With the commissioning of International Container Transshipment Terminal and LNG terminal, Cochin port is expected to draw more vessels in the near future, thereby boosting its revenues

Cochin Port Trust (CPT), one of the major ports of the country, is on a growth trajectory. In 2009-10, CPT handled 17.43 million tonnes (mt) of cargo as against 15.49 mt in 2008-09. Although Cochin port witnessed a dip in handling traditional cargo (coal, fertilisers, industrial salts etc), higher volumes of liquid cargo, especially petroleum products, handled by the port compensated for the loss.

The port also registered a growth of 11% in container traffic in 2009-10 by handling 2,89,817 twenty foot equivalent (TEUs) containers, as against 2,60,784 TEUs handled during 2008-09. In this context, Joy Jacob, executive director of Century Shipyard Private Limited, a mid-sized manufacturer of ship parts in Cochin, says, “With gradual economic revival witnessed in the Western markets, the demand for petroleum and other bulk commodities has gone up significantly. Shipping firms are now getting more orders in the bulk segment as compared to 2008-09. A growth in this segment has helped Cochin port to achieve high growth rate.” Cochin port recorded an overall growth rate of more than 12% in 2009-10, which is commendable considering the average growth rate of less than 6% recorded by other major ports operating in the country.

Cargo growth resulting in higher revenues

The increase in total cargo handled by CPT helped it to notch up additional revenue of Rs 6 crore in terms of wharfage charges. Increasing number of vessels venturing the port helped it to earn extra revenues through vessel-related and storage charges. Industry players believe that the finances of Cochin port were also boosted by the number of cruise ships calling at the port. It is to be noted that in 2009-10, the port hosted many cruise vessels and in December 2009, the port achieved a landmark by serving cruise major, Louise Cruises as its home port in the country.

Banking high on ICCT and LNG terminal

Meanwhile, port officials are banking high on the commissioning of the International Container Transshipment Terminal (ICTT) and the LNG terminal, which will further provide a fillip to the port’s activities. According to Jijo Thomas, public relations officer at CPT, “Since ICTT is first of its kind in the country, with its commissioning, most of the India-bound cargo currently transhipped through foreign ports like Colombo will be transhipped through ICTT in the near future. This is expected to increase the cargo traffic of Cochin port. On the other hand, the LNG terminal will facilitate easier movement of natural gas for industrial units located in Kerala and Tamil Nadu.” Mr Thomas also added that the port is constructing a multi user liquid terminal for handling petroleum products of major oil companies.

Various projects undertaken by CPT under National Maritime Development Plan (NMDP) are also progressing well. Mr Thomas further said that Cochin port’s activities have received a major boost with the implementation of enterprise resource planning (ERP) whereby all activities of the ports have been made computerised. Cochin port is the first major port in the country to implement ERP. Meanwhile, the port has set a target of handling 19.11 mt of cargo in 2010-11.

Arup Choudhury