JNPT starts commercial operations at fourth terminal operated by Port of Singapore Authority (PSA International)
Formal inauguration took place on Sunday by PM- Narendra Modi. Earlier this month, India's largest container port terminal, Jawaharlal Nehru Port Trust (JNPT) started commercial operations from its long awaited, Fourth Container Terminal (FCT) built in public private partnership by Bharat Mumbai Container Terminals Pvt Ltd a special purpose vehicle of Port of Singapore Authority (PSA). Prime Minister Narendra Modi formally inaugurated the terminal on Sunday, February, 18.
The container terminal being built in two phases – 2.4 million TEU in each phase – will double the existing capacity of JNPT to 10 million TEUs (Twenty Feet Equivalent Units) or 120 million tonnes. In the first phase the port has setup 2.4 million TEU capacity at a cost of Rs 4,719 crore and in the second phase it plans to invest another Rs 3,196 crore to set additional 2.4 MTEU capacity, Neeraj Bansal, chairman-in-charge of JNPT said. More:
“This terminal is the largest PPP project in the port sector in India and on its completion in 2022 it will handle 50 lakh containers in a year. This will take JNPTs total container handling capacity to 100 lakh containers. The work on second phase will start once the phase one volume reaches 1 million TEUs,” Bansal said.
The FCT also has 1km of quay length or berth with six cranes and the second phase will add another 1km to the quay length, making it the largest quay in the country. In 2014, PSA had emerged the highest bidder for the 30-year contract by quoting the highest revenue share price bid of 35.79% to JNPT.
Gopal Krishna, secretary, Ministry of Shipping, Government of India, said, “In addition to commercial operations at the fourth terminal at JNPT, we plan to undertake deepening and widening of the main harbour channel to 15 meters from the current 14 meters. The enhanced capability will help in handling larger vessels up to 12,500 TEUs providing economic benefits, like savings in vessel waiting time and savings on account of transhipment.” 
The benefits to users will be in terms of lower unit cost, direct and indirect tax benefits and reduction in vessel traffic congestion at JNPT. This would add to the competitiveness of India's export import trade, Krishna said.
The project is expected to be completed by March 2019, and would have a project cost of Rs 2,500 crore, Bansal said.
The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, had approved the fresh estimates for project Deepening and Widening of Mumbai Harbour Channel and JN Port Channel (Phase-II) last year. The cost of the project will be Rs 2,029 crore excluding the service tax. The entire project cost will be funded through internal resources of JNPT with market borrowing, if necessary, the Ministry of Shipping had said in a statement.
Container ship Centaurus was the first to call at PSA International’s terminal at JNPT on February 2. The first container was unloaded by one of the six 65-tonne super post panamax quay cranes made by South Korea’s Doosan Heavy Industries & Construction Co Ltd, another official said.
- TradeBriefs Bureau -