Published On:April 3 2013
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Kochi Ports's cargo terminal project fails to get partner over tariff
The Kochi Port's bid to get private investors to develop a bulk cargo terminal has failed as the regulator-determined tariff is said to be uneconomical.
The port had proposed to develop the terminal exclusively to handle coal and fertiliser at the existing berths at Ernakulam wharf, which were underutilised following the shifting of container terminal operations to Vallarpadam.
Though five firms had responded initially, none of them finally put in their bids as the rates fixed by TAMP for coal handling was said to be too low.
The rates fixed by TAMP at Kochi are at Rs 106.24 a tonne while in Vizag, the rate was Rs 158.98. The rate at Mormugao Port is Rs 183 and the rates in the two terminals of Tuticorin were at Rs 135. 32 per tonne and Rs 113.72, respectively.
The rates fixed for Kochi are too low and it would be difficult to attract potential bidders for the project, the officials said.
Source: Hindu Business Line