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Of late, the ₹7,500 crore Vizhinjam port project in Kerala is facing turbulent weather following massive protests by local residents including fishing communities. The situation forced the project’s promoters Adani Ports and Special Economic Zone to stop all construction activities at the site since August 16.
The work on the deep-water multi-purpose port commenced in December 2015.
The month-long agitation has forced the management to approach the Kerala High Court which directed the State government to provide necessary police protection to carry out the construction works. The company is now looking at government efforts to re-start the work.
Seeking solatium
Putting the daily loss at ₹2 crore due to work stoppage, industry sources said that agitations would delay the commissioning of the project from its expected timeline of 2024. Adani Ports is reported to have sought compensation from the Kerala government for the loss.
The fisherfolk under the banner Latin Catholic Archdiocese of Thiruvananthapuram started the agitation alleging that construction works have resulted in coastal erosion on the port’s northern side, affecting their livelihood. They demanded stoppage of all works until a fresh scientific study is undertaken on environmental and social aspects. The State government has set up a committee to examine whether there was coastal erosion during the ongoing construction of the project.
A company spokesperson said they are awaiting the government nod to restart the work. Of the 2,960m long breakwater, about 1,400m has been completed which includes the piling works for berth construction. The remaining work is expected to start in October and the 400 m first berth is likely to be ready by May 2023.
Port development
Prakash Iyer, Chairman, Cochin Port Users Forum said Vizhinjam with a natural draft of 20m is being developed as a container transhipment port to compete with Colombo. The port’s proximity to the international shipping channel at 12 nautical miles offers direct access to several trade routes.
Munshid Ali of Kerala Exporters Forum said that cargoes from Malabar region can be transhipped from Vizhinjam by feeder services connecting minor ports. The current annual cargo from Malabar is around 15,000 twenty-foot boxes for which the trade is dependent on Kochi, Chennai and Thoothukudi for transhipment from the Colombo port. The authorities should take steps to develop minor ports in Malabar to make them as a satellite port of Vizhinjam for feeder services.
TP Salim Kumar, CEO, Kerala Maritime Board, said there will be a paradigm shift in cargo movement once the Vizhinjam terminal becomes a reality. The government has plans to improve coastal connectivity as part of shifting 20 per cent of the cargo from roads to seaways. “We are in the process of developing five minor ports to equip them for coastal cargo movement.”
The Board held discussions with Cochin Shipyard to construct a new 120 TEU capacity vessel for coastal cargo transportation, considering the outgo of ₹10 crore as coastal shipping incentives every year, he added.
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