Business Plan for Tuticorin Port Trust
FINAL REPORTDevelopment of a Business Plan for Tuticorin Port
Trust
Submitted to: Chief Engineer Tuticorin Port Trust, Tuticorin,
Tamil Nadu India Copyright: TransCare Logistics India Pvt. Ltd.
Submitted: March 28, 2007
Certified to DIN EN ISO 9001:2000
TransCare Logistics India Pvt. Ltd.
1
Business Plan for Tuticorin Port Trust
Table of Contents
0
Summary
.....................................................................................................17
1
Major
Results...............................................................................................30
1.1 Port Description
....................................................................................30
Tuticorin Port Trust
........................................................................30
Cargo
Traffic..................................................................................31
General Cargo
.......................................................................................
32 Containers
.............................................................................................
35 Vessel
Traffic.................................................................................39
Modal Split Analysis
......................................................................40
Port
Infrastructure..........................................................................43
Dimensions
...........................................................................................
43 Cargo Handling
Equipments.................................................................
44 Storage
Facilities...................................................................................
45 Port Road
Infrastructure........................................................................
48 Port Rail Infrastructure
.........................................................................
48 Operational Performance
..............................................................50
Capacity Analysis
..........................................................................53
1.1.1 1.1.2 1.1.2.1 1.1.2.2 1.1.3 1.1.4 1.1.5 1.1.5.1 1.1.5.2
1.1.5.3 1.1.5.4 1.1.5.5 1.1.6 1.1.7 1.2
Cargo
Forecast.....................................................................................54
Thermal Coal
.................................................................................54
Industrial Coal
...............................................................................56
Fertilizer Raw materials
(FRM)......................................................58
Finished Fertilizers
........................................................................59
Copper Concentrate
......................................................................60
Others............................................................................................61
Timber...................................................................................................
61 POL
.......................................................................................................
62 Other Liquid Cargo
...............................................................................
62
1.2.1 1.2.2 1.2.3 1.2.4 1.2.5 1.2.6 1.2.6.1 1.2.6.2 1.2.6.3
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Business Plan for Tuticorin Port Trust
1.2.6.4 1.2.7 1.2.8 1.3 1.4 1.5
Other Break bulk and Dry bulk
cargo................................................... 63
Container.......................................................................................64
Consolidated Traffic
Forecast........................................................72
Vessel Traffic Forecast
.........................................................................74
Berth
Requirements..............................................................................76
Competitive Position
.............................................................................78
Impact of SethuSamudram
Channel..............................................81
1.5.1 1.6
Capacity and Bottleneck
Analysis.........................................................84
Thermal Coal Flow
........................................................................84
Bulk
Cargo.....................................................................................86
Break- Bulk Cargo
.........................................................................91
Containers
.....................................................................................92
1.6.1 1.6.2 1.6.3 1.6.4 1.7
Hinterland
connectivity..........................................................................96
Connectivity to captive industries
..................................................96 Road
Connectivity
.........................................................................98
Existing Road Connectivity
..................................................................
98 Proposed Road Connectivity
Projects................................................. 101 Rail
Connectivity..........................................................................104
Existing Rail
Connectivity..................................................................
104 Proposed Rail Connectivity Projects
.................................................. 107 TransCares
Recommendation
....................................................109 Road
Connectivity
..............................................................................
109 Proposed Rail Connectivity (Backbone Concept)
.............................. 111
1.7.1 1.7.2 1.7.2.1 1.7.2.2 1.7.3 1.7.3.1 1.7.3.2 1.7.4 1.7.4.1
1.7.4.2 1.8
Phased land use plan
.........................................................................114
Existing land use pattern
.............................................................114
TransCare Proposal for future land use
plan:..............................121 Proposed Harbour Land Use
Plans .............................................128
1.8.1 1.8.2 1.8.3 1.9
Organizational
Improvements.............................................................140
Current Organization
Structure....................................................141
Traffic
Department..............................................................................
143
1.9.1 1.9.1.1
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Business Plan for Tuticorin Port Trust
1.9.1.2 1.9.1.3 1.9.1.4 1.9.1.5 1.9.1.6 1.9.1.7 1.9.1.8 1.9.2
1.9.2.1 1.9.3 1.9.4
Civil Engineering
................................................................................
144 FA &
CAO..........................................................................................
144 Deputy Conservator
............................................................................
145 Administrative
Department.................................................................
145 Supporting Departments
.....................................................................
146 Key Observations & Suggestions for Human Resource
Management 147 Key Observations and suggestions for the
Organisation overall ........ 150 Current Demand and Resource
Planning....................................151 Key
Observations:...............................................................................
154 Proposed Corporate and Operational Planning System
..............156 Proposed Marketing and New Business Initiative
(MBI) Team
structure 159 1.9.5 1.9.5.1 1.9.5.2 1.9.5.3 1.9.5.4 1.9.5.5
1.9.5.6 Process Based Organization structure
........................................160 Demand
Planning................................................................................
160 Infrastructure Requirement
Planning.................................................. 163
Infrastructure Design and Implementation
......................................... 163 Operations
...........................................................................................
164 Administration
....................................................................................
164 IT Initiative
.........................................................................................
164
2
Business Plan Elements
............................................................................166
2.1 2.2 Mission
statement...............................................................................166
Vision Statement
................................................................................167
Long term vision
..........................................................................167
Long term land use plan
..............................................................168
Long term connectivity
plan.........................................................168
2.2.1 2.2.2 2.2.3 2.3 2.4
Goals
..................................................................................................169
Strategy
..............................................................................................171
Port Development Strategy
.........................................................171
Commercial
strategy....................................................................171
2.4.1 2.4.2
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Business Plan for Tuticorin Port Trust
2.4.3 2.4.4 2.4.5 2.4.6 2.4.6.1 2.4.6.2 2.5
Marketing Strategy
......................................................................172
Operational
Strategy....................................................................173
Competitive Strategy
...................................................................174
Financial
Strategy........................................................................175
Financial
Models.................................................................................
