Cargo traffic hit by slowdown, grows just over 2%

Cargo traffic growth at the country’s top 12 state-owned ports nosedived in the last fiscal, registering just 2.13 per cent increase, with the global economic meltdown casting its shadow on maritime trade
The 12 ports, including Kolkata (with Haldia), Paradip, Visakhapatanam, Ennore, Chennai, Tuticorin, Cochin, New Mangalore, Mormugao, Mumbai, Jawaharlal Nehru Port Trust and Kandla, handled 530.35 million tonnes (MT) of cargo in 2008-09, an official in the Ministry of Shipping said.
In the previous fiscal, it was 519.15 MT. “The global economic slowdown had cast its shadow over our ports and had a direct impact on container traffic,” the official said.
In fiscal 2007-08, cargo traffic growth was at 11.94 per cent at 519.15 MT over 463.78 MT in 2006-07.
“The growth rate in earlier years had been impressive and in fact the trend was maintained in the first half of the fiscal. But being a part of the global chain we cannot escape from the slowdown impact,” the official added.
From 344.79 MT handled in 2003-04, the cargo volumes grew 50.58 per cent in 2007-08 at 519.15 MT.
The official said in terms of tonnage container traffic was one of the worst-hit by the economic slowdown growing by just 0.9 per cent.
Mumbai and Kolkata including Haldia were worst-hit during the fiscal recording a steep decline of 9.05 per cent and 5.72 per cent in traffic handling compared to the previous fiscal.
Cochin saw a decline of 3.68 per cent whereas two other ports Visakahpatnam and Ennore saw traffic dwindling by 1.07 per cent and 0.54 per cent.
Major ports’ capacity too remained affected and could increase marginally to 555.67 MT in financial year 2008-09, amid shrinking maritime trade in the wake of the global economic slowdown.
The government could add only a total of 25 MT to the existing capacities of 12 major ports during the last fiscal. The overall capacity of the major ports was recorded at 532 MT as on March 31, 2008.
The ports also failed to achieve the target fixed for 2008-09, as per the National Maritime Development Programme (NMDP). The NMDP had fixed a target of capacity increase to 573.5 MT for fiscal year 2009. Going by that account the achievement on capacity increase front fell short by nearly 19 MT.