Paradip Port signs concession agreement with PICT

Odisha Channel Bureau Paradip, Mar 7: A Concession Agreement was signed here today between Paradip Port Trust and M/s.Paradip International Cargo Terminal Pvt.Ltd.(PICT), a Special Purpose Vehicle (SPV) set up by M/s.United Liner Agencies India (Private) Ltd.which is a part of M/s.J.M.Baxi Group for construction/development of a Multipurpose Berth through Public Private Participation (PPP) mode on build, operate and transfer (BOT) basis in order to cater to the container traffic and clean cargo at Paradip Port.J.M.Baxi Group is one of India’s largest and most experienced Groups in Shipping & Logistics and has been operating at almost all the Ports in the country for the last 100 (hundred) years.They are operating a state-of-the-art Container Terminal at Visakhapatnam on a 30 year BOT basis, according to a press release issued by Paradip Port Trust.The Concession Agreement was signed by M.T.Krishna Babu, Chairman, Paradip Port Trust on behalf of Paradip Port and Dhruv Krishna Kotak on behalf of PICT in the presence of the senior officers of Paradip Port Trust and officers of M/s.J.M.Baxi Group.PICT became successful as the operator for this Terminal after being selected through a competitive bidding process.The concessionaire shall be responsible for financing, designing, construction, commissioning of the project along with operation, management and maintenance under the concession agreement.The concession period is 30 years.The estimated cost is pegged at Rs.430.78 crore keeping with a construction period of 3 years.Out of this amount, Rs.356.54 crore is the BOT operator’s component and Rs.74.24 crore is the PPT’S component towards capital dredging.On completion of construction, 5 million tonnes of cargo per annum shall be added to the capacity of the port.The draught of the proposed Berth will be 16 metres with a length of 450 metres which will facilitate handling of cape size vessels upto 1,25,000 DWT. The berth will be equipped with modern and efficient machineries equipment like mobile harbour cranes, rubber tyre gantry cranes, reach stackers and forklifts/payloaders to handle non-hazardous and dust free cargo including iron and steel products, aluminium ingots, pig iron, finished fertilisers, food grains, sugar (both raw and finished ) and containers.A separate rail siding is envisaged for the berth where rail loading/unloading of both containers and other clean cargo can take place.This will enhance the viability of the project by attracting rail-borne cargo.This project is envisaged to be developed at new location i.e.on the southern side where the area will be clean and will not be mixed up with other cargo.This will attract clean cargo and containers to come to Paradip Port in view of the rapid industrialisation of the port’s hinterland, according to the release.