Hyderabad, April 04: Container traffic from the city is set to grow with an impressive performance during the just concluded financial year by the Visakha Container Terminal Private Ltd. (VCTPL).
VCTPL has registered a growth of over 48 per cent in 2010-11 — the highest growth rate achieved since the inception of the terminal. The growth can be primarily attributed to four reasons – firstly the organic growth of the industry in the local hinterland covering Andhra Pradesh, Orissa and Chattisgarh, secondly, the induction of new mainline services, thirdly, Vizag emerging as transhipment hub for Kolkata and finally, the inducement of Inland Container Depot (ICD) traffic between Vizag and Nagpur.
There has been a general increase in almost all the traditionally handled commodities, and as a bonus, this year had witnessed movement of new commodities like poly products, Shea-nuts and Shea butter, coffee, cotton, tobacco and increased movement of sugar, refractories, heavy minerals, waste paper and metal scrap.
Growth of industry in the local market was complemented by increased transhipment and ICD traffic which indicates further improvement of the growth in traffic in the years to come.
The increased calls and services provided additional options for the trade. This has attracted cargo from farther hinterlands of Nagpur and Guntur in addition to the establishing Vizag as transhipment hub. ICD movements and the cargo from Guntur region had eluded this port till now.
A breakthrough was achieved this year with the establishment of ICD movements to Nagpur and movement of coffee, tobacco and cotton from Guntur.
A senior official of VCTPL told The Hindu that the hinterland of Vizag was one of the fastest growing regions. Heavy investments have gone into various sectors including pharmaceuticals, aluminum, petroleum, chemicals, petrochemicals, ferro alloys and paper. In the coming years, the hinterland of Vizag will have an additional 0.6 million tonne per annum (mtpa) ferro alloy production, 25 mtpa of steel, 3 mtpa aluminium, around 20 more pharmaceutical units, numerous power projects, more apparel manufacturing units, and sizeable investments in PCPIR.
The machinery imports related to these projects constitute a major portion of imports into Vizag. Once these projects are commissioned, they will contribute further to the container shipping through their import of raw materials and exports of their produce.
Apart from the increased industrial activity in the hinterland, the terminal anticipates enhanced transshipment activity by adding Chittagong and Yangon to the loop and inducement of ICD movement from Delhi and Hyderabad.
Gantry cranes
Anticipating this growth, the terminal has placed orders for new gantry cranes which should be operational by the end of this calendar year. On all accounts, the terminal is optimistic to continue and sustain the growth trend.
–Agencies