The Hindu Business Line : CMA CGM to operate higher capacity vessels to India from 2009

Kolkata, June 27 CMA CGM, the world’s number three and France’s number one container line, proposes to increase the capacity of its EPIC (Europe Pakistan India Consortium) service from 2009 when the 4,200-teu vessels currently operating on the route will be replaced by higher capacity 6,500-teu vessels.

Giving this information here on Friday, Mr Marc Bourdon, Managing Director of CMA CGM Global (India) Pvt Ltd, said India was one of the key countries, along with China, Vietnam and Brazil, receiving a good deal of attention in the French line’s policy matters.

Strong growth

The shipping line’s business growth in India had been impressive at around 30 to 40 per cent. “In 2007, our throughput in Indian ports was 5,80,000 teus, likely to rise to 8,00,000 teus in the current year”, he said.

CMA CGM, as Mr Bourdon pointed out, offered as many as 12 direct services to and from India including one feeder service from Kolkata/Haldia to Port Kelang. “This is the largest number of direct services offered by any line out of India,” he said and pointed out there were plans to invest heavily in infrastructure.

“We already have an ICD at Dadri and propose to invest in several other projects including terminals here,” he said, while addressing the annual general meeting of the Calcutta Freight Brokers Association.

Capacity crunch

He, however, cautioned against the problem likely to be faced as a sequel to the mismatch between the port capacity and the burgeoning container throughput. In 2007, total container throughput in India ports was 7.5 million teus, likely to rise to nine million teus in the current year. He was not sure if the Indian ports, with their present infrastructure, were really geared to handle that kind of traffic volume.

“Jawaharlal Nehru port is choc-a-bloc and the trade, shipping lines, freight brokers and freight forwards therefore must find out alternative gateways to handle the projected increase in traffic”, he said emphasizing the need for convincing the trade “to change the old habit”. The challenge needed a common approach with participation of all concerned, he added.