Indias largest container port Jawaharlal Nehru Port Trust (JNPT) is planning to go on a road show next week asking foreign companies to bid for its Rs 1,800-crore new liquid terminal project,JNPTs chairman-in-charge NN Kumar said at The Indian Express Idea Exchange.
We are targeting only global companies to bid for the liquid terminal project. The project will have a capacity of 15 million tonnes per annum, Kumar said. In India other than petroleum companies,no other company can handle the size of this project,he added.
Currently,80 per cent of the ports total traffic comes from containers,while liquid products comprise 20 per cent of total traffic. The planned liquid terminal project will have a liquid jetty and a tank farm. JNPT already has a liquid terminal that is being run by oil refiner Bharat Petroleum Corporation Limited (BPCL).
Regarding the fourth-mega container terminal project,Kumar said the project will be awarded by December. Currently we are finalising on which all companies qualify for submitting the bids. Meanwhile,the government will have to give security clearance to the companies, Kumar said. Eight companies have shown interest to bid for the fourth mega container terminal project. The companies who gave in qualification documents are Adani Group,Essar Group,APM Terminals,Port of Singapore Authority (PSA),Sterlite Ports,DP World,United Liner Agencies and International Container Terminal Services. The container terminal is expected to add 4.8 million TEU (twenty-foot equivalent unit) per annum,helping JNPT achieve its goal of 10.5 million TEUs over the next five years.
Kumar said that shipping ministrys new tariff norms will help spur private investments in the sector. According to the new tariff guidelines,ports are allowed to charge a maximum of 15 per cent above the ceiling rate that would be decided by the Tariff Authority for Major Ports. But this is applicable only for projects that begin after July 31,2013.