PRESENTED BYROOPESH M.

VALLARPADAM CONTAINER TERMINAL PROJECT

Stressing the need to vastly increase the use of fuel

efficient, environment friendly and safe modes of transport such as inland waterways

• Kochi has been in the focus of world attention through a number of projects in recent days. The important among them were Kochi Smart City Project and Vallarpadam Container Transshipment Terminal near Kochi.

• Kochi is the commercial capital and the most cosmopolitan capital of Kerala, India. We can foresee a great development potential in the coming years in Kochi because of its close proximity to the international east-west trade route between Asia and Europe.

THE GREAT KOCHI

What is Vallarpadam Container Transshipment Terminal?

• Even many Keralites are unaware of the Vallarpadam Container Transshipment Terminal.

• Vallarpadam Container Transshipment Terminal has a number of peculiarities.

• Vallarpadam Container Transshipment Terminal is the first Container Transshipment Terminal of India.

• Vallarpadam Container Transshipment Terminal is constructed with private co-operation which is a new successful method followed by Government .

• Vallarpadam Container Transshipment Terminal was constructed under the policy Build, Operate & Transfer (BOT Policy).

VALLARPADAMVallarpadam Container Terminal

Project (VCTP) will be a unique one in infrastructure to boost the containerization in India. The establishment of VCTP will help in bringing larger ships to India and therefore will decrease the dependence on foreign ports.

This project will enable India to move into the top 20 maritime nations.

The terminal makes kochi a key centre in the shipping world reducing India ’s dependence on foreign ports to handle transshipment.

A view of Vallarpadam Terminal• Vallarpadam Container Transshipment Terminal was

realized by the foreign company named Dubai Port World India.

• The Kochi Port Trust supervised the works of Vallarpadam Container Transshipment Terminal project.

• The Dubai Port World India invested about 1600 crore rupees for the first phase of Vallarpadam Container Transshipment Terminal project.

• An equal amount was invested by central government to develop road and rail transportation facilities to Vallarpadam Container Transshipment Terminal.

As per BOT policy the Vallarpadam Container Transshipment Terminal will be operated by Dubai Port World India for 30 years,

after which the control will come back to the Cochin Port Trust. One third of total revenue will be given to Kochi Port Trust.

• All the expenses of Vallarpadam Container Transshipment Terminal is to be met by Dubai Port World India from the remaining revenue.

“Small Beginning with Vallarpadam-But a huge icon on the Globe”

“A great dream” The Kochi International Container

Transhipment Terminal (ICTT), locally known as the Vallarpadam Terminal , is a container trans-shipment facility which is part of the Kochi Port. It is the only trans-shipment port in India, and is situated in Kochi, in the state of Kerala.

The Rs.3,200-crore project is a near 50-50 partnership

On 16 February 2005, Dubai Ports World announced that it has formally signed an agreement with the CoPT to construct, develop and operate an International Container Transshipment Terminal (ICTT) – An India Gateway Terminal – at Vallarpadam.

Vallarpadam terminal a triumph of public-private tie-up

Approval for the agreement was given by the Cabinet Committee of Economic Affairs of the Government of India, Ministry of Finance and meanwhile, the DP World will manage and subsequently transfer its operations at the Rajiv Gandhi Container Terminal in Cochin Port to the new terminal upon its completion.

International Container Transhipment Terminal

Cranes at the Vallarpadam TerminalOther names(s) Vallarpadam Terminal

General information

Location Vallarpadam, KochiStatus OngoingCoordinates 09°58′54″N 76°15′09″E / 9.98167°N 76.2525°E /

9.98167; 76.2525

Built by DP WorldOpening 11 February 2011

Technical detailsCost US$5003200 croreNo of Super-Post Panamax Crane 4

No of Rubber Tyred Gantry Crane 15

Maximum Draft 14.5 mQuay Length 600 mTerminal Area 65 haDepth Alongside 16 mContainer Yard 2500 TEU ground slotsWebsite DP Cochin

Vallarpadam Terminal is the largest single operator container terminal in India and the first in the country to operate in a special economic zone.

In the first phase there will be 600 m Quay length and a draft of more than 15 m , when the terminal may handle 1 million TEU container annually by the end of 2012.

In the second phase the capacity will be enhanced to 3 million TEU's by the end of 2014.

In the third phase the terminal may handle even up to 5.5 million TEU's.(2015)

VALLARPADAM: Hub of Kerala’s development

How important is Vallarpadam International Container Trans-shipment Terminal Project?• Cochin Port has unique geographical advantages as it is

near to international sea trade routes which connect Europe, the Gulf, South East Asia and Far East.

• Cochin Port became a major port under the Major Port Trust Act 1963 and has crude handling facilitates, containerisation of cargo and electronic data interchange facilities, which have put Cochin in the forefront as far as port development is concerned. This project, once operational, will surely place Kochi on a bigger maritime map.

• In terms of facilities, the project will be a huge opportunity for India as a maritime country. When much smaller ports get more importance due to facilities they provide (like Colombo and Singapore), Indian ports lag behind. Cochin Port was very busy a century ago; we want to bring back its glory and change the perspective of investors towards Kerala.

INAUGURATIONAL CEREMONY

The Vallarpadam Container Transshipment Terminal inaugurated by Prime Minister Mr.Manmohan Singh , the Hon’ble Prime Minister of India on February 11 , 2011. It was also Mr.Manmohan who put the foundation stone to the Vallarpadam Container Transshipment Terminal project early on 16th February 2005 during first UPA ministry in force.