176 Projects
Analysis.................................................................................
179
Major projects
.....................................................................................181
Deepening of Approach Channel and Harbour
Basin..................182 General description & Motivation
...................................................... 182
Calculation of the
investments............................................................
183 Financial Evaluation
...........................................................................
183 Outer Harbour Development
(OH)...............................................185 General
Description and
Motivation................................................... 185
Investment Details
..............................................................................
186 Financial Evaluation
...........................................................................
187 Conversion of Berth No. 8 into Container terminal (CT8)
............188 General Description and
Motivation................................................... 188
Investment Details
..............................................................................
189 Financial Evaluation
...........................................................................
190 Migration of CT7 & CT8 to Outer Harbour
...................................190 General Description and
Motivation................................................... 190
Investment Details
..............................................................................
191 Financial Evaluation
...........................................................................
191 Construction of North Cargo Berth (NCB)
...................................192 General Description and
Motivation................................................... 192
Investment Details
..............................................................................
193 Financial aspects
.................................................................................
193 Construction of Cargo Berth No.9 (CB9)
.....................................193 General Description and
Motivation................................................... 193
Investment Details
..............................................................................
194
2.5.1 2.5.1.1 2.5.1.2 2.5.1.3 2.5.2 2.5.2.1 2.5.2.2 2.5.2.3
2.5.3 2.5.3.1 2.5.3.2 2.5.3.3 2.5.4 2.5.4.1 2.5.4.2 2.5.4.3 2.5.5
2.5.5.1 2.5.5.2 2.5.5.3 2.5.6 2.5.6.1 2.5.6.2
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Business Plan for Tuticorin Port Trust
2.5.6.3 2.5.7 2.5.8 2.5.8.1 2.5.8.2 2.5.8.3 2.5.9 2.5.9.1
2.5.9.2 2.5.9.3 2.6
Financial aspects
.................................................................................
195 Conversion of Cargo Berth 9 to container terminal
(CT9)............195 Construction of Ship Building Yard
..............................................195 General
Description and
Motivation................................................... 195
Investment Details
..............................................................................
196 Financial aspects
.................................................................................
196 Development of Hinterland hub in
Erode.....................................196 General Description
and Motivation...................................................
196 Investment details
...............................................................................
197 Financial Aspects
................................................................................
197
Plan of action to implement
strategy...................................................197
3
Financial
Aspects.......................................................................................201
3.1 3.2 Investments and Projects Overview
...................................................201 Financial
Projections and Analysis
.....................................................202
4
Detailed action plan
...................................................................................210
Annexure I -
Forecast....................................................................................214
Annexure II Berth
Calculation.....................................................................215
Annexure III: Storage Yard Calculation
.........................................................221
Annexure IV: Financial Feasibility Analysis Cargo Berth No 9
...................224 Annexure V: Financial Feasibility Analysis -
Upgradation of Coal Jetty II......227 Annexure VI: North Cargo
Berth_Thermal Coal ............................................229
Annexure VII: North Cargo
Berth_FRM.........................................................231
Annexure VIII: Shallow Berth 3 Nos
..........................................................233
Annexure IX: Conversion of Cargo Berth into Container Terminal 8
.............235 Annexure X: Outer Harbour Dredging, Reclamation,
Construction of Break waters and Container Berths
.........................................................................237
Annexure XI: Deepening of Inner Harbour and harbour channel
..................243 Annexure XII: Remarks and Comments RPA, TPT
and TransCare
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Business Plan for Tuticorin Port Trust
List of Figures Figure 1: Proposed Land use plan (s. enlarged
picture on Figure 43 ) ...............26 Figure 2: Ranking of
Layouts (s. enlarged pictures at Figure 51, Figure 47, Figure
50).......................................................................................................................27
Figure 3: Major Seaports in India
........................................................................30
Figure 4: Route of Round the world container service (Source
PSASICAL) .......40 Figure 5: Tuticorin Port Trust Existing Map
......................................................42 Figure 6:
CFS and ICD in Tuticorin
district..........................................................48
Figure 7: Road/ Rail Infrastructure at TPT
..........................................................49 Figure
8: Need of coal (right axis) for installed thermal power generation
in Tamil Nadu
...................................................................................................................55
Figure 9: Forecast for thermal coal at Tuticorin Port
...........................................56 Figure 10: Users of
industrial Coal in Tamil
Nadu...............................................57 Figure 11:
Forecast industrial coal in million tonnes
........................................58 Figure 12: Forecast of
FRM in million tonnes (Expected case)...........................59
Figure 13: Forecast of FRM in million tonnes (Best case)
.................................59 Figure 14: Forecast of finished
fertilizers in million tonnes..................................60
Figure 15: Forecast of copper concentrate in
tonnes..........................................61 Figure 16:
Forecast of POL in million tonnes
......................................................62 Figure 17:
Forecast of other liquid bulk in million tonnes
....................................63 Figure 18: Forecast of other
Cargo in million tonnes
..........................................64 Figure 19: Correlation
between GDP and General cargo growth rate.................65 Figure
20: Assumed growth rate for the containerization rate in India
................66 Figure 21: Container development at Tuticorin
Port based on past trends for India (in million TEU)
...................................................................................................67
Figure 22: Expected growth of the world container market in million
TEU ..........68 Figure 23: Indian container market
forecast........................................................70
Figure 24: Forecast of container in million TEU for Tuticorin
Port.......................71 Figure 25: Forecasted transhipment
volumes at Tuticorin (included in the total number of TEU).
