Port development a must to accelerate trade
Updated: Mar 11, 2014 04:28:29pm
New Delhi, Mar 11 (KNN) A high level national transport development policy committee has said that major proactive action is required in port development to ensure India does not continue to punch below its weight in international trade.
The committee headed by former Secretary, Department of Economic Affairs and Deputy Governor, Reserve Bank of India, Rakesh Mohan has recommended the establishment of 4-6 mega ports over the next 20 years with 2-3 on each coast. It has also proposed the adoption of the concept of landlord port and corporatization of the existing port trusts, according to official data.
As far as the current situation is concerned, India’s share of world trade is projected to increase from 0.8 per cent to 1.5 per cent in the next 20 years. Currently, there is no comprehensive and coherent strategy for location of ports in the country or an overall investment programme in these ports.
In comparison, each of the world’s major economies have a few mega ports that are well-connected with inland transport system; while at present India has no such mega ports. As a result a good proportion of India’s maritime trade is transshipped in Colombo or Singapore.
The Government of India has set up a high level National Transport Development Policy Committee to create a policy environment that encourages competitive pricing and coordination between alternative modes of transport in order to provide an integrated and sustainable transport system. The framework that national governments provide for the transport sector largely determines the level of cost and efficiency in transport operations.
The members of the Committee include Secretaries of all the Ministries associated with the development of transportation along with the leading experts in the field.
An efficient, reliable and safe transport system is vital for fostering rapid economic growth. Despite significant development of all transportation modes over the decades, transport capacity has not developed adequately in the country. This has led to increasing congestion, asset deterioration and high levels of energy consumption, pollution and accidents. Moreover rural areas have inadequate connectivity hampering rural economic growth.
The transport system comprises a number of modes like the railways, roads, air and shipping. The capacity of each mode has to be developed in a balanced fashion for ensuring harmonious development of the overall transport system including an appropriate mix between private and public modes of transport so as to optimize energy consumption and efficiency. Choice of modes is also influenced by pricing of hydro carbon fuels apart from adequacy and efficiency of transport services. (KNN/ES)
The committee headed by former Secretary, Department of Economic Affairs and Deputy Governor, Reserve Bank of India, Rakesh Mohan has recommended the establishment of 4-6 mega ports over the next 20 years with 2-3 on each coast. It has also proposed the adoption of the concept of landlord port and corporatization of the existing port trusts, according to official data.
As far as the current situation is concerned, India’s share of world trade is projected to increase from 0.8 per cent to 1.5 per cent in the next 20 years. Currently, there is no comprehensive and coherent strategy for location of ports in the country or an overall investment programme in these ports.
In comparison, each of the world’s major economies have a few mega ports that are well-connected with inland transport system; while at present India has no such mega ports. As a result a good proportion of India’s maritime trade is transshipped in Colombo or Singapore.
The Government of India has set up a high level National Transport Development Policy Committee to create a policy environment that encourages competitive pricing and coordination between alternative modes of transport in order to provide an integrated and sustainable transport system. The framework that national governments provide for the transport sector largely determines the level of cost and efficiency in transport operations.
The members of the Committee include Secretaries of all the Ministries associated with the development of transportation along with the leading experts in the field.
An efficient, reliable and safe transport system is vital for fostering rapid economic growth. Despite significant development of all transportation modes over the decades, transport capacity has not developed adequately in the country. This has led to increasing congestion, asset deterioration and high levels of energy consumption, pollution and accidents. Moreover rural areas have inadequate connectivity hampering rural economic growth.
The transport system comprises a number of modes like the railways, roads, air and shipping. The capacity of each mode has to be developed in a balanced fashion for ensuring harmonious development of the overall transport system including an appropriate mix between private and public modes of transport so as to optimize energy consumption and efficiency. Choice of modes is also influenced by pricing of hydro carbon fuels apart from adequacy and efficiency of transport services. (KNN/ES)
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