Business Daily from THE HINDU group of publications Monday, Nov 27, 2006 ePaper |
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Logistics
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Shipping NMPT banks on rail connectivity
NMPT SIDING: Hoping the extra lines will help
Buoyed by the surge in rail cargo traffic (from five lakh tonnes in 2003-04 to 1.5 million tonnes in 2005-06, and likely to touch two million tonne level in 2006-07), New Mangalore Port Trust is working on a major railway upgrade plan. The plan presupposes, among other things, construction of four new lines in addition to present nine. One pair of lines will be devoted to handling iron ore traffic for exports; thus the project will entail not only the construction of new lines but also creation of mechanised iron-ore handling facilities, complete with installation of tipplers and other equipment and other facilities costing an estimated Rs 130 crore, all on BOT basis. Four firms have responded so far to the tender floated by NMPT. Right now, the road movement accounts for the bulk of iron ore exported through the port. The port authorities are keen that the exporters opt for the cheaper railway mode to move ore to the port. What is causing concern this year is the sharp drop in ore exports by KIOCL. The drop so far this year has been more than two million tonnes over the same period last year.
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