INDIA: Major ports in the country are likely to achieve better growth in the current financial year compared to last year on the back of domestic requirements of coal for power sector, crude oil and other cargo. However, their growth rate would continue to be less than the non-major ports, according to ICRA.
The 12 major ports in the country registered a modest growth of 4.7 per cent in cargo volumes to 581 million tonnes in FY15, on account of relatively weaker cargo performance. Non-major ports, on the other hand, recorded a 10 per cent growth throughout on a year-on-year (y-o-y) basis to 462 million tonnes in 2014-15. Overall, according to ICRA estimates, total cargo handled at Indian ports have registered a modest increase of 5.4 per cent last year to 1,043 million tonnes from 976 million tonnes during 2013-14.
Speaking to Business Standard, K Ravichandran, senior vice-president and co-head, corporate ratings, ICRA, said, “In the last financial year, the growth at major ports was pegged down, due to continuing mining restrictions in major states like Karnataka, Goa and Odisha and other policy measures such as imposition of export duty. Apart from petroleum oil and lubricants segment, all other cargo categories, including containers, fertilisers, coal and others showed growth in volumes at major ports. However, this year we are anticipating the growth would be better than last year on the back of domestic requirements of coal for power sector, crude oil and other cargo.”