.................................................................................................72
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Business Plan for Tuticorin Port Trust
Figure 26: Location of competing Major/ Minor
Ports..........................................79 Figure 27:
Performance of Coal Jetty
.................................................................85
Figure 28: Cargo flow industrial coal at TPT
.....................................................88 Figure 29:
Cargo flow Industrial coal on rail
.....................................................89 Figure 30:
Cargo flow -
container........................................................................94
Figure 31: Existing captive Cargo
distribution.....................................................98
Figure 32: Existing Road
Network.......................................................................99
Figure 33: Road Connectivity to Indian
Ports....................................................100 Figure
34: Road Network Tamil
Nadu...............................................................101
Figure 35: Existing Rail Connectivity - Tuticorin Port
........................................105 Figure 36: Indian
Railways - Status of Electrification
........................................106 Figure 37: Proposed
Madurai-Dindigul Rail
Expansion.....................................107 Figure 38:
Proposed 4-laning of section roads
.................................................111 Figure 39:
Backbone of India
............................................................................112
Figure 40: Location of zone A and zone B
........................................................115 Figure
41: Current Land Use Plan Tuticorin Port
...........................................119 Figure 42: Tuticorin
Port Proposed Land Use Plan (Source: Tuticorin Port Trust)
..........................................................................................................................120
Figure 43: TransCare Proposal Landuse plan for Tuticorin Port
....................123 Figure 44: Layout 0
...........................................................................................129
Figure 45: Layout
A...........................................................................................130
Figure 46: Layout
B...........................................................................................131
Figure 47: Layout C
..........................................................................................132
Figure 48: Layout D
..........................................................................................133
Figure 49: Layout
E...........................................................................................134
Figure 50: Layout
F...........................................................................................135
Figure 51: Layout G
..........................................................................................136
Figure 52: Costs for the given
layouts...............................................................139
Figure 53: Investments for each phase of development of the Port.
.................139 Figure 54: Organisation Structure of TPT
.........................................................142
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Business Plan for Tuticorin Port Trust
Figure 55: Current Administration Department
.................................................146 Figure 56:
Planning and Decision Mapping
......................................................152 Figure
57: Proposed Process Based Organization
Structure............................162 Figure 58: Process
Integrated System for TPT
.................................................165 Figure 59:
Financial Analysis - Model
...............................................................180
Figure 60: Proposed Backbone Concept
..........................................................211
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Business Plan for Tuticorin Port Trust
List of Tables Table 1: Volume forecast (Expected
Scenario)...................................................23
Table 2: Container transhipment volume (included in the total
container volume)
............................................................................................................................23
Table 3: Berth Specifications for different goods
................................................24 Table 4: Number
of berths needed
.....................................................................24
Table 5: Investments for major projects
..............................................................28
Table 6: Financial projections
.............................................................................29
Table 7: Trade Statistics Major Ports in India
..................................................31 Table 8: Trade
Statistics Tuticorin Port Trust
...................................................32 Table 9:
Major Import goods in Tuticorin Port Trust
............................................33 Table 10: Major
Export goods in Tuticorin Port
Trust..........................................35 Table 11:
Container Traffic Major Ports in
India...............................................35 Table 12:
Container Import Traffic Details -
TPT.................................................36 Table 13:
Major commodities for import container market at
TPT......................36 Table 14: Market shares by sector for
import containers at TPT (Volumes in
TEUs)..................................................................................................................37
Table 15: Container Export Traffic Details - TPT
................................................37 Table 16: Major
commodities for export container market at
TPT.......................38 Table 17: Market share by sector for
export containers at TPT (Volumes in TEU)
............................................................................................................................38
Table 18: Vessel size mix at Tuticorin Port for the year 2005_06
(Source: TPT) 39 Table 19: TPT Modal split for the year 2004-05 and
2005-06.............................40 Table 20: TPT - Berth
dimensions
......................................................................44
Table 21: Equipment at the berths
......................................................................44
Table 22: Terminal areas at TPT
........................................................................46
Table 23: Storage facilities at TPT
......................................................................47
Table 24: Performance Parameters at TPT
........................................................50 Table
25: Berth Occupancy Statistics - TPT
.......................................................51 Table 26:
Berthwise Cargo Handled Statistics - TPT
..........................................52
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Business Plan for Tuticorin Port Trust
Table 27: Existing Capacity Tuticorin Port Trust
..............................................54 Table 28: Traffic
Forecast for TPT (Worst Case Scenario)
.................................73 Table 29: Traffic Forecast for
TPT (Expected Case Scenario) ...........................73 Table
30: Traffic Forecast for TPT (Best Case Scenario)
...................................74 Table 31: Average parcel size
in the future at Tuticorin Port ..............................74
Table 32: Vessel Traffic forecast for the worst case scenario
(number of vessels)
............................................................................................................................75
Table 33: Vessel Traffic forecast for the expected scenario (number
of vessels)
............................................................................................................................75
Table 34: Vessel Traffic forecast for best scenario (number of
vessels).............76 Table 35: Maximum vessel size and berth
requirements ....................................77 Table 36:
Needed amount of berth facilities in the expected case scenario
.......77 Table 37: Additional Berths Required (Part 1)
....................................................77 Table 38:
Additional Berths Required (Part 2)
....................................................78 Table 39:
Overview of competitor
mapping.........................................................81
Table 40: Savings in feeder cost and
time......................................................83 Table
41: Berth occupancy of the coal jetties at
TPT..........................................84 Table 42: Bulk
goods at Tuticorin Port (figures given in million
tonnes)..............86 Table 43: Performance of non-mechanized dry
bulk cargo at TPT .....................87 Table 44: Performance of
FRM at Tuticorin
Port.................................................90 Table 45:
Processing time in the container transport chain
................................93 Table 46: Cargo Distribution -
TPT Hinterland
....................................................97 Table 47:
Railway traffic at Tuticorin Port
.........................................................104 Table
48: Cashew Nut Export - in
TEU's...........................................................108
Table 49: Daily Truck volumes generated by the Port
......................................109 Table 50: Required number
of gates at the end of the forecasted period .........109 Table 51:
Future expected traffic on rail generated by the Port.
