Wednesday, June 12, 2013

Dinesh Kamath's news item 'JNPT is facing tough challenges - many projects yet to be implemented' that was published in Newsband


JNPT is facing tough challenges
Many projects yet to be implemented
By Dinesh Kamath
NAVI MUMBAI: India's largest container port, Jawaharlal Nehru Port (JNP) in Navi Mumbai, is facing challenges like implementing of its planned projects on time, improving connectivity and the problem of falling tariffs.
JNP came up in 1989 and the Jawaharlal Nehru Port Trust (JNPT) has been managing it. This port handles around 60 per cent of the country's container cargo. Many more ambitious projects had come up on the papers so that it could handle more container cargo. But these projects have not yet been implemented in spite of the fact that so many years have passed. The last project that was implemented was the Gateway Terminals. That was ten years back. Since then no new project has taken off.
The port's projects, which include Rs 8,000-crore fourth container terminal, a Rs 28,000-crore mega container terminal, a 30 million tonne liquid cargo berth and a 2,500-acre special economic zone, are yet to be implemented.
The biggest challenge is not just timely implementation of projects, but also improving connectivity through water, road and rail.
Some top officials of JNPT are of the opinion that JNP should be corporatised and given the independence to take its own decisions, only after which the projects will take off speedily.
Overall trade in the country has come down and ports, including JNP, saw a six per cent drop in cargo handled during April 2013, compared with last year.
Another problem is that the Tariff Authority of Major Ports has forced tariffs down by 44 per cent. As if this was not enough, JNP has also been facing a tough competition by a neighbouring non-major port, Mundra in Kutch.
The positive side is that the port has completed the first phase of its Rs 9,500-crore dredging project. This project shows promise of soon enabling large container ships to come to the port.


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