KANDLA ACCELERATES EXPANSION

Kandla is speeding up its € 946m expansion programme in an attempt to boost cargo handling capacity by 32.4m tonnes over the next five years which will give it a total capacity of 73.6m tonnes. This will require the construction of new berths, the development of a satellite port at Tekra (near Tuna), deepening of the draught and implementing other port connectivity projects.

Kandla: developing a new satellite port

As readers of PS will have noticed, South Asian port development projects – India in particular – almost warrant their own news department in the magazine. Nevertheless, berth congestion appears to be on the increase at major ports throughout India. For the nine months ending December 2005, the average vessel turnaround time was 3.53 days compared with 3.41 days (2004-05) and 3.45 days (2003-04). In addition, pre-berthing times at major ports have gone up from 4.86 hours (2003-04) to 6.03 hours (2004-05) and thence to 9.16 hours in April-December 2005. During the last calendar year, cargo handled by major ports grew by 12.4%, perhaps explaining the increasing congestion.

€145m government support is to be sought, whilst an additional €38m wil be raised internally.

By 2011-13, the current 14m tonnes of dry bulk cargo is expected to reach 25m. Two new berths capable of handling 8m tonnes are to be commissioned by mid-2008. Government support is also being sought to build a new container terminal. Over the next three years, the draught of the port will be deepened from 11.5 to 13.5m, whilst €27m will be spent on improving port rail connections.