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APSEZ, Tata Steel may tie up for goods handling

APSEZ, Tata Steel may tie up for goods handling
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Adani Ports and Special Economic Zone (APSEZ) has started talks with Tata Steel regarding the terms of handling cargo at Dhamra Port in Orissa, a port which is jointly owned by Tata Steel and Larsen and Toubro, signaling a significant move towards acquiring a strategic control of the port. APSEZ held discussions with Tata Steel previous week regarding cargo handling at the port. Tata’s arm TM International Logistics currently manages the port.

Adani Port is said to have raised certain concerns regarding the cargo handling policy at the port in terms of warranties, damages and liabilities which seems to be in favour of the Tata Group. The firms are now studying the terms and conditions and are likely to meet soon to make a final decision, according to the officials. The terms and conditions of cargo handling at the port seem to be tweaked in favour of Tata Group, Adani Ports said.

Anand Sharma, Director at Mantrana Maritime Advisory said that Dhamra Port has huge potential on the east coast as it caters to the eastern and north-eastern hinterland in a big way. Kolkata and Haldia Ports are facing depth problems and capacity constraints. In this regard, Dhamra can provide better economies of scale and become an alternate gateway.

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