.......................112 Table 52: Land use plan, 2005-06
....................................................................114
Table 53: Split up of current land usage pattern
...............................................116 Table 54:
Required storage space at the
port...................................................125
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Business Plan for Tuticorin Port Trust
Table 55: TransCare proposal Land use plan
................................................128 Table 56:
Overview utilization benchmarks for all
layouts.................................137 Table 57: Overview
dimensions of terminals for all layouts
..............................138 Table 58: Volume for dredging,
reclamation and breakwater for several variants
..........................................................................................................................140
Table 59: Evaluation of Proposed Layouts
.......................................................140 Table
60: Funding options and financial feasibility for Outer Harbour
Project...187 Table 61: Migration Expense (in Rs. Crores) and
Period..................................191 Table 62: Additional
berths needed until 2014_15
............................................198 Table 63:
Additional berths needed until 2027_28
............................................199 Table 64:
Investment Returns Proposed Projects
....................................201 Table 65: Investment
Returns BOT
Projects..................................................201 Table
66: Mode of Funding Tuticorin Port
Trust..............................................202 Table 67:
Investments Projections 2006-07_2025-26 (All values in m. Rs.)
.....203 Table 68: Financial Projections, CAGR Tuticorin Port Trust
...........................204 Table 69: Revenue Projections from
BOT Operation........................................204 Table 70:
Revenue share from BOT Operation
................................................205 Table 71:
Projected P&L Account 2006-07_2025-26 (All Values in m.
Rs.)......207 Table 72: Projected Balance Sheet 2006-07_2025_26
(All Values in m. Rs.)208 Table 73: Projected Cash Flow Statement
2006-07_2025-26 (All values in m. Rs.)
...................................................................................................................209
Table 74: Forecast of volume
...........................................................................214
Table 75: Break bulk Storage
calculation.......................................................221
Table 76: Bulk Cargo Storage
calculation......................................................222
Table 77: Liquid Bulk Storage Calculation
.....................................................223
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Business Plan for Tuticorin Port Trust
List of Abbreviations ADB Asian Development Bank AIS Automatic
Identification System BG Broad Gauge BOOM Build Own Operate
Maintain BOOT Build Own Operate Transfer BOT Build Operate Transfer
CAGR Compound Annual Growth Rate CB Cargo Berth CFS Container
Freight Station CHA Customs House Agent CIL Coal India Ltd. CISF
Central Industrial Security Force CJ Coal Jetty CPC Corporate
Planning Cell CRZ Coastal Regulation Zone CT Container Terminal DAP
Di-ammonium Phosphate DCW Dharangadhara Chemical Works DWT Dead
Weight Tonnage EDI Electronic Data Interchange EIR Equipment
Interchange Receipt EOUs Exports Oriented Units EU European Union
FDI - Foreign Direct Investment FEU- Forty Feet Equivalent Unit FRM
Fertiliser Raw Material GDP - Gross Domestic Product GML Good Earth
Maritime Limited GOI Government of India
13
Business Plan for Tuticorin Port Trust
GRT - Gross Registered Tonnage HOD Head of the Department HR
Human Resource HRA House Rent Allowance IARPMA Indian Agro and
Recycled Paper Mills Corporation ICD Inland Container Depot IDBI
Industrial Development Bank of India IDFC Infrastructure
Development Financing Corporation IOCL Indian Oil Corporation Ltd
IPA Indian Ports Association IPL Indian Potash Limited IRE Indian
Rare Earths Ltd IRR Internal rate of return ISPS International Ship
and Port Facility Security Code ICJ Industrial Coal Jetty IT -
Information Technology JBIC Japan Bank for International
Cooperation JV Joint Venture KL- Kilo Litres KM - Kilometre KPCL-
Karnataka Power Corporation Ltd. KPI Key Performance Indicator KWh
- Kilo Watts per Hour LNG- Liquefied Natural Gas M Meter MALCO
Madras Aluminium Company MBI Marketing and New Business Initiatives
MFA Multi- Fibre Agreement MOP Murate of Potash MT Million
Tonnes
14
Business Plan for Tuticorin Port Trust
MTEU Million Twenty Foot Equivalent MTPA Million tonnes per
annum NCB North Cargo Berth NH National Highways NHAI National
Highways Authority of India Ltd. NLC Neyveli Lignite Corporation
NMDP National Maritime Development Programme NPV Net Present Value
OH Outer Harbour PDS Public Distribution System POL Petroleum, Oil
and Lubricants PVC Polyvinyl Chloride RFP Request for Proposal RFQ
Request for Quotation RGDP Real gross domestic product RTG Rubber
Tyred Gantry Cranes Rs. Rupees R&B Real Estate and Building
SIPCOT State Industrial Promotion Council of Tamil Nadu SLC
Standing Linkage Committee SPIC Southern Petrochemical Industries
Corporation SSC SethuSamudram Channel Sq. m Square meters T Tonnes
TAC Tuticorin Alkalis and Chemicals Ltd TAMP Tariff Authority for
Major Ports TAT Turnaround Times TEU Twenty Foot Equivalent Unit TM
Traffic Manager TNEB Tamil Nadu Electricity Board
15
Business Plan for Tuticorin Port Trust
TNPL Tamil Nadu Newsprints & Papers Ltd. TPT Tuticorin Port
Trust TTPS Tuticorin Thermal Power Station TWC Tamil Nadu
Warehousing Corporation USA United States of America VCM Vinyl
Chloride Monomer VGF Viability Gap Funding VTMS Vessel Traffic
Management System Y-o-Y Year over Year
16
Business Plan for Tuticorin Port Trust
0 SummaryMission TPT shall be South Indias Quality leader in
General and Bulk cargo and the High Speed Container Pipeline
Provider for the Indian backbone Vision Goals Enhance Customer
attractiveness Market oriented planning Increase operating
efficiency Strengthen competitive position Attract investments
Better utilize IT facilities To be the preferred distribution hub
of India
Strategy Port development strategy o Implementation of captive
bulk berths/jetties o Separate entry for container, bulk and other
trucks at the gate o Installation of mechanized unloading
facilities o Construction of outer harbour Commercial strategy o
Intensification of relationships with major shipping / positioning
of prices to compete with Colombo o Attract players in the
liberalized railway market for improved development of the
