Interest shown by the private companies in port projects has declined in recent years because of the general slowdown in the economy, accompanied by low cargo volume and a difficult funding environment.
Owing to these factors and the risks involved in implementing big-ticket projects, port developers are seen to prefer smaller projects with a lower risk profile, reports indicate.
Among private firms, only those companies that have captive cargo are securing port contracts because they are better placed to implement projects without any snags.
Amidst this environment, it is very difficult for the government to attain the objective of tripling cargo-handling capacity at Indian ports to 3.2 billion tonne by 2020, experts feel.
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