering at the RGCT and harnessing international work practices and process since we took over the terminal in April 2005. The deployment of personnel was reorganised to align with organisational requirements. Training modules were organised in India and abroad to re-orient the value quotient of the employees.

Work processes were completely revamped to provide a transparent and customer friendly environment. The traffic management was reorganised to ensure safe, smooth and uninterrupted functioning of the terminal. The installation of NAVIS software to provide efficient and effective yard planning has made the system transparent and more credible.

As a consequence of the efforts to put in to improve the various elements of the equation, the productivity of the terminal has improved from 8.3 gross moves per hour in March 2005 to 14 gross moves per hour in April 2006. I am certain that with the completion of the refurbishment of equipment, deployment of additional equipment and better vessels calling at Kochi, the terminal will be able to offer very high levels of productivity and in tune with international standards.

Tell us about last year's traffic and future projections...

The traffic projection for 2005-06 was a throughput of 225,000 TEUs. Against this, IGT achieved a throughput of 203,000 TEUs. The throughput at the terminal crossed 2 lakh TEUs and the growth rate was a healthy 9.2 per cent compared to the historical rate of 6.2 per cent. The throughput projected for the current year is 258,000 TEUS, a growth rate of 30 per cent.

What are the new lines that started operations from Kochi?

We now have two direct sailings to Singapore and Port Klang every week and the frequency of sailings to Dubai and Colombo has also increased. Kochi receives direct vessels from West and East Africa during the cashew season to cater to the raw cashew imports from Africa.

Consistency in operation, increasing productivity and draught availability of 12.5 metres at Q-8 and 9 berths have facilitated discussions with mainline vessel operators for a call at Kochi. We are currently working with shipping lines willing to bring a US, Europe and China service. These discussions are at various stages and we should have the first mainline vessel calling in Kochi soon.

How do you handle the threat of competition from Tuticorin in view of a lot of incentives there to shippers?

In a globalised environment, competition is a reality. IGT is fully geared to face the competition. What IGT offers to its customers is value for money in terms of service and ease of transaction.

What about the steps taken to generate cargo from Kochi?

Regular sales calls are made to prospective customers to generate additional volumes from the immediate hinterland. End-to-end logistics services are being offered to customers along with related service providers.

Two trade meets were held recently at Kollam and Alappuzha. The rail linkage between the ICD Whitefield and RGCT is now a regular weekly service. Concor has agreed to a second train as and when additional traffic warrants the increased linkage. Trade meets will soon be held at Tamil Nadu and Karnataka to sensitise customers to the regenerated RGCT.

How do you view the future of Kochi?

The future of both, the Kochi Port and IGT is extremely bright. There is excellent coordination with the port, the State government and the relevant ministries. This ensures smooth functioning of RGCT and better and assured service levels to our customers.

What do you have to say about allegations of levying various fees in the terminal?

The charges levied at RGCT are in line with the approvals given by TAMP. There is no deviation from this.

This matter was discussed, clarified and resolved with TAMP and the port in the last meeting. But it is a fact that IGT has upgraded facilities and provided a better environment for its customers.

What is the progress of the work on the Vallarpadam project?

The design consultant for the ICTT will be appointed by May 25. All the soil excavation and test pile work have been completed. The design consultant is expected to enable tendering of the construction work by September. The physical works at the terminal are expected to commence by December.

The project site is expected to be re-notified shortly as an SEZ under the newly enacted SEZ Act. The port is in the process of obtaining the requisite environmental clearance.

The rail and road connectivity works are progressing as scheduled with the alignment and funding already tied up. As per the present projection, the terminal will be ready to go on stream by December 2008.