hinterland o Increase in hinterland penetration Marketing Strategy
o Brand Tuticorin as the Power Hub for South India in the future o
Brand Tuticorin Port as the Distribution Hub for general/ bulk
cargo/ Container business
17
Business Plan for Tuticorin Port Trust
o Be proactive in providing adequate infrastructure for the
captive users of the Port o Partner with Ship liners for long term
container business with the port for EXIM trade and transshipment
operations Operational Strategy o Develop more mechanized handling
facility for bulk cargo o Develop more storage area for general
cargo inside the port premises o Ensure faster Turn Around Time
(TAT) for containers o Encourage users for more value addition work
inside the port Competitive Strategy o Time is the most competitive
factor for Tuticorin in winning over the competitors. Be proactive
in creating capacity and developing hinterland network. o Develop
the backbone concept in partner with private rail operator to
attract more container business. Financial strategy o Public
Private Partnerships through Joint Ventures (JV) o Private
Enterprise through Build Own Operate Maintain (BOOM) Route o
Private Enterprise through Build Own Operate Transfer
(BOOT)/Build Operate Transfer (BOT) Route o Fee-based Management
of New Port Facilities o Port-owned and Operated Projects
Strengths Geographic advantage Close to main shipping lines, all
weather port
WeaknessesInfrastructure Draft limitations High dredging costs
due to rock
18
Business Plan for Tuticorin Port Trust
No maintenance dredging costs Availability of Land for future
expansion / upgradation. High level of overall efficiency
Especially in container handling operations Only few labour
problems Fast and co-operative customs operations
and limestone harbour bed Insufficient gate capacity Evacuation
problems, congestion Old and outdated handling equipment bulk Poor
rail connectivity to important hinterland industrial clusters
Comparatively high port dues Trade imbalance in containers IT
infrastructure Poor with legacy systems delivering no real time
information flow inefficiencies break
Proactivity From Port in marketing and managing customers From
entrepreneurial trade community
Opportunities Construction of Outer Harbour Catering not only
for domestic containers but also international transhipping
Development of Tuticorin as Distribution Hub Short term for South
India Mid and Long term for Central and even Northern India
Integrating value added services Development of Tuticorin as Power
Hub Proactive attitude of Tamil Nadu Govt Industrial development
and attracting FDI Development of Sethusamudram Channel Time
ThreatsAction must be taken soonest to develop advantage
Competition Many ports in vicinity vying for same immediate
hinterland area
Dependence on political goods Thermal coal, fertilizer, wheat,
sugar Shipping trends Larger vessels Direct shipments to and from
other Indian ports
19
Business Plan for Tuticorin Port Trust
Market Analysis - Bulk Market Thermal Coal: Thermal Coal import
at Tuticorin is driven by the Captive thermal power plants. The
proposed power plants by TNEB and NLC are expected to increase the
import volume to 14MT by 2014. Industrial Coal: This market is
driven by cement and paper industry in Tamil Nadu. Chennai Port and
Ennore Port in a minor manner will show tough competition for
Tuticorin in terms of market share. Tuticorin Port will import
about 2 to 2.4 MT by the year 2014. Fertilizer Raw Material (FRM):
FRM market is driven by captive industries, SPIC and TAC. Since,
there is no capacity expansion plan in the immediate future; this
market is expected to remain relatively stable. Finished
Fertilizers: Finished fertilizers are imported by traders like
Indian Potash Limited (IPL) and other private players. This market
is highly regulated by the Government. This industry is expected to
grow along with the increase in agriculture growth rate and is
expected to reach about 0.7MT by 2014 Copper Concentrate: The
import of copper concentrate is driven by Sterlite. The facilities
of Sterlite are fully utilized and no further expansion
additionally to the existing ones is possible. The import is
expected to reach 2 MT by 2008 and expected to remain stable
thereafter. Timber Logs: The market for timber is mainly driven by
the construction and furniture industry. Construction business
gives Tuticorin Port a stable base. The furniture industry in India
is highly fragmented and there are no bigger players. Major demand
is from the North West clusters of India. Since, Cochin has removed
the ban on import of timber; import through Tuticorin is expected
to remain stable in the coming years. POL market: The demand of POL
in South India is saturated by refineries in Chennai, Cochin and
direct pipeline from Chennai to Madurai. A third refinery is also
coming up in Cuddalore. So, TransCare doesnt expect any
20
Business Plan for Tuticorin Port Trust
refineries in Tuticorin and there will not be any substantial
increase in the volume in the future. Liquid Bulk Imports: The
demand of liquid bulk other than POL is partly driven by the
captive industry like liquid ammonia for SPIC and Vinyl chloride
monomer (VCM) for DCW. No major growth in the future expected
because of e.g. no expansions of DCW (35% of the total volume) and
SPIC (20%). Growth is only driven by the imports of palm oil.
Therefore a slight increase is expected for the future. Other
Cargo: Other cargo includes food grains, cement, ilmenite and other
break bulk cargo. Part of this cargo like ilmenite and granite has
high potential to be containerised. Hence, volumes of these cargos
are expected to decrease in the future. The decrease in this volume
will be compensated by the exports of break bulk goods to Colombo
and Maldives. Overall, this market is expected to grow proportional
to the RGDP in the future.
Market Analysis Container Market World Container market is
largely driven by Chinese manufacturing market. Future Container
Market will be driven by Inner East-Asian trade. World Container
market is projected to grow from 400 million TEUs to 797 million
TEUs in 2014 to 1938 million TEUs in 2027 for the best case
scenario. Although Indias GDP growth is around 8% per year and
India has a 15% share in the Worlds population, its share in the
world container is only 1.1%. This is mainly because GDP in India
is still mainly driven by service industries (e.g. IT, Banking), as
comparable to the manufacturing sector in China. The situation may
change in the future and India is expected to become one of the
dominant players in the East-Asia container market in the midterm
when China is cooling down, but not at the scale of China.
