Traffic and Capacity at Major Ports In the domain of Port, the term Traffic is the total cargo handled at a port in a given time say per annum. On the other hand, capacity of a port is the total cargo that it can handle per annum.   At Tuticorin Port on 9th July 2004 to inaugurate Silver Jubilee Celebrations   The major ports witnessed a lot of ups and downs in the traffic growth pattern during the post independence period of the last six decades. The compound annual growth rate (CAGR) is a fair indicator of traffic growth pattern. The overall CAGR of traffic at the major ports during 1950-51 to 2003-04 had been 5.51%, whereas during the post liberalization period from 1991-92 to 2003-04 it was 6.74%. The traffic growth at the major ports improved steadily during the regime of Thiru T.R. Baalu. The total cargo handled at the 12 major ports during 2007-08 was 520 million tonnes, which is an increase of 50% over 345 million tones of cargo handled in 2003-04. During the first four months of 2008-09, major ports handled 178 million tonnes of cargo as against the corresponding figure of 164 million tonnes in 2007-08 registering a growth of 8.5%. Aggregate cargo handling capacity at 12 major ports increased during the regime of Baalu by over 36% from 390 million tonnes per annum (MTPA) as on 31.3.2004 to 532 MTPA as on 31.3.2008. Container Terminals The growing trend the world over is transportation through container system, which offers great convenience and safer movement of goods to and from ports. This area received major focus of the Department during the period of reporting. Several projects of modernization of old and construction of new terminals were approved during Baalu’s regime as Minister of Shipping. International Container Transshipment Terminal (ICTT) at Kochi Port The foundation stone of the project was laid by the Hon’ble Prime Minister on 16.02.2005. The Project was to be implemented on build, operate and transfer (BOT) basis by M/s. Dubai Port International, Dubai (DPI). Kochi Port Trust has already handed over the Rajiv Gandhi Container Terminal (RGCT) to the BOT operator on 1.4.2005. The construction commenced in December 2007. The project involved deepening of the navigational channel so as to receive ships of over 8000 TEUs (Twenty Feet Equivalent Units) On completion, ICTT was to become country’s biggest container terminal with a capacity to handle 3 million TEUs of container cargo per annum.   Hon’ble Minister at proposed ICTT site at Kochi Port on 14th October 2004 ICTT would require a smooth and efficient Rail-Road connectivity. This component had been approved in Baalu’s period at an estimated cost of Rs.245.67 crore and Rs.557 crore on 22nd March, 2007 and 12th April 2007 respectively.   Hon’ble Minister at proposed ICTT site at Kochi Port on 14th October 2004 Container Terminal at Kandla Port Licence agreement between Kandla Port Trust and M/s ABG Heavy Industries Ltd., Mumbai for development and operation of container terminal on BOT basis was signed on 23rd June 2006. The terminal, with a capacity of handling 6 lakhs TEUs per anum is operational since March 2007. Third Container Terminal At Jawaharlal Nehru Port The proposal for award of contract for the redevelopment of Bulk Terminal into Container Terminal project on BOT basis was approved during T.R. Baalu’s regime on 22.6.2004. The Jawaharlal Nehru Port Trust had signed the License Agreement 10.08.2004 with Gateway Terminals India Pvt. Ltd., a joint venture company formed by Maersk A/S-CONCOR Consortium. The terminal with a capacity of handling about 1.3 million TEUs of container traffic per annum became fully operational since November 2006. Second Container Terminal At Chennai Port Licence Agreement had been signed on 7.3.2007 for development of a Second Container Terminal on BOT basis at Chennai Port at an estimated cost of Rs.495 crores, with PSA-SICAL Consortium. With the provision of state-of-art facilities, the project was aimed to facilitate Chennai Port's growth into hub port. Iron Ore, Coal And Marine Liquid Terminals at Ennore Port Licence Agreement signed by Ennore Port Ltd. with private operators for development on BOT basis of a 3 MTPA capacity Marine Liquid Terminal, 8 MTPA capacity Coal Terminal and 12 MTPA Iron Ore Terminal. The estimated capital costs of these three projects were Rs.200 crore, 300 crore and 500 crore respectively ESSAR Oil Jetty and SPM at Vadinar, Kandla Port ESSAR Oil Jetty and SPM having a capacity of 12 million tonnes were operationalised at Vadinar at Kandla Port at total cost of Rs.750 crores. Channel Deepening Projects The available depth in entrance/approach channels in Indian Ports is inadequate for large size new generation vessels. As a result, the mainline vessels bypass Indian ports. This is a major constraint for container vessels leading to transshipment of a significant part of Indian origin/bound container traffic in neighbouring ports outside India and thereby increasing the transportation cost for Indian trade. With a view to addressing this issue, Baalu initiated a comprehensive plan of deepening of navigation channels at various major ports as briefly given below: Each Major Port to preferably have minimum four lane road and double line rail connectivity within a fixed time frame. Rail connectivity project to the major ports at Haldia, New Mangalore, Kandla and Jawaharlal Nehru Port completed by the Railways. Road connectivity projects to Visakhapatnam Port completed. Works in 8 Rail connectivity projects (Haldia, Paradip-2 projects, NMPT, Kandla-2 projects, JNPT and Tuticorin) and 10 ongoing road projects (Haldia, Paradip, Vishkhapatnam, Chennai-Ennore, Tuticorin, Cochin, NMPT, Mormugao, JNPT-2 projects) are various stages of implementation. Tsunami Rehabilitation Programme The deadliest natural disaster of Tsunami generated in the Bay of Bengal and Indian Ocean on 26th December 2004 had extensively damaged the port facilities and vessels. Damage caused to the vessels and facilities at the Andaman & Nicobar Islands was more severe. Considering the severity of the problem, T.R. Baalu ordered the following initiatives towards a massive rehabilitation programme of the area. Funds amounting to Rs. 897.31 crores were approved during 2005 to 2008 for various rehabilitation programmes in Andaman & Nicobar group of Islands. For other ports/organizations, namely, Chennai, Vishakhapatnam and Tuticorin Port Trusts, Minor Ports Survey Organisations and National Maritime Academy an amount of Rs.31.02 crores was approved. Rehabilitation work of Breakwater in Hut Bay in Little Andaman and development of Junglighat harbour Phase II were sanctioned with an estimated costs of Rs.80.98 crore and Rs.78.93 crore respectively. Public Private Participation in Port Infrastructure In tune with the policy of economic liberalization, Baalu opened up major ports for private sector participation. The move aimed at mobilizing additional resources, improving efficiency, productivity and quality of service and bringing competitiveness in port services. During his regime a number of projects involving private sector investment became operational. Web Based EDI (Electronic Data Interchange) - Port Community System (PCS) Port Community System (PCS) is intended to integrate the electronic flow of information and function as the centralized hub for all the major ports of India and other stakeholders through a common interface. The first phase of the project consisting 31 messages covering vessel and container related messages among Ports, Shipping Agents, Shipping/Container Lines, Container Freight Station and Customs House Agents were made live in August 2007 at pilot ports (Mumbai and Jawaharlal Nehru) and other major ports made these messages live by September 2007. The second phase consisting 17 messages covering Transport, Cargo and Finance related and e-payments was to link Banks like HDFC, ICICI, IDBI, SBI, UTI, Indian Bank, AXIS Bank and Union Bank of India directly with the ports.