Port privatisation to get push.

Development of Visakhapatnam port as a landlord port will be a reality soon with the Union Budget laying emphasis on fast-track clearance to PPP projects.

Visakhapatnam port is investing nearly Rs. 14,000 crore on mechanisation mostly in PPP mode to face competition. The budget promises to encourage port-based activity at Kakinada with special focus on hardware manufacturing.

The budget has raised hopes among private investors due to thrust laid on PPP mode though many of private players expressed their anguish at not getting many incentives. There is no clarity on where 16 ports promised by the government will be located.

End of Tariff Authority for Major Ports (TAMP) regime to create a level-playing field to compete with minor ports and tax concessions as sought by the private berth operators seems to have been ignored. The demand for relaxation of Cabotage law to promote domestic transport also does not find a mention.

'Though transport and logistic sector is being encouraged with some policy incentives, there is nothing specific to cheer,' MD of Sravan Shipping G Sambasiva Rao told The Hindu.

'On the other hand massive privatisation would pave the way for downsizing,' senior trustee of Visakhapatnam port V.V. Rama Rao said.


THE HINDU