New Delhi, February 23: Paradip port in Orissa, as part of a massive modernisation programme, has initiated a feasibility study for the construction of a ship breaking yard.According to industry sources, in case the study concludes that a ship breaking yard is required then, in accordance with environment laws, a new break water would be created.
Sources added that global tenders had been floated for the ship breaking yard two-three years back and the BCC Shipping Company of the UK with its office in Calcutta had been shortlisted.
However, later it was discovered that the company's balance-sheet was nill and that it was incapable of setting up the yard.
Paradip port's priority is to increase its cargo rather than just setting up another industry hence modernisation plans have been undertaken keeping in mind the various projects coming up in the port area.
Oswal Chemical and Fertilisers Ltd, is expected to set a fertiliser complex within 4 km of the port for manufacturing 2 million tonne (mt) ofphosphatic fertiliser per annum.
Oswal Chemicals has committed a cargo of 2 mt to Paradip port for which they are to be given a dedicated berth without fixing the lease rent, sources add. Two more berths are expected to come up in Paradip by March 1999.Almost 20 mt of iron ore is expected to be exported from Orissa every year, with the joint venture between Orissa Mining Corporation and RTZ of the UK. The port may increase the cargo from the present 12 mt to over 40 mt.MMTC had bagged an export order of one million tonne of iron ore during the last financial year, which is now likely to go up to 1.5 mt.
At present, a Rs 570-crore ADB-aided project for handling 20 mt of thermal coal is in progress near the port. Sources said that, this includes construction of two berths with mechanised loading facilities and receipt, loading and stacking of coal through bottom discharge type of wagons.
In fact the dredging operations have already been completed by the Bosklis Dredging (India) Pvt Ltd., Mumbai and LandFiling is about to be completed. Also, Construction of Works (Afcons, Mumbai) Railways (Ircons International) and coal handling system by Larsen and Toubro of Calcutta is in progress.
The Indian Ports Association, while updating the master plan of the port, has projected a traffic of 34,64 and 83 million tonne, respectively.
Industry sources have added that, over the recent years, ship breaking yards which were once the domain of big countries like Japan, have now shifted to countries like India where labour is comparatively cheap. Once this project comes through, the port is likely to become one of the country's biggest bulk handling ports.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
