State ports plan a sea change in capacity


State government-controlled ports, which collectively handle around half of India's total cargo movement, have submitted capacity expansion plans worth over Rs 2 trillion to the Centre, said officials aware of the matter. These 'non-major' ports will supplement India's plans to increase total handling capacity by four times to 10,000 million tonnes per annum (mtpa) by 2047.

Gujarat aims to develop integrated port cities with an estimated investment of Rs 1.5 trillion, said the people cited above. Andhra Pradesh envisages an investment of Rs 500 billion in the ports sector till 2050. Presentations on the proposed expansion plans were made to the ministry of ports, shipping and waterways over the past few weeks. Gujarat alone plans to have over 2,000 mt handling capacity by 2047. This will mean developing 10 greenfield ports with 500 mt additional capacity. "Gujarat's plan also includes expanding its existing 600 mt port capacity by another 400 mt,". The state will also redevelop 200 mt capacity at ports controlled by the Gujarat Maritime Board. A planned port city will be modelled on Jebel Ali in the UAE, and Rotterdam of the Netherlands.

Andhra Pradesh is eyeing an investment of Rs 500 billion in the ports sector till 2050. Presentations on the proposed expansion plans were made to the ministry of ports, shipping and waterways over the past few weeks. Gujarat alone plans to achieve over 2,000 mt of handling capacity by 2047. This will mean developing 10 greenfield ports with a collective 500 mt additional capacity. “Gujarat’s plan also includes expanding its existing 600-mt port capacity by 400 mt,” a senior official told. Some 200 mt capacity at ports controlled by the Gujarat Maritime Board will also be redeveloped. A port city will be modelled on Jebel Ali in the UAE, and Rotterdam in the Netherlands.

The ports proposal will allow the state to increase its contribution to the gross domestic product (GDP) to around 10%, from 8.3% now. Andhra Pradesh is looking to raise cargo-handling capacity threefold. In addition to developing port cities, Andhra Pradesh also wants to establish a new shipbuilding yard, which will entail developing ship repair clusters. The state has sought relaxed customs procedures to enable direct delivery from airports to shipyards without restrictions. It has also proposed a self-certification scheme for ship repair.

Additionally, proposals for better handling of dredged material, and fixing a price ceiling on the purified sand have been made to the Centre. Kerala Maritime Board is looking to scale up the Ponnani Model, which focuses on extraction of construction grade sand from dredged material from ports. Under this approach, a purification plant is situated close to the port and dredged material is measured and transported by trucks. Product sale and payments to agencies are done online to prevent pilferage.

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