CHAPTER 4 CASE STUDIES on JAWAHARLAL NEHRU PORT TRUST (JNPT) and CHENNAI PORT 4.1. Background of Container Ports 4.2. Jawaharlal

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CHAPTER 4 CASE STUDIES on JAWAHARLAL NEHRU PORT TRUST (JNPT) and CHENNAI PORT 4.1. Background of Container Ports 4.2. Jawaharlal CHAPTER 4 CASE STUDIES ON JAWAHARLAL NEHRU PORT TRUST (JNPT) AND CHENNAI PORT 4.1. Background of Container Ports The container port is specialized to handle the inflow and outflow of containers into the port. Container ports are complex organizations carrying out a variety of operations at the same time. However, loading and unloading of containers from container ships is the major operation in any container port. The other major operation is the movement of containers from the quay area or berth area of the ships to the container yards. The simultaneous handling of various operations in a container port involves various agencies such as port authorities, container terminal operators, and customs authorities. The major function at a container port consists of loading export containers on to the vessels and unloading import containers from the ships. Also some of the containers are unloaded and loaded on different vessels for the transshipment operation. The container port requires different types of container handling equipment for its operations. The container port requires berths where container vessels dock. These berths are equipped with quay cranes meant for loading and unloading of containers from the ships. These can be mainly defined as the quay operations. The container port is also equipped with yards for storage of containers. These include the export yards from which containers are moved from the yard to the ship and import yards where containers are unloaded from the ships and carried to the import yard. 4.2. Jawaharlal Nehru Port Trust Case Study JNPT was established on 26th May 1989 with the goal of creating a world-class port in India. It is situated at latitude 18056'43" north and longitude 72056'24" east along the easterly shore of Mumbai Harbor off Elephanta Island, Navi Mumbai. The port is having draught up to 14 meters and land area of 2584 hectares. JNPT handles containers, liquid bulk & general cargo. Jawaharlal Nehru Port was commissioned on May 26, 1989. It was set up as a new port to cover the heavy traffic congestion already being faced by the Mumbai Port Trust. JNPT Port was set up on the twin’s islands of Nhava and Sheva in an area which basically consisted of marshy land. JNPT is serving the geographical area of 42 Maharashtra, Madhya Pradesh, Gujarat, Karnataka and also a large part of Northern India. It has good inland connectivity with a network of container freight station (CFS) and Inland Container Deports (ICD). The ICD’s are connected by rail network to JNPT. There is further planned to improve this connectivity by the setting up of the Dedicated Freight Corridor project. JNPT Port serves as a gateway port for West India handling a vast variety of export goods as well as import goods into the country. The port has today progressed to a level of handling container traffic of more than 4 million containers (TEUs) per annum and handled 4.26 million TEUs in the year 2012-2013.JNPT Port is the leading container handling port in India, which handles approximately 55% of the container traffic from India. JNPT currently has 3 container terminals. The three container terminals are equipped with varies infrastructure facilities which are given in detail below. Container Terminal Facilities: Container Terminals JNPCT NSICT GTICT TOTAL Quay Length (Mtrs) 680 600 712 1,992 Draft (Mtrs) 12.5 12.5 12.5 -- Capacity (In Million TEUs) 1.1 1.2 1.8 4.1 Reefer Plugs (Nos) 390 772 880 2042 RMQCs (Nos) 8 8 10 26 RTGCs (Nos) 18 29 40 87 RMGCs (Nos) 5 3 3 11 Tractor Trailers 130 150 90 370 Backup Area - In Hectares 61.80 26.46 54 142.26 (Container Yard) Reach Stackers 10 3 4 17 Railway Siding Tracks For ICD 4 2 3 9 Yard Capacity (TEU's) 35000 24,888 26,000 85,888 Source: JNPT Port Website www.jnport.gov.in/ Liquid Cargo Terminal: JNPT is equipped with a liquid cargo terminal which has been built on the basis of a Public Private partnership. It can accommodate a ship with 1, 00,000 tonnes on the outer berth which has a draft of 13.5 meters. The inner berth can accommodate a ship with 45,000 tonnes and has a draft of 12 meters. The liquid cargo terminal mostly handles crude oil imports from the gulf countries. 