This process has been given the blessing of the Indian authorities, who have given permission for foreign direct investment to be increased from 49% to 100%. The money raised via the share issue is needed to fund construction of a new dedicated container terminal which will have an annual capacity of 1.3m TEUs.
Victoria state government is passing legislation to ensure channel deepening at the port of Melbourne can be concluded by 2007. The port, which handles 37% of the country’s box trade, expects to get the environmental go ahead for the project by the mid-year. At present, it can only be accessed via 12 metre draught Port Phillip Bay, preventing 30% of the world’s container vessels from calling. Once the $313.42m dredging programme is completed, draught will be increased to 14 metres.