How is the project making progress?

• The first phase of development involves building 600m of quay, six shift-shore gantry cranes, 30 hectares of yard and acquisition of six Super Post Panamax cranes designed to handle some of the largest vessels.

PORT LAYOUT

What are the additional requirements in support systems/infrastructure?• Apart from physical infrastructure to the

terminus, the support outside the terminus has to come up. There is a need for container freight stations which is essential for efficient utilisation of the project. Without the support facilities the terminus alone cannot grow. The absence of such facility makes aggregation and segregation of the cargo very costly. Once the CFSs come up the process becomes much faster, cheaper and better.

• It also require enough manpower, additional infrastructure and vehicles to transport cargo.

What are the other major What are the other major changes essential to make changes essential to make the project a success?the project a success?

A major change expected is the A major change expected is the change in attitude change in attitude among investorsamong investors. There is . There is so much reservationso much reservation among them when they look at Kerala as a public among them when they look at Kerala as a public sector. This may be a major setback. This perception sector. This may be a major setback. This perception has to be changed. has to be changed. People are welcomed to do People are welcomed to do business and create wealthbusiness and create wealth. We need to move from . We need to move from the mindset of the mindset of welfare attitude to business attitudewelfare attitude to business attitude… … sharing wealth rather than sharing poverty.sharing wealth rather than sharing poverty.

What will be the status of the terminal project once Vizhinjam port comes up?

As the GDP is growing at the rate of 8 to 10 per cent, the growth will be shared among such projects. In the next 5 to 10 years,there is no competition between ports.

Vallarpadam terminal a milestone in development

Mega Industrial Projects at Kochi• The ICTT (Rs. 3,200 crore International

Container Transshipment Terminal, Vallarpadam) project is set to launch a series of ventures including the Ship-building Hub worth Rs. 2,100-crore, the Rs 1,600-crore LNG Terminal, the Port-based Special Economic Zone (Rs 1,510-crore), International Ship Repair complex (Rs 315-crore), SBM (single buoy moorings) for Kochi Refineries Ltd (Rs 720-crore), International Bunkering Terminal, Bulk Cargo Terminals, Cruise Ship Terminals, International Marina, Petro Chemical Complex, Kochi for Gas Authority of India (Rs 7,000-crore) and its Ancillaries etc.

FACTS : • Vallarpadam Road Connectivity : 

Constructed a 4 lane raod between vallarpadam and kalamassery to handle the heavy traffic of the terminal, which will be known as NH-47 C. When completed the total cost is expected to be 1000 Cr. Out of the 17.2 km, around 9.25 km goes through bridges. there is 12 major bridges, 1 fly over, 25 box culverts and 14 pipe culverts and 5 under passes are constructed in the road to ease the traffic.

•Vallarpadam Rail Connectivity :

Rail Vikas Nigam Constructed a railway line to the vallarpadam terminal with a total length of 8.86 km, in which 4.62 km through Vembanad bridge, which become the longest railway bridge in India. Also constructed a railway station and electirc substation at Idappally. The Vallaarpadam Port Railway station has been constructed by the Dubai Ports World.

•  Soil candition is a challenge to the engineers The soil conditions were a challenge that

RVNL engineers overcame with great élan. The bridges have been built on 1.2-diametre piles driven to an average depth of 55 metres. The total pile length is 65,000 metres.

• The total cost of the project is estimated at US$500 million and will be funded by DP World through non-recourse debt funding. The debt is provided by a consortium of banks led by the IDFC, set up to provide growth capital for infrastructure projects in India.

• vallarpadam container terminal crain

* Too much idle time at the berth because of frequent break down of obsolete equipment and no assured timing for container trains.

* Inadequate berth and dredging and absence of round-the-clock working in three shifts as well as lack of commitment to work 365 days in an year.

*Non-matching working culture of the customs department for commercial needs of the port and lack of integration of port and trunk railways.

Inadequate financial and administrative powers.

Getting the labor organized will still be a big problem

uses advanced communication and information technology and also It done really better by implementing high-tech technologies.

CHALLENGES:

 

• Vallarpadam, ICTT will help bring trans-shipment of Indian cargo back to India.

• The strategic advantage of line owners to the international route will be fully utilized by this terminal.

• It helpful in bringing up India in the international maritime industry.

FUTURE OPPORTUNITIES

It adjacent to the navigational channels and outer Harbour are the hotspots for development of port facilities and Port Based Industries.

India's export-import business now depended on Colombo, Salalah and Singapore for container transhipment, and paid nearly $900 million last year in transhipment charges alone for the Colombo port

• So far only small ships were anchored in Indian ports. The mother ships are anchored at big ports like Dubai, Singapore and Columbo. So containers were transported to this mother ships using small ships. This was an additional expense. Also about one week was the time lag for this transshipment process. Vallarpadam Container Transshipment Terminal is a solution to all these problems.

The completion of the ICTT project will reduce container traffic and save time.

This Project will be a boost to Kochi and Kerala in all respects.

Through Vallarpadam Container Transshipment Terminal project a number of job opportunities are also will be created.

MAINISSUES

Privatization of infrastructure is to some extent the necessity in today's world.

The government does not have sufficient funds to take care of every socio-regional-economical development and thus the time has come to involve private investors

Justify port operation from public monopoly to private monopoly.

It is expected that private investors will ensure aggressive marketing and the best of technology to ensure faster throughput of containers through ICTT, Vallarpadam.

It is the first PORT BASED SPECIAL ECONOMIC ZONE