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A Review on Development of Minor Ports to Improvethe Economy of Developing Country Geetha Kuntojia* and Subba Raob

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A Review on Development of Minor Ports to Improvethe Economy of Developing Country Geetha Kuntojia* and Subba Raob Available online at www.sciencedirect.com ScienceDirect Aquatic Procedia 4 ( 2015 ) 256 – 263 INTERNATIONAL CONFERENCE ON WATER RESOURCES, COASTAL AND OCEAN ENGINEERING (ICWRCOE 2015) A Review on Development of Minor Ports to Improvethe Economy of Developing Country Geetha Kuntojia* and Subba Raob a,b Department of applied mechanics and hydraulics, National Institute of Technology Karnataka, Surathkal, Dakshina Kannada District, India,Pincode-575026. Abstract India, is the second largest country in Asia, has a coast line about 7500 km and is studded with 13 major ports and close to 200 minor ports. The major ports in India are Calcutta, Haldia, Paradip, Visakhapatnam, Ennore, Chennai, Tuticorin, Cochin, New Mangalore port trust (NMPT), Mormugao, Jawharlal Nehru Port Trust (JNTP), Mumbai, and Kandla. Approximately, 95 per cent of the country’s trade by volume (70 per cent in terms of value) is moved by sea. Major ports handle about 75 per cent of the total cargo and the rest by intermediate and minor ports. Hence, shipping plays an important role in the transport sector of India’s economy. The development of port can be defined as “Technological changes in recent years in transport systems as a whole and maritime transport in particular have made it imperative to reorient the working of the ports in developing countries to meet the challenges posed by these new innovations”. In this paper,as anexample development of Karwar portis discussed. Karnataka has a coastline of 300 km with one major port at New Mangalore and minor ports. Karwar port is located at the northern extremity of the state in Latitude 12º48’ N and Longitude 74º7’ E. The improvement can be done by Extension of the Existing Berth and land reclamation, Dredging, and Construction of Petrol, Oil and Lubrication (POL) loading Jetty. Finally, the development of minor ports support the major ports which directly and indirectly helps to improve the economy of the developing countries like India. © 20152015 The The Authors. Authors. Published Published by by Elsevier Elsevier B.V. B.V. This is an open access article under the CC BY-NC-ND license (Peerhttp://creativecommons.org/licenses/by-nc-nd/4.0/-review under responsibility of organizing committee). of ICWRCOE 2015. Peer-review under responsibility of organizing committee of ICWRCOE 2015 Keywords: Major ports; minor ports; development of minor ports; Karwar port; Dredging. * Corresponding author. Tel.: +91 7204858053; fax: +91-0824-2474039. E-mail address:[email protected] 2214-241X © 2015 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer-review under responsibility of organizing committee of ICWRCOE 2015 doi: 10.1016/j.aqpro.2015.02.035 Geetha Kuntoji and Subba Rao / Aquatic Procedia 4 ( 2015 ) 256 – 263 257 1. Introduction Shipping plays an important role in the transport sector of India’s economy. Approximately, 95 percent of the country’s trade by volume (70percent in terms of value) is moved by sea. India, is the second largest country in Asia, has a coast line about 7500km and is studded with 13 major ports and close to 200 minor ports. The major ports in India are Calcutta, Haldia, Paradip, Visakhapatnam,Ennore,Chennai, Tuticorin, Cochin,New Mangalore Port Trust, Mormugao, Jawaharlal Nehru Port Trust, Mumbai, and Kandla. In 2007, 74% of cargo traffic handled by major seaports and nearly 10-15% by intermediate ports. The major Ports handle more than 911.5 million tons of cargo annually as per 2012. The Indian ports and shipping industry plays a crucial role in sustaining growth in the country's trade and commerce. India currently ranks 16th among the maritime countries, The new manufacturing and power projects and higher cargo traffic at ports, the sector is poised for significant development. During 2013-14, India's major ports handled 555.50MT of cargo as compared to 545.83 MT handled in 2012-13, and 387.9 MT handled by minor ports in 2012-2013, registering a growth of 1.8 per cent.The State governments have realised the strong growth potential and the increasing need for robust port infrastructure, and have consequently provided sops and a favourable investment climate which are attracting investments from private players into the sector. In age of globalization where international goods and commodities are to be transported from one country to the other, efficient infrastructure is the key to the success.The developments of ports will also help in de- congestion of the traffic on the other mode of transport viz. road, rail and air.Development of minor ports and its infrastructure will aid in lessening the burden of major ports and help improving the economy of the country. Hence, shipping plays an important role in the transport sector of India’s economy.Karnataka has a coastline of 300km with one major port at New Mangalore, an intermediate port at Karwar and 9 minor ports at Belekeri, Tadri, Honnavar, Bhatkal, Hangarkatta, Malpe, Gangolli, Padubidri and Old Mangalore. 