Indias
21
Business Plan for Tuticorin Port Trust
Container market is expected to rise from current 5.11 Million
TEUs to 15.1 Million TEUs in 2014-15 to 48.5 Million TEUs in
2027-28. For TPT, The container market is and will be mainly driven
by the garment industry with growth rates of up to 30% per annum
especially when the free trade is fully realized. Machinery will
give the container growth a second stable base for the future. Well
developed hinterland network will also boost up the future
EXIM-trade. TPTs container market is expected to rise from 0.32
million TEUs currently to 1.18 million TEUs in 2014-15 to 3.53
million TEUs in 2027-28 in the expected case including both
domestic and transhipment volumes. For TPT, Transhipment can be
attracted especially for cargo on the following transport routes o
West Coast of India Eastbound (Imports and exports) o East Coast of
India Westbound (Imports and exports) o Transhipment potential from
the West coast is less as already huge share of the volumes is
going via direct calls to the final destination. o Expected
transhipment volumes for TPT are from 0.4 Million TEUs in 2014 to
0.9 Million TEUs in 2027.
Competitor Analysis Exports/ Imports, TPT is in a better
position overall against Port of Cochin and Chennai. But for the
scale and magnitude of infrastructure and operations, it scores
over Chennai in terms of efficiency and performance. Compared with
Cochin, TPT scores well on almost all the factors. Chennai has
problems of congestion and capacity saturation. This may mean more
traffic diversion to TPT in the future. Also, direct ship calls at
EU and US is a big advantage for TPT. TPT scores over all other
Ports in terms of market image. Marketing efforts of TPT are
commendable. TPT has much less labour issues with workforce than
the other Ports.
22
Business Plan for Tuticorin Port Trust
Two major bottlenecks for TPT are hinterland rail connectivity
and higher Port dues and charges. For transhipment market, TPTs
current situation is better than Cochin but nowhere near Colombo,
if it has to become a transhipment hub Port of South-East Asia. The
planned Port of Vizhinjam has much better chances with over 20
meters of natural draught.
Traffic and Vessel Forecast Tuticorin traffic is estimated to
reach about 40 MT by 2014 and 80 MT by the year 2027 in the
expected case scenario. Vessel traffic is estimated to reach 2200
numbers by the year 2014 and double in the next 10 years to 4400
numbers.Financial YearThermal Coal Industrial Coal FRM Fertilizers
Copper Concentrate Timber Liquid Bulk (POL) Liquid Bulk (Others)
Other Cargo Containers Containers
milliontonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes
tonnes tonnes TEU
07_086.1 1.4 1 0.5 2 0.4 0.8 0.4 3.7 4.9 0.46
10_116.1 1.7 1.1 0.6 2 0.5 0.9 0.5 4.4 8 0.73
14_1513.9 2.3 1.2 0.7 2 0.5 1 0.5 5.5 13.3 1.18
20_2115.1 3.5 1.3 0.9 2 0.5 1.2 0.6 7.3 24.7 2.11
27_2815.1 6 1.5 1.1 2 0.5 1.5 0.8 9.7 42.5 3.53
Total
tonnes
21.3
25.7
40.7
57.1
80.8
Table 1: Volume forecast (Expected Scenario) Transhipment TPT
Transhipment million TEU 09_10 0.12 14_15 0.36 19_20 0.61 24_25
0.84 27_28 0.92
Table 2: Container transhipment volume (included in the total
container volume)
Capacity Requirements Some of the infrastructure specifications
for future cargo and container traffic is as follows
23
Business Plan for Tuticorin Port Trust
Maximum vessel size future DWT tonnes / TEU Container 8,000 TEU
100,000 tonnes Thermal Coal Industrial Coal FRM Fertilizer Copper
Conc. Timber Construction material Liquid bulk Other cargo 65,000
tonnes 10,000 tonnes 80,000 tonnes 100,000 tonnes 70,000 tonnes
70,000 tonnes 35,000 tonnes 25,000 tonnes 20,000 tonnes
Maximum vessel size length M 320 m
Maximum vessel draft future m 14.5 m
Berth / Jetty length
Berth / Jetty depth
m 350.0 m
m 16.0 m
225 m 225 m 225 m 190 m 185 m 170 m 150 m
10.7 m 13.0 m 11.0 m 11.0 m 11.0 m 9.0 m 11.0 m
250.0 m 250.0 m 250.0 m 200.0 m 190.0 m 200.0 m 150.0 m
12.0 m 14.0 m 12.0 m 12.0 m 12.0 m 10.0 m 12.0 m
250 m 130 m
13.0 m 8.0 m
250.0 m 150.0 m
14.0 m 9.0 m
Table 3: Berth Specifications for different goods
Berth requirements for the Port has been derived based on the
forecasted volume and berth productivity. Some national and
international
benchmarks have been taken as reference for berth productivity
figures. Total number of berths required at each period of time is
shown below:Total number of berths needed 07_08 Container quay
meter Container berths (350m) Container area (storage) Berths
(Dusty dry bulk) Berths (Break bulk, clean dry bulk) Thermal Coal
Jetties Other dry bulk cargo jetties Liqid bulk (POL) Jetties Liqid
bulk (Others) Berths / Jetties Total number of berths Table 4:
Number of berths needed 305 m 1,0 Berths 31 ha 2,0 Berths 7,0
Berths 2,0 Berths 0,0 Berths 1,0 Berths 0,0 Berths 13,0 Berths
10_11 488 m 2,0 Berths 37 ha 0,0 Berths 7,0 Berths 2,0 Berths 1,0
Berths 1,0 Berths 1,0 Berths 14,0 Berths 14_15 789 m 3,0 Berths 47
ha 0,0 Berths 7,0 Berths 3,0 Berths 1,0 Berths 1,0 Berths 1,0
Berths 16,0 Berths 20_21 1.405 m 5,0 Berths 84 ha 0,0 Berths 9,0
Berths 3,0 Berths 2,0 Berths 1,0 Berths 1,0 Berths 21,0 Berths
27_28 2.352 m 7,0 Berths 141 ha 0,0 Berths 11,0 Berths 3,0 Berths
2,0 Berths 1,0 Berths 1,0 Berths 25,0 Berths
24
Business Plan for Tuticorin Port Trust
Land Use Plan Some of the major needs for Non containerized
cargo are as follows: o Minimum one additional mechanized dry bulk
cargo jetty (berth) has to be provided to cover the future demand
with a higher draught, keeping in mind the future increase in
vessel sizes. Mechanization will also eliminate the evacuation
problem. o Port has to augment the transport infrastructure inside
the Port, both in terms of road and rail to streamline the flow of
bulk goods in the Port. Major needs for Containerised cargo are as
follows: o The container traffic is the main driver for the growth
of the Port in the future. Separate land approach to the container
terminals is needed to avoid congestions for the container traffic.
o Port has to develop good intermodal facilities to reach extended
hinterland. Proposed land use plan o TransCare has proposed to add
about additional 710 hectares of land from the fly ash reclaimed
area for operational usage in the future.
