The Hindu Business Line : KSINC sees yards of opportunity in boat-building

Instead of concentrating only on ferry services for passengers, KSINC is now foraying into boat-building and tourism as part of its diversification plans. — MR K. N. SATHEESH, MD, KERALA SHIPPING AND INLAND NAVIGATION CORPN.

MR K. N. SATHEESH, MD, KERALA SHIPPING AND INLAND NAVIGATION CORPN.

A rise in the number of orders for boat building, from both within the State and outside, has prompted Kerala Shipping and Inland Navigation Corporation Ltd (KSINC) to acquire more boat yards on lease. Instead of concentrating only on ferry services for passengers, the State-owned KSINC is now foraying into boat building and tourism as part of its diversification plans. The Government of Uttaranchal, for example, recently entrusted KSINC with the preparation of a report examining the scope of water-based tourism there. Mr K. N. Satheesh, Managing Director of KSINC, spoke to Business Line on the new initiatives of the company.

Excerpts from the interview:

What are your plans?

The Corporation is now concentrating on boat construction and promotion of tourism-related activities as part of diversification. Earlier, its primary role was to operate boat services for ferrying passengers from various islands to the mainland. However, the commissioning of several bridges in and around Kochi has led to a drop in ferry passengers and therefore lower revenues for KSINC, which has to look for new opportunities for earnings. We have to concentrate on new areas.

KSINC's present order book position in boat-building...

KSINC is getting encouraging response from various corners for construction of boats. It has on hand orders worth Rs 9 crore to build more than 15 boats of various sizes. These include six steel boats each for the West Bengal Surface Transport Corporation and Kerala's Water Transport Department; houseboats for private resorts outside the State; and 600-tonne barges for captive use as KSINC transports bulk materials on National Waterways. It will take more than two years to execute the orders. Meanwhile, we've received inquiries from London and Iran for construction of barges as well as passenger steel boats.

KSINC has been transporting industrial raw materials such as rock phosphate and sulphur for FACT since 1980, mostly in self-propelled barges. The annual throughput of the bulk raw materials being transported will be about 3.5 lakh tonnes. It also has an ongoing contract for supplying fuel to ships calling at the Kochi Port and the arrangement has been in force since 1989. Right now, we have a capacity of 700 tonnes per day and we're able to undertake outer harbour bunkering as well.

Is the capacity of your yards adequate to execute the orders in hand on time?

The two yards owned by the Corporation in Kochi do not have sufficient capacity to complete the entire work on time. We are, therefore, planning to take over some yards, not in operation right now, in and around Kochi. These idle yards belong to various public sector companies and we propose to negotiate with them shortly for taking over their yards either on long-term or short-term basis. The picture will be clear by the end of this month.

What about the ongoing projects?

KSINC has bagged an order from the Central Institute of Fisheries Technology for constructing a fisheries research vessel at a cost of Rs 3 crore. The vessel is being constructed under IRS class. KSINC is also working on a project report on how to develop water-based tourism in the Tehri Dam Lake in Uttaranchal. The job involves identifying watercrafts suitable for the lake, designing jetties, taking up construction and providing training to staff for operating the vessels. Cruise in Ashtamudi, earlier handled by the Kerala Tourism Department, will now be our job and a vessel, Sagara Rani II, with a capacity of 90 passengers, is being built at a cost of Rs 39 lakh. It will be launched in January.

Your other tour-related initiatives...

The objective of the KSINC is to exploit the immense potential of coastal backwaters of Kerala by launching various tourism-related activities. Accordingly, KSINC has acquired and constructed state-of-the-art vessels for various backwater linked tour schemes. Cruising in the backwaters on such vessels as Sagara Rani, Lake Princess, and Lake Queen has been a wonderful experience for tourists.

Versatility of the vessels and proper cruise plans have helped the Corporation establish its name in the water-linked tourism of South India.

The Corporation is also expanding its operations to Kumarakom in Kottayam district considering the tourism potential of the place. It is proposed to deploy two luxury boats o the Kumarkom Lake. The IWT Terminal Athannermukkom will be used for the purpose.

Any other activity...

KSINC is also running a Navigation Training Centre to address the need for trained and qualified personnel to operate the different kinds of vessels and crafts used in the inland waterways.

A total of 60 students receive the training every year. It also proposes to introduce a course on scuba diving as part of the training programme. The successful candidates, we've no doubt, will have ample job opportunities not only in the traditional boat and barge operations but also in the fast-rowing tourism sector.