2. Development 2.1. Definitions of port development The Water way transport can be classified into three categories viz. Inland Waterways, Coastal Shipping and Overseas Shipping. A case study on Karwar port is presented in this review paper. Port development is defined as “Technological changes in recent years in transport systems as a whole and maritime transport in particular have made it imperative to reorient the working of the ports in developing countries to meet the challenges posed by these new innovations”. Advantages of waterway transport: It is relatively economical mode of transport for bulk and heavy goods, safe mode of transport with respect to occurrence of accidents, cost of maintaining and constructing routes is very low as most of them are naturally made, and it promotes international trade. Limitations: The depth and navigability of rivers and canals vary and thus, affect operations of different transport vessels, it is a slow moving mode of transport and therefore not suitable for transport of perishable goods, adversely affected by weather conditions, sea transport requires large investment on ships and their maintenance. The two crucial sub systems of transport viz. rail and road are highly congested and give rise to problems including escalating social costs. Economic losses due to congestion and accidents on roads are estimated to result in the loss of around Rs.400 billion annually. Coastal trade is an integral part of national trade. Present market size in terms of Cargo traffic at Indian ports stood at 911.5 MT in FY 12(Fiscal Year) and is expected to touch 1,758 MT by FY 17. During April and May 2014, India's major ports handled 95.87 MT of cargo as against 91.48 MT handled during the corresponding period last year, an increase of 4.8 per cent, according to statistics released by the Indian Ports Association (IPA). In 2013-14, coal cargo traffic (thermal coal and coking coal) volumes rose by 20.6 per cent to 104.5 MT from 86.7 MT a year ago. Among commodities, there was an increase of 25 per cent in handling of fertilizers in April 2014 in comparison to April 2013. Iron ore handling has also shown an increase of 16.8 per cent during the month. Increasing investments and cargo traffic point to a healthy outlook for port support services. These include operation and maintenance (O&M) services such as pilotage, harbouring and provision of marine assets like barges and 258 Geetha Kuntoji and Subba Rao / Aquatic Procedia 4 ( 2015 ) 256 – 263 dredgers. The Planning Commission of India in its 12th Five Year Plan expects a total investment of Rs 180,626 crore (US$ 30.05 billion) in the ports sector. Through its Maritime Agenda 2010-2020, the Ministry of Shipping has set a target capacity of over 3,130 MT by 2020, largely through private sector participation. More than 50 per cent of this capacity is expected to be created at non-major ports (minor ports). Visakhapatnam port looks forward to a bright year in 2014-15, as several development projects are on the verge of completion, and the port expects to handle not less than 65 MT of cargo during the year, according to Mr. GVL Satya Kumar, Deputy Chairman, and Visakhapatnam Port Trust. Hence, the major ports would not be able to take the higher rates of traffic growth if the necessary programs for capacity augmentation do not take place. The major ports’ preoccupation with international trade will influence increase in coastal vessel operations. The coastal trade will have to increasingly lean on minor ports for servicing their incremental needs. Hence, minor ports also play an important role in increasing the country trade and economy of the developing countries. The Inland waterway transport also has considerable untapped potential. It holds promise of its emergence in future as a credible mode of transport. For example, importorder of coal from Indonesia, Australia and china for merchant power projects have been issued and since ports in Chennai, Ennore and Tuticorin cannot handle the huge consignment of coal, minor ports at Manapadu, Nagapattinam, Cuddalore, Marakkanam, Thirukadaiyur and Cheyyur have been sanctioned to ease the congestion in coal traffic. For the whole of last year (2013-14), the cumulative volume growth at the dozen plus one ports, which has a market share of 57%, was a paltry 1.78% at 555.49 MT. These ports are located at Kolkata, Vizag, Paradip, Chennai, Tuticorin, Ennore, Cochin, New Mangalore, Mumbai, Navi Mumbai, Mormugao and Kandla. Private ports (essentially those owned by the state governments but given to private firms for development and operation) account for the balance 43% share of India’s sea-borne cargo with a volume of 420.24 MT.
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