Fall in trade reduces turnaround time in major ports

Average turnaround and pre-berthing time for ships declined 7 per cent and 11 per cent, respectively at major ports during April and May 2013.

The decline in these two variables, which indicate improved efficiency, is not due to capacity addition, but due to a fall in trade, as the number of vessels handled by ports fell from 3,260 to 3,139 during the period, reports indicate.

Experts point out to the decline in the pace of capacity addition in major ports owing to several reasons including the lack of private participation.

Capacity addition in major ports grew only 4 per cent in 2011-12 compared to 9 per cent in 2010-11. In 2012-13, major ports saw capacity addition of six per cent.

Major ports in India suffer from lack of facilities such as automated lifts and continuous power supply. The turnaround time of a ship could be about three days here; in Singapore, it is less than six hours.

Experts cite the inefficient tariff regime as reason for lack of private participation. According to the existing tariff regime, if a private operator handles more cargo, he has to reduce rates.