Kandla invites pvt firms to build berths

Kandla Port "" one of the country's largest and oldest ports "" is giving its water front to private companies for the first time. It is inviting private sector participation to develop four new berths, estimated to cost Rs 500 crore, at its barge handling facility at the satellite port of Tuna.

"These four jetties, which would have a capacity to handle 8 million tonnes cargo, would be built through public-private-partnership (PPP) on build-own-transfer (BOT) model," said A Janardhan Rao, chairman of Kandla Port Trust (KPT). The present capacity of Tuna port is one million tonne.

Though the Kandla Port Trust (KPT) has planned 12 new berths at its Tuna port, the first phase of construction will be limited to four berths.

KPT has already short-listed eleven companies for the construction of the new berths. "These are all multinational companies with whom KPT would have a revenue-sharing arrangement," said a senior port official.

"The expansion proposal is now awaiting a final nod from the Cabinet Committee for Economic Affairs, which is likely to come by October," said Rao. After that, price-bids would be invited, he added.

The depth of the Tuna port would be about 17.8 metres, which would enable big ships to bring cargo to Kandla. Incidentally, the draft at Kandla port is 12 metres, which is a deterrent for large cargo ships to berth here. However, plans are afoot to dredge the channel at Kandla creek up to 13.5 metres by the end of the next year, said Rao.

Besides, the development of Kandla port's container terminals is being done by Mumbai-based firm ABG. Along with jetties, ABG has been entrusted with the development of the back up area of 42 hectares.

Additionally, two new product jetties and one single buoy mooring (SBM) for ships carrying crude oil are being developed at Vadinar port, which is also part of Kandla port. The project cost is estimated at Rs 1,000 crore. Currently, Vadinar has three SBMs and one product jetty.

The main Kandla port is a multi-purpose port having 12 jetties both for dry cargo as well as liquid (chemicals, oil). IT has become number one port in the country as of August 31, by having a huge volume of 25.87 million tonnes of cargo imported and exported from here.

Commodiities which are shipped through the port include Basmati rice, wheat, soya, Pyronite, timber, coal, fly ash , crude oil, and petroleum products.

KPT is also starting work on its port-based special economic zone (SEZ) spread over an area of 5,000 hectares around Kandla port itself. KPT would develop the common usage facilities like water, drainage and rest would be developed by the private players interested in setting up exporting units here, said Janardhan Rao.

According to Rao, the SEZ is ideal here because Kandla port area is inhabitable and KPT owns the entire Kandla land. Moreover, the port caters to the rich and vibrant hinterland spread out over 10,000 square metres. It includes Rajasthan, UP, Punjab, Haryana, Delhi and Uttarakhand.