The Hindu Business Line : Jindal Group moots plan to acquire CIWTC

The New Delhi-based Jindal Group has floated a river transport company called Jindal Waterways and is planning to acquire vessels to start inland water transport services as early as possible.

“We have mooted a proposal to the Shipping Ministry for acquisition of the Kolkata-based ailing Central Inland Water Transport Corporation (CIWTC),” a spokesman for Jindal Waterways said.

“We will shortly visit Bangladesh to know if suitable vessels are available for sale.”

Confirming the development, Mr P. Tayal, Chairman and Managing Director of CIWTC, told Business Line that senior officials of Jindal Waterways had met with him in this regard.

However, he added, much would depend on the Union Government as CIWTC is a public sector undertaking under the Shipping Ministry.

Right now CIWTC’s assets comprise a riverside shed in the Kolkata Dock System (known as TT shed) and about 40 vessels, some of which, including three tanker barges, have been leased out to other river transport companies.

A large number of other vessels are engaged in various operations, such as lighterage in the Hooghly and river services to Assam, undertaken by CIWTC itself.

In 2006-07, CIWTC, which employs 463 people, transported about 200,000 tonnes of cargo, Mr Tayal said.

Earlier, CIWTC also had a ship-building and ship-repairing yard known as Rajabagan Dockyard.

In July 2006, it was acquired by Garden Reach Shipbuilders & Engineers, the shipyard under the Defence Ministry.

“Some of our vessels need immediate repair but we are helpless now as the captive facilities of Rajabagan Dockyard are no longer available to us,” Mr Tayal said. “The Government should decide fast on the Jindal proposal.”

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