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Kakinada old port braces for a difficult year

Ban on export of non-basmati rice is a big blow


The ban is a big blow to the old port and, if the ban continues, which is likely as the elections are approaching, 2008-09 may be a difficult year.


Our Bureau

Kakinada, April 22 A difficult year is ahead for the old port of Kakinada, as the Union Government has imposed a ban on export of non-basmati rice.

The anchorage port here has been doing exceedingly well for the past three years or so, mainly due to rice exports to Africa and other countries. In fact, more than half of the cargo handled by the old port is rice.

Bulk cargoes

The port handled 4.19 million tonnes (mt) of cargo during 2007-08, with rice accounting for 2.25 mt, fertilisers 1 mt and the rest being other cargoes such as maize.

The ban on rice exports is a big blow to the old port and, if the ban continues, which is most likely as the elections are approaching, 2008-09 may be a difficult year. The cargo throughput may not cross the usual 2 mt or 2.5 mt.

The port, which is under the State R&B Department, earned Rs 20 crore of revenue during the year (2007-08) as against Rs 14 crore during the previous year.

New port activities

The new port at Kakinada — the deepwater port — handled 12.6 mt of cargo during 2007-08, of which transhipment cargo accounted for more than 6 mt and the rest was general cargo.

The fourth berth at the deep-water port has been commissioned recently and, therefore, the port is set to handle more cargo during the current financial year.

Alumina export

At the deep-water port, facilities have been created for export of alumina powder brought in from Orissa by Vedanta Alumina. Export has started on a small scale.

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