M Thambi Durai, union minister for surface transport in his address at the consultative committee attached to his ministry on Friday said that shipping sector plays an important role in India's international trade and it carried 95 per cent of the cargo in terms of volume and 77 per cent in terms of value. Of this, Indian shipping lines carry about 30 per cent of cargo in terms of volume and the rest is being carried by foreign shipping lines.

Thambi Durai said that shipping industry continues to be one of the largest foreign exchange earners and added that it had earned/saved foreign exchange to the tune of Rs 2,857 crore in 1996-97. He informed that India is also one of the largest exporters of manpower to the international shipping and in order toincrease India's share, the ministry has taken certain measures like issuance of Continuous Discharge Certificate freely to all persons desirous of becoming seaman without linking it to the condition of being sponsored by a shipping company.

The minister said that the private sector has been allowed to set up training institutes and added that action has also been taken to upgrade facilities to cope up with the stringent standard of international shipping.

Thambi Durai said that the public sector Shipping Corporation of India (SCI), has posted a profit of Rs 246 crore in 1996-97 and it proposes to pay a dividend of Rs 56.46 crore.

He said that the ministry has taken a decision to give a special thrust for coastal shipping as it is energy-efficient, environment friendly and economic mode of transport in the inland transport network. He said that the development of coastal shipping has assumed greater significance as the other land-based modes of transport like rail and road transport were at their nearsaturation levels, leaving limited scope for further expansion.

On minor ports, the minister said that a provision of Rs 35 crore has been made in the ninth five year plan to fund feasibility studies and bid document preparation for development of minor ports. The Working Group has recommended an outlay of Rs 200 crore during ninth plan.

Thambi Durai said that these ports handle 10 per cent of the total traffic of 250 million tonnes. In India of the 193 ports, 181 were minor ports which falls under the jurisdiction of the respective state governments. The states like Gujarat, Maharashtra and Tamil Nadu administer the minor ports through state maritime board having structures and powers to a large extent similar to those of Board of Trustees in a major port whereas other states administer the minor ports through departments.