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Two competing ports in the vicinity are among 4 bidders in the fray for a slice of Paradip port, one of the fastest growing ports in the country.
The Gujarat-based Adani Group, which recently announced its decision to acquire nearby Dhamra Port,and the DVS Raju-owned Gangavaram Port in Andhra Pradesh, along with Essar and Sterlite, are among the four bidders who want to develop about 22 million tonne capacity for Paradip Port by mechanising berths there. The project involves mechanisation of three berths — EQ1 to EQ3 — at a cost of about ₹1,651 crore.
Asked if such a situation would lead to conflict of interest, SS Mishra, Chairman, Paradip Port, replied in the negative.
“When these projects are bid, there is minimum traffic handling guarantees involved, for which they have to share revenues,” he said.
Paradip Port, which has the largest capacity among major ports, hopes to add 10 million tonne of cargo handling capacity this fiscal, taking its total capacity to 118.5 million tonne a year. Major ports come under the Union Government. Paradip Port has already attained a capacity to handle 108.5 million tonne cargo a year as on March 31 this year, which is the highest among all major ports.
Mundra Port, a non-major port under the Gujarat Government, owned and operated by the Adani Group, has a capacity to handle 165 million tonne cargo a year.
In terms of cargo handled, Paradip handled 68 million tonne of cargo in fiscal 2014, which was the second highest after Kandla among major ports.
The volumes showed an over 20 per cent growth against cargo handled by the port, which was the second fastest growth rate handled by a major port.
Paradip clocked total revenue of ₹1,068 crore during fiscal 2014, a 34 per cent growth against last fiscal.
The operating revenue was at ₹915 crore, up 38 per cent.
The port handled an all-time high cargo of 68 million tonnes in 2013-14, driven by higher movement of thermal coal, petroleum products, coking coal and iron ore exports.
(The writer was in Bhubaneswar at the invitation of Paradip Port. )
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