The Hindu Business Line : `Coastal shipping key to economic growth'

Visakhapatnam March 12 Coastal shipping is crucial for the economic growth of the country, as road and rail networks are already overburdened and are much more expensive, according to Mr Y. Sivasagara Rao, Chairman and Managing Director of the Visakhapatnam steel plant.

He was speaking at the Visakha container terminal on Monday after flagging off the first container of the Rashtriya Ispat Nigam Ltd (steel plant) products from here to Kolkata. Seaways Shipping is carrying 1,000 tonnes of steel products from here to Kolkata.

Mr Sivasagara Rao said India had a coastline of well over 7,000 km and it should be put to use fully.

"If we have to sustain the present growth rate of 8 to 9 per cent, we have to focus on coastal shipping," he said.

Mr K. Ratna Kishore, Chairman of the Visakhapatnam Port Trust, said coastal shipping would get a great boost after the completion of the Sethusamudram channel project.

"Coastal shipping is much cheaper. It has to be encouraged. I feel the State Government should build infrastructure in the 186 minor ports in the country to facilitate coastal shipping," he said.

He said the rates in the ports would have to come down, and added that the Vizag port too, would strive in that direction.

Mr D. Sugantharaj, Chief Operating Officer, Visakha Container Terminal Pvt Ltd, said the terminal, launched in 2003 with 17,000 TEUs, could triple the throughput.