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Port capacity at dismal low; parliamentary panel pulls up govt

Updated: Feb 07, 2014 06:06:05pm
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New Delhi, Feb 7 (KNN)  India’s port capacity is at a dismal low and what is worse is that there are no major projects for expansion of the existing capacity, a parliamentary panel said today, expressing concern over the overall performance of the port sector.
 
In its report, the Parliamentary Standing Committee on Transport, Tourism and Culture noted that there are several issues of mismanagement at the Kolkata Port and Haldia Dock System, while the capacity of the Dredging Corporation most remains unutilized.
 
The infrastructure bottleneck mainly in the port sector remains a bane of the country’s global trade, adding to the avoidable transaction cost.
 
The report questioned the optimism of the Shipping Ministry as regards the capacity utilization of the Dredging Corporation.
 
Further, the Committee in its report said, “present day capacity of the Major Ports is very low vis-à-vis the Maritime Agenda 2020 as the annual capacity addition is merely 6.65 per cent. There are no projects given for capacity addition of the existing ports, rather the capacity addition is being calculated in terms of two new ports yet to be established.”
 
It appears that the targets in this regard are being fixed routinely without any rational basis and no connection with past performance in this regard. The Committee is surprised at the confidence of the Ministry to achieve the target fixed for the year 2013-14.
 
Under the circumstances, the Committee felt that overall performance of the major ports need serious consideration in terms of their performance parameters and a policy need to be adopted for expansion and modernization of the major ports.
 
The committee also drew attention to several complaints about the mis-management occurring in the Kolkata Port and Haldia Dock System, calling for examination of the matter in detail.

With regard to the capacity of the Dredging Corporation of India Ltd which mostly remained non-utilized in the previous year, it said that the concerned authorities do not seem very concerned about the matter.   

The Committee feels that Ministry's opinions in respect of full capacity utilization of DCI in 2013-14 are misplaced. The DCI has been in bad shape for so many years in the past and every year the same reply/argument is given to the Committee.
 
Further, the Committee noted that the Shipping Corporation of India has not managed to enhance its earnings so far up to the 2008-09 level after a steep fall in earnings during 2009-10.   However, it hopes that there will be no let-up in SCI's endeavours to make profits in the coming years.

In addition, the Committee expressed its apprehensions about involving PPP only to the commercially viable stretches on National Waterways. (KNN/ES)

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