25
Business Plan for Tuticorin Port Trust
Area to be Reclaimed
NEW LIGHT HOUSE
S. No. 1 2 3 4 5
Description Residential & Plantation Commercial&
Industrial Proposed area for future power plants Bulk Cargo Storage
Warehouse Area Container Yard Break Bulk Storage Trucks Parking
Area
Area 155 ha 50 ha 75 ha 40 ha 15 ha 40 ha 25 ha 18 ha
220 haPort BoundaryTO TU TICOR IN
6HARE ISLAND
Area Proposed for fly ash Reclamation
250 haOURSE
ROAD
Fly ash reclaimed area
4
6REAR LEADING LIGHT
LINK
240 ha TTPSLOW LYING AREA
7 8
SURP LUS C
3
7
8KOR A MP ALLA MC.I.S.F QUARTERS
CON
TAIN
ER YAR D CON
INDIA
CON
N POTASH GODOW N
PRIVA TE PETRO L BUNK
V.O.C. ROAD
CECRI, MMD, CUSTO MS QUART ERS
PSC,M
MD, TEMPO CUSTOMS RARY QUART ERS
OHT
CON
COMME RCIAL
5ROAD
TNW HC GOD
V.C.M
WAR EH
TAINER
YARDOWN S
OUS E
TAIN
6
RAILW
AY QUART
ER YAR D
NLC, 95 haAREA FORERS
RAILWAY
78WOR
S
BU
I.O.CLD TRAD E AVEN UEY PARK LORRAREA ING
TAIN
LK ST CARG OR AR AGE O EA
FRONT LEADING LIGHTNO RT H
ER YAR
D
R
QUAR TERS
BUNK
PETR OL
R
PORT SCHO OL GROU NDPORT SCHOOL S
T
7H ROAD BEAC
KOVI L
OIL JETTY WITH ADDITIONALCA R
S
SPACE FOR PROVIDING UNLOADING ARMGO BE RT H
E
PORT
SPIC
Q
U
PUMP HOUSE
7QUAR TERS
A
PORT HOSPITAL
O.H.TADMIN. OFFICES
SIDE TO
CISF OFFICE
1CONS TRUC TION ROAD
RLY.
R.C. CHURCH
CHILDRENS PARK PORT GUEST HOUSE
INSP.BUNGALOW FOR TNEB
GULF OF MANNARO PR AP H AC
TAC
AN CH
2Area for expansion
L NE
Existing Operational Area Existing Residential Area Existing
Plantation Area
Office Area
Main Railway Line Main Approach Road Proposed Inland Road
TransCare Proposed Area for New Projects TransCare Proposal for
reclamation
Figure 1: Proposed Land use plan (s. enlarged picture on Figure
43 )
Port planning o TransCare has evolved six layout alternatives to
cater to the needs of the Port in the next 20 years expansion of
the port in the outer harbour o Based on factors like investments
required, future capacity and market needs, access and internal
logistics, all these alternatives have been ranked. o Some of the
main advantages of the proposed layout are: Module wise development
Phase-wise development of breakwater possible Back up area increase
for bulk cargo Shortening distance to intermediate storage places
Good opportunity for integration of railway operations Extended
northern breakwater utilized for cargo handling Less extension of
the outer harbour into the sea
26
Business Plan for Tuticorin Port Trust
Liquid bulk storage yard 40,000 sqm
Bulk storage yard 144,000 sqm Fertilizer raw materials
Bulk storage yard 240,000 sqm Industrial Coal Copper
Concentrate
IAN POT
ASH
GODOWN
PVT.HOT EL
Shipbuilding yard 446,000 sqm
135m
3 separated gates for break bulk, bulk and container
NCB CJ 1re 15 ak 00 bu 54 m lk 12 ha quay term .8m leng inal
draf th t
OJ
CJ 2
B
te wa ak Bre
Container terminal 3rd module 1150m quay length xxx ha 14,5
draft Container terminal 1st module 1150m quay length 53 ha 16m
draft
Dy ke
le ter wa ak Bre th ng m 50 32
r leDusty Cargo Jetty 2
Dusty Cargo Jetty
OJ
th ng2
m 00 19
Container terminal 2nd module 1550m length 93ha 16m draft
er kwat Brea
00m th 23 leng
Rank 1 Recommended Layout
Bulk storage yard 144,000 sqm Fertilizer raw materials
Bulk storage yard 240,000 sqm Industrial Coal Copper
Concentrate
Liquid bulk storage yard 40,000 sqm
Bulk storage yard 144,000 sqm Fertilizer raw materials
Bulk storage yard 240,000 sqm Industrial Coal Copper
Concentrate
PVT.HO TEL
135m
3 separated gates for break bulk, bulk and container
N
P VT.HOTEL
Shipbuilding yard 446,000 sqm
NCB CJ 1Bre 70 ak 54 0m bulk 12 ha quay term .8m len ina gth l
dra ft135m
3 separated gates for break bulk, bulk and container
CC & RPShipbuilding yard 446,000 sqmCopper concentrate &
Rock phosphate
OJ
NCB CJ 1 OJ
CJ 2
CJ 2Break bulk Terminal 1500m quay length 54 ha 7m - 12.8m
draft
14
ng
th
r le
Container terminal 1st module 1350m quay length 128 ha 16m
draft
ak
wat e
te wa ak Bre th ng r le m 00 19
00
m
ak Bre
Container terminal 1st module 2300m quay length 118 ha 16m
draft
th ng r le te wa
Bulk Jetty cargo
Rank 2 Layout Alternate
Figure 2: Ranking of Layouts (s. enlarged pictures at Figure 51,
Figure 47, Figure 50)
er kwat Brea leng th 23 00m
m 00 19
Bre
Dusty Cargo Jetty
OJ
Bre akw
ate r le
Container terminal 2nd module 1400m quay length 92 ha 16m
draft
ng
th
Container terminal 2nd module 1550m quay length 93ha 16m
draft
195 0m
Container terminal 3rd module 1500m quay length 80 ha 16m
draft
ater akw Bre
leng
00m th 23
gth r len kwate Brea
m 2200
Rank 2 Layout Alternate
27
Business Plan for Tuticorin Port Trust
Planned Client/ Public related investment o All the NMDP
proposed projects have been analysed from both logistics and
financial point of view as independent projects and the Consultants
