VPT’s innovative strategy pays off

Will keep up the momentum, says deputy chairman

August 19, 2019 01:15 am | Updated 01:16 am IST - Santosh Patnaik

For the first time among major ports, the Visakhapatnam Port Trust has launched end-to-end total logistics solutions to increase its traffic and scale up in its ranking from fourth to third port in cargo handling.

In the first four months of the current fiscal, the port occupied the third rank by handling 23.70 million tonnes during April to July 2019 as against 21.52 million tonnes in the corresponding period the previous year.

VPT Deputy Chairman P.L. Haranadh said the growth of over 10% was the highest among major ports. He said they were confident of maintaining the third position throughout the year by handling 70 million tonnes.

The port had handled 68 million tonnes in 2011 but it started witnessing a downslide after development of a private port in the vicinity. The new port had almost taken over 30 million tonnes of cargo at one point of time, which would have come to the main port.

As part of business development, VPT introduced total logistics solutions — taking up the responsibility of liaison with the Railways, customs and other agencies and delivering the cargo at the doorstep of the clients.

The total logistics solutions include undertaking services outside VPT’s boundary by monitoring wagon loading at mine heads besides providing port services like unloading from rakes, storage of cargo and loading into ships.

An agreement was signed with TANGEDCO due to which a commitment had been made for handling of 2.5 million tonnes, Mr. Haranadh said.

Teaming up with NMDC

After completion of talks, the National Mineral Development Corporation agreed to avail total logistics solutions by VPT for handling of two million tonnes of imported coal for its three million tonne integrated steel plant set up at Nagarnar near Jagdalpur of Bastar district in Chhattisgarh.

As a goodwill measure, VPT has allotted 12 acres to NMDC for development of a steel yard. This will be meant for storing steel ready for export.

The board of VPT approved the proposal for allotment of 12 acres.

Mr. Haranadh said on the recommendation of the Boston Consulting Group, they had taken a series of measures to remove bottlenecks for faster evacuation of cargo. He said the stakeholders were being taken into confidence regularly to improve quality of service and prevent diversion of traffic to the neighbouring ports.

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