The Federation of Indian Export Organisations (FIEO)-Southern Region has sought the intervention of the Commerce Minister to tackle the infrastructural deficiencies at the Chennai Port Trust (ChPT) on a war footing so that exporters do not suffer during the Christmas season.
Recalling the experience of exporters during the last Christmas season, Walter D'Souza, FIEO regional chairman, said, “Last year, the ChPT suspended export cargo clearance for more than a week to clear the congestion. As there is no significant improvement in infrastructure, we feel that similar crisis might recur, if necessary steps are not taken by persons concerned right now.
Hence, a meeting of all stakeholders should be convened immediately to find a solution on short-term and medium-term basis as the import and export volumes are increasing rapidly.”
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In a press statement, Mr. D'Souza cited congestion and bad roads, along with having only a single entry and exit point, as the major reasons for delayed clearance of cargo.
Frequent strikes by trailer operators and other supporting services added to the congestion, resulting in increased turnaround time of vessels.
On their part, shipping liners levied congestion surcharges, making export from Chennai an unviable proposition.
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Quoting exporters, he said their activities would be hit during the festival season due to congestion and backlog as the present situation in ChPT was not favourable and the rainy season might add to the crisis.
“ChPT is the gateway for Southern India exim trade and handled 61.46 million tonnes of cargo in 2010-11. It handles around 20 per cent of country's sea-bound containerised traffic.
“Any disruption in normal operation of this port is bound to have considerable effect on the country's foreign trade. It might take more than three years to complete the Ennore-Manali Road Improvement Project. Left with little option, we have to seek the intervention of the Commerce Minister,” Mr. D'Souza said.