JNPT, Kamarajar and Vizag get good grades in new ‘Port Performance Index’

The index bench-marked performance of 13 ports which handle around 67% of India’s maritime trade

The Jawaharlal Nehru Port Trust in Mumbai.

Major ports JNPT, Kamarajar and Visakhapatnam have received ‘Good’ score in a new ‘Port Performance Index’ that bench-marked performance of 13 ports which handle around 67% of India’s maritime trade.

The index was introduced by a study conducted by Dun & Bradstreet that was handed over to Commerce and Industry minister Suresh Prabhu on Monday. It looked into the issues and challenges pertaining to the ports sector and proposed policy measures to strengthen it.

In the study, seven ports (Cochin, Kandla, Paradip, Chennai, Mormugao, New Mangalore and VOC) have received ‘Average’ score, while three ports (Haldia, Kolkata and MbPT) have received ‘Poor’ score, according to a commerce ministry statement. The ‘Port Performance Index’ benchmarks the performance of various ports by combining qualitative perception of stakeholders with quantitative outcome based data, it added.

The study engaged with 700 respondents pan India, comprising government officials, trade associations, exporter/importers, cargo handling agents and freight forwarders. Feedback was collected from these stakeholders on both qualitative and quantitative aspects of business transactions at ports. The scope of this study was limited only to container and bulk cargo handled at these ports and did not cover liquid cargo.

Port congestion, customs clearance (including scanning and ICEGATE), shipping line issues and charges, documentation and paperwork, and regulatory clearance are the most common problems across ports, the statement said. The three major findings of the report are - (i) Processes and operations across the ports are not standardised or uniform; (ii) Costs and time for key processes are unpredictable and there is an unacceptable level of variation across ports as well as within port; and (iii) Several government initiatives taken need to be followed through to completion.

“To achieve a target of 5% share in world exports, India’s exports need to grow at an average rate of over 26% for the next five years. This would require increasing its product competitiveness. Enhancing product competitiveness in the global market needs infrastructure for trade to improve, and ports are a critical part of trade infrastructure,” the ministry said.