Shipping Corporation of India (SCI) is taking efforts to diversify its operation into allied areas in order to mitigate losses on the back of slowdown in the global shipping industry.
The company, which is suffering losses from its mainstream business, plans to diversify into dredging operation.
In the previous year, SCI, which has 80 ships, suffered a net loss of 428 crore on whole income of 4,309 crore.
As part of this plan, the company plans to partner with port authorities and finance companies to form a joint venture (JV) company to undertake dredging at Indian ports.
Some reports suggest that the SCI was asked by the shipping ministry to take up dredging projects as the state-run Dredging Corporation of India (DCI) is struggling to meet the demands of the dredging needs in the country. Currently, DCI and some Dutch multinationals are active in the dredging business.
The company held talks with Kandla Port in this regard and plans to work with other ports in the country to undertake dredging operations at the port. The company is yet to set a timeline for the acquisition of dredgers and the formation of the JV.
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