The Hindu Business Line : Increase in iron ore traffic to New Mangalore through road

An increase in railway freight charge for iron ore cargo and the closure of minor ports such as Belekeri and Karwar during the monsoon season seem to have made an impact on the road infrastructure in Mangalore. These days, more number of iron ore-laden lorries are thronging the national highway no. 17 adjoining the New Mangalore port.

Sources in the port agree that the number of iron ore-laden lorries has more than doubled in the past few weeks.

The number of iron ore-laden lorries to the port, which stood at around 800 lorries a day on April 3, went up to more than 1,700 on May 27.

Through railways

At the same time, there is a decrease in the number of iron ore rakes coming via Hassan-Mangalore railway line. Sources told Business Line that on an average, the New Mangalore port now receives one rake of iron ore cargo through railway line as against two to three rakes a day a few weeks ago. One rake transports around 3,700 tonnes of cargo at a time.

Port handling

The port handled 7.29 million tonnes of iron ore fines during 2007-08. Of this, 45 per cent of the iron ore cargo was transported through the railway line.

Mr Shekhar Pujari, Honorary Secretary of Kanara Chamber of Commerce and Industry and President of New Mangalore Port Stevedores Association, said that the movement of iron ore through road has increased in the past few weeks due to two main factors.

Freight charges

A huge increase in the freight charges for movement of iron ore cargo from mines to the New Mangalore through railways is one among them.

There is more than 60 per cent increase in freight charges through railway line in the last few weeks.

Shipping

Sources in the shipping industry said that the cost is around Rs 850-950 a tonne, if the cargo is transported through road.

Another reason for the influx of iron ore-laden lorries to Mangalore is the closure of Belekeri and Karwar ports in Uttara Kannada district during monsoon season. Iron ore cargo handling was stopped at Belekeri and Karwar ports in mid-May.

Diversion

As a result of this, iron ore cargoes from these ports are being diverted to the New Mangalore port through road.

It is learnt that the Chairman and the Deputy Chairman of the New Mangalore ort Trust convened a meeting of port users and all others concerned on Friday to find a solution to regulate the movement of iron ore-laden lorries to New Mangalore.

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