Vallarpadam Port loses out to Colombo on smaller draft, higher charges

With deeper draft, pricing flexibility, Port of Colombo still a tough competitor for transhipment cargo

A relatively smaller draft, high vessel-related charges and a not-so-good location makes it difficult for Indian ports such as Vallarpadam in Kerala to keep tariffs consistently competitive in a market where the neighbouring Port of Colombo draws much higher volumes in the transhipment space.

“Port of Colombo is strategically located, as it is situated on the main trading lane. In comparison, Vallarpadam Port has a difficult location, and shipping lines need to travel a few more miles to come to this port. This means they will have to spend more time and money if they have to use this port