Business Daily from THE HINDU group of publications Saturday, May 03, 2008 ePaper | Mobile/PDA Version | Audio |
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Industry & Economy
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Petroleum Logistics - Shipping Diesel shipments from Assam to Bangladesh stay suspended Santanu Sanyal Kolkata, May 2 The barge movement of diesel from Assam to Bangladesh has remained suspended for four months now mainly due to the time being taken by the Union Government to declare Silghat on the Brhamaputra river as the loading port. In December last year, four trial shipments totalling 3,400 tonnes, did take place between Silghat and Baghabari (near Sirajgunge in Bangladesh) and four barges, two each from India and Bangladesh, participated in the movement. The trial shipments took place on the strength of temporary permission, valid till December 31, 2007, granted by the Union Government. According to the agreement signed in May last year between BPCL and Bangladesh Petroleum Corporation, Numaligarh refinery was to supply 10,000 tonnes of diesel every month to Bangladesh till December 31, 2007. Although the agreement was signed in May the temporary permission declaring Silghat as the loading port became available in November. Pandu ‘not suitable’Pandu, near Guwahati, on the bank of the Brhamaputra river, is already the declared port for the purpose of India-Bangladesh trade by the river route. However, Pandu is not considered an ideal location for loading Numaligarh refinery’s diesel. First, it is far away from the refinery; more important, it is heavily congested and the facilities for handling petroleum traffic there, are believed to be limited. Hence, the need for a new loading port and Silghat, about 100 km from the refinery, has been identified as most suitable for the purpose. From the refinery, diesel is brought to Silghat by road. The refinery authorities are not sure when the shipments will resume. Even if the Government permission is obtained soon, the completion of other formalities will take time. For example, the agreement with the Bangladesh authorities have to be renewed as the earlier agreement is no longer valid. Next, more barges, preferably of higher capacity, have to be mobilised if the targeted throughput of 10,000 tonnes a month is to be achieved. More Stories on : Petroleum | Shipping
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