43 4.2.1 Future Plans/Ongoing Projects The port has several projects lined up for the development of the port which include setting up of a logistics park, construction of a container terminal which can handle 0.8 Million Containers, dredging operations to increase the draft of the port, improving road and rail connectivity, and setting up of a centralized park plaza. Development of Multimodal Logistics Park in JNPT: The JNPT port is looking at setting up of a Special Economic Zone adjacent to the port. The government will develop the basic infrastructure for the Special Economic Zone. This will consist of leveling the ground, construction of internal roads, and provision of water and electricity. The Special Economic Zone basic infrastructure is expected to be completed by 2019. The private companies will be encouraged to set up SEZ units which will be entitled to all the economic benefits available in the Special Economic Zone. The land will be given on lease period of 30 years and more to the companies. The close proximity of the port will facilitate easy Exports and Imports for the SEZ units.es (IT and el and Textiles Sectors. Development of a Standalone Container Facility of 0.8 Million TEU: In view of the expected growth in container traffic the immediate capacity is planned as a 0.8 Million TEU’s container terminal adjacent to the three berths already present in the government owned Jawaharlal container port terminal. The Port has entered into a concession agreement with DP World Pvt. Ltd. The project cost is Rs 600/- Crores and it will be completed by 2017. Deepening and widening of JNPT Port Channel: The dredging operations at JNPT Port have brought the port draft to a depth of 14 meters, from the earlier draft of 11 meters. In the second phase the dredging operations will be carried out to increase the draft to 15 meters. The third dredging phase shall deepen the channel to 17 meters. The dredging project proposal has been prepared by M/c TCE and Ernst and Young and will be ready for bidding by different parties. The key benefit of carrying out dredging operations is that it allows bigger vessels to visit the port. 44 Road Infrastructure: The port is connected with the three major highways which are Mumbai-Pune, Mumbai-Goa and Mumbai-Agra highways. The plan is to convert the connecting road from the port to the highways from 4 lanes to 12 lanes. This will improve the last-mile connectivity with JNPT Port. Also road connectivity between the three container terminals of JNPT Port will be improved. This includes inter-terminal trucking system linking all the terminals of the port. This includes automation of the port entry gates to reduce the waiting time for containers to enter the port and will thereby reduce the road congestion. JNPT Port is working on a Rs 1800 /- Crore road project to offer seamless connectivity for trucks coming from the three national highways to the port. Development of Fourth Container Terminal: The growth of the JNPT port as an International Mega Container Port involves capacity expansion in terms of Container Ports Size (capacity to handle containers per year).JNPT has also decided to develop Fourth Container Terminal on DBFOT basis. PSA Bharat Investments, a wholly-owned subsidiary of Singapore’s PSA International, is building JNPT’s fourth terminal on a 30years operating concession. The project involves an estimated cost of Rs.7915/- Crores and the first phase of project is scheduled for completion in early 2018. Rail Connectivity: JNPT Port is well connected to central railway, konkan railway, and western railway. The ports hinterland connectivity is very much improved due to its connectivity with Inland Container Depots in northern India, western India and central India. The Inland Container Depots provide all the services of a port except for the loading of cargo to and from seagoing ships. Inland Container Depots are extremely useful for loading and unloading of goods into containers, carrying out customs formalities and then the container can be sent directly to the JNPT port for shipment. There is a double rail line from Panvel to JNPT Port to facilitate easy movement of containers. Dedicated freight corridor is being constructed for better rail connectivity to the port. 45 4.2.2 Operating Performance Profile JNPT Ports output during the financial year 2013-14 was 4.16 Million TEU’s. Gateway Terminals of India that is about forty five per cent. The Nhava Sheva International Container terminal handled twenty three per cent of the containers. The government owned Jawaharlal Nehru Container Port terminal handled about thirty two percent of the containers. Therefore the private sector container terminals handled about sixty per cent of the cargo. This shows the dominance of the private sector in container handling activity in the port. The container traffic handled by the three container terminals is given below. Container Traffic: Container In TEUs Traffic 2012-13 2013-14 JNPCT NSICT GTIPL JNPCT NSICT GTIPL Import 614,316 483,853 1,056,613 631,219 446,102 987,658 Export 570,891 557,062 938,655 631,384 520,816 878,133 Transshipment 22,896 3,193 11,808 50,112 2,540 13,737 Total of 1,208,133 1,044,105 2,007,076 1,312,715 969,458 1,879,528 Terminal JN Port Total 4,259,314 4,161,701 Source: JNPT Port Website www.jnport.gov.in/ Vessels Handled at JNPT Port: In the financial year 2013-14 the maximum number of container ships visited GTICT terminal followed by JNPCT and NSICT container terminals .This was followed by the ships for liquid cargo, break bulk cargo and dry cargo.
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