‘In­cen­tivis­ing modal shift of cargo’

Ma­ha­rash­tra is keen to de­ploy its long coast­line to boost mar­itime trade and coastal move­ment of cargo, both in its ma­jor and mi­nor ports. Asheesh Sharma, Chief Ex­ec­u­tive Of­fi­cer, Ma­ha­rash­tra Mar­itime Board speaks about the strate­gies and poli­cies be­ing p

Cargo Talk - - Front Page - ABEER RAY

Q What does the Ma­ha­rash­tra Mar­itime Board (MMB) have in store for coastal move­ment of cargo?

The Ma­ha­rash­tra Mar­itime Board has im­ple­mented the fol­low­ing plans to catal­yse coastal move­ment of cargo in the state:

• Prin­ci­ple of ‘On one port, one charge only for same cargo’ Till re­cently, when cargo was im­ported at a par­tic­u­lar non-ma­jor port in Ma­ha­rash­tra, it was shipped to another non-ma­jor port through coastal ship­ping, the wharfage charges were levied at three stageswhen the cargo is im­ported at the first port, when the same cargo is loaded onto smaller ves­sels for ex­port from the first port and when the same cargo is un­loaded at another port. These charges were a fi­nan­cial bur­den on port op­er­a­tors. To pro­mote and in­cen­tivise coastal ship­ping in Ma­ha­rash­tra, the MMB is grant­ing con­ces­sion to port op­er­a­tors by levy­ing ‘On one port, one charge only for same cargo’.

Now, when cargo im­ported in the first port is loaded onto smaller ves­sels for its on­ward trans­porta­tion to other non-ma­jor ports, it will be ex­empted from pay­ment of wharfage charges for the same cargo. When cargo is brought in by smaller ves­sels from one non-ma­jor port at the sec­ond port for its on­ward trans­porta­tion, the un­load­ing oper­a­tions for cargo at the sec­ond port will be ex­empted from wharfage charges.

• In­te­grated de­vel­op­ment of coastal ship­ping and in­land wa­ter trans­port MMB has iden­ti­fied five po­ten­tial creeks on the coast of Ma­ha­rash­tra, namely, Va­sai, Ra­jpuri, Bankot, Dab­hol and Jaigad creeks for de­vel­op­ment and in­te­gra­tion with coastal cargo move­ment. In the first phase, three creeks (i.e. Va­sai, Jaigad and Ra­jpuri) have been short-listed for tech­noe­co­nomic fea­si­bil­ity. • Scheme for In­cen­tivis­ing Modal Shift of Cargo (SIMSC): The Min­istry of Ship­ping, Gov­ern­ment of In­dia has for­mu­lated guide­lines for SIMSC with a view to en­cour­age modal shift of do­mes­tic cargo trans­porta­tion from rail or road to coastal and in­land wa­ter trans­port. The scheme will be im­ple­mented for the re­main­ing pe­riod of the present 12th Five Year Plan. The Ma­ha­rash­tra gov­ern­ment through MMB has com­mu­ni­cated its ac­cep­tance to SIMSC.

Q How does the MMB plan to use the state’s 720 km long coast­line?

MMB has signed six Con­ces­sion Agree­ments with pri­vate en­trepreneurs for de­vel­op­ment of non-ma­jor ports namely, Re­wasAware and Dighi in Raigad Dis­trict, Dhamankhol-Jaigad and An­gre in Rat­na­giri dis­trict and Vi­jay­durg and Redi in Sind­hudurg dis­trict.

Out of these six ports, three ports namely Dighi, Dhamankhol-Jaigad and An­gre are op­er­a­tional. While Vi­jay­durg and Redi ports are in the process of ob­tain­ing en­vi­ron­men­tal clear­ance. The Gov­ern­ment of Ma­ha­rash­tra is in talks with Min­istry of Ship­ping and Mum­bai Port Trust to re­solve the is­sue through Mum­bai Port Trust (MbPT) wa­ters for Re­was-Aware port.

Be­sides these Green­field ports, the Gov­ern­ment is en­cour­ag­ing coastal in­dus­tries to set up jet­ties along the coast to fa­cil­i­tate move­ment of cargo us­ing in­land wa­ter­ways.

Many ves­sels op­er­at­ing on the coast need re­pairs and re­con­struc­tion. There is a need for new ves­sels too. MMB is en­cour­ag­ing pri­vate play­ers to set up ship build­ing and re­pair­ing units along the coast.

MMB is also pre­par­ing a com­pre­hen­sive port pol­icy to ad­dress var­i­ous port re­lated ac­tiv­i­ties for over­all and in­te­grated growth of the coast­line. This pol­icy shall cover all sec­tors in­clud­ing ports, jet­ties, ship­yards, ship­ping, con­nec­tiv­ity and coastal eco­nomic zones. It shall fo­cus on in­creas­ing the ef­fi­ciency of ports through im­prove­ment of hin­ter­land con­nec­tiv­ity and faster mech­a­nism for ap­provals and clear­ances.

Q Please pro­vide de­tails about Wad­hwan Port to be de­vel­oped in Da­hanu.

MMB and JNPT have signed a Mem­o­ran­dum of Un­der­stand­ing (MoU) on June 6, 2015 for de­vel­op­ment of port off Vad­ha­van in Da­hanu Taluka, which will be de­vel­oped as a satel­lite port for JNPT. The port fa­cil­ity will be cre­ated in the in­ter-tidal area off Wa­hawan Point. JNPT is pre­par­ing a techno-eco­nomic fea­si­bil­ity re­port.

Q MMB had inked a deal with JSW Jaigad Port for de­vel­op­ment of Jaigarh-Nivli road. How tough do the time line and the fund­ing seem?

The strength­en­ing and widen­ing of Jaigarh-Nivli road will be un­der­taken to make it dou­ble-laned so that faster evac­u­a­tion of cargo is pos­si­ble. The en­tire fund­ing will be pro­vided by JSW Jaigarh Port and the work is ex­pected to be com­pleted within one year in co­or­di­na­tion with Public Works Depart­ment (PWD). The com­pany has al­ready sub­mit­ted the pro­ject re­port to PWD for the pro­posed road pro­ject. In view of these facts, we do not fore­see any chal­lenges in meet­ing the time line of the pro­ject.

Q Do you fore­see any model whereby some sub­sidy could be of­fered?

Un­der the SIMSC for­mu­lated by the gov­ern­ment for coastal and in­land wa­ter trans­port, the in­cen­tives will be given to trans­porta­tion of bulk or break-bulk cargo per­tain­ing to seven com­modi­ties, viz., fer­til­iz­ers, food grains, mar­bles, tiles, sugar, ed­i­ble salt and over-di­men­sional cargo.

JNPT and Ma­ha­rash­tra Mar­itime Board sign MoU for de­vel­op­ment of port off Da­hanu

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