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The trade and industry welcomed the formal orders in relaxing Cabotage rules, saying that it would help Vallarpadam terminal for optimum utilisation of installed capacity.
With these relaxations announced by the Shipping Ministry, the ICTT at Vallarpadam would able to attract more cargo and ships. Now the real challenge is to implement the new amendments on a war-footing without any more delay, K.N.Marzook, Chairman, Kerala Chamber of Commerce and Industry said.
Instead of insisting of 100 per cent X-ray scanning of all containers, now 100 per cent radiological scanning is made mandatory for all containers routed through ICTT, he said.
According to Marzook, this has been made possible after the Chamber delegation met union ministers A.K.Antony and Vayalar Ravi to appraise the gravity of the situation and the urgent need to implement the Cabotage relaxations.
Though the Union Cabinet had cleared the proposal on September 6, he said that there was a pre condition that the relaxation would be subject to 100 per cent scanning for all containers. As a result, ICTT was not able to enjoy the benefits of relaxation till now.
The Defence Ministry later took up the issue with the Shipping Ministry to work out an ad hoc proposal for ICTT at Vallarpadam to enjoy the Cabotage relaxation, he said.
Nishesh Shah, President, Indian Chamber of Commerce and Industry pointed out that the formal orders in relaxing the Cabotage law will help the business community to take advantage of the special dispensation at the ICTT.
The much awaited decision has paved the way for optimum utilisation of installed capacity at ICTT and will throw a host of opportunities in and around the region, he said.
He expressed the hope that the transhipment operations leveraging Cabotage exemption will commence immediately at ICTT, with inbound containers complying with the security procedures at the destination Ports at the ISPS level.
Though 100 per cent radiological scanning of containers may pose initial hiccups, the Chamber felt that the same would be stabilised soon and will be in the best interests of the country in general, he added.
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