have given their views. o Except for the container terminal 9,
TransCare recommends to implement all the projects as per the plan
with the suggested financial model. TransCare recommends
implementing the
container terminal No9 directly in the outer harbour. Investment
Planning and Financial Evaluation o The total investments planned
for Tuticorin Port Trust is about Rs. 41,000 million/ US$920
million over the next twenty years. o All the investments proposed
are very critical for the Port to support their business in the
future. The investments are spread across wide areas of cargoes -
Setting up of captive berths to General Cargo berths to setting up
outer harbour to support container business. o Major investments,
about 90% is being done in the areas of deepening the channel and
inner harbour and the investments in outer harbour development. Out
of these two, outer harbour is going to be a critical project for
Tuticorin Port in the future.
Table 5: Investments for major projects
28
Business Plan for Tuticorin Port Trust
Business Plan Financial Projections o Ports revenue is growing
at a CAGR of 10% over a period of 20 years. It is growing at more
than 10% in the initial years due to additional revenue from the
volume due to new thermal power plants in Tuticorin.
Table 6: Financial projections
o Costs of the Port are growing at a lesser rate than that of
the revenue growth rate as the Port will not add more overhead in
the future and will go for more public private partnership model
for the Port operation. o Profit margin is expected to grow at a
CAGR of about 10% over the next 20 years. o BOT operators would
alone contribute more than about one-third of the revenue for the
Port by the year 2028. o The revenue per tonne would increase from
Rs .98 in 2006 to Rs. 173 in 2028, and the cost per tonne would
also increase from Rs. 38 to Rs. 46 in the next 20 years. The net
profit per tonne, would almost triple from Rs. 31 to Rs. 81 during
the same period. o Cost per tonne has not increased proportional to
the revenue per tonne due to the reason that more and more
operations are being taken up in PPP mode and 40% of the revenue
will alone be contributed by this mode at the end of 20 years, as
discussed earlier, and the overhead costs for the Port will
decrease.
29
Business Plan for Tuticorin Port Trust
1 Major Results1.1 Port Description1.1.1 Tuticorin Port
Trust
Tuticorin Port is one among the 12 major Ports in India situated
on the south eastern coast of India bordering the Gulf of Mannar in
the state of Tamil Nadu (latitude 845 N, longitude, 7813 E.). The
Port is located at about 129 nautical miles from the International
mainline shipping route connecting the far-east with the western
region.
Figure 3: Major Seaports in India
30
Business Plan for Tuticorin Port Trust
The Port is an artificial harbour impounding sheltered waters
between northern and southern breakwaters which face Sri Lanka on
the opposite side. The mentioned breakwaters run almost parallel
and provide an entrance to the Ocean end. The breakwaters project
approximately 4 plus km into the sea.
1.1.2
Cargo Traffic
Tuticorin Port Trust handled about 17.14 MT during the year
2005-06 and it has grown at a CAGR of 7% during the period 2001-06.
Details about the traffic in the Major Ports during the last five
years is as shown below:
All Figs in MT Chennai Cochin Ennore Haldia JNPT Kandla Kolkatta
Mormugao Mumbai New Mangalore Paradip Tuticorin Vizag
2001-02 36.12 12.06 3.40 25.03 22.52 37.73 5.37 22.93 26.43
17.50 21.13 13.02 44.34
2002-03 33.69 13.00 8.49 28.60 26.84 40.63 7.20 23.65 26.80
21.43 23.90 13.29 46.01
2003-04 36.71 13.57 9.28 32.57 31.19 41.52 8.69 27.87 30.00
26.67 25.31 13.68 47.74
2004-05 43.81 14.10 9.48 36.26 32.81 41.55 9.95 30.66 35.19
33.89 30.10 15.81 50.15 383.75
2005-06 47.25 13.94 9.17 42.22 37.75 45.91 10.81 31.69 44.19
34.45 33.11 17.14 55.80 423.41
CAGR (2001-06) 6.9% 3.7% 28.1% 14.0% 13.8% 5.0% 19.1% 8.4% 13.7%
18.4% 11.9% 7.1% 5.9% 10.2%
287.58 313.53 344.80 Total Major Table 7: Trade Statistics Major
Ports in India
31
Business Plan for Tuticorin Port Trust
Cargo for captive industries constitutes about 50% of the
overall traffic at Tuticorin Port. Some of the major captive
industries located in Tuticorin are Tuticorin Thermal Power Station
(TTPS), Southern Petrochemicals Industries Corporation (SPIC),
Sterlite, Tuticorin Alkali Chemicals (TAC), Kilburn Chemicals and
Dharangdhara Chemical Works (DCW). They mainly consume thermal
coal, copper concentrate, rock phosphate and sulphur. The trade at
Tuticorin Port can be best addressed by viewing the past Imports
and exports of the Port.
18 16 Traffic in million tonnes 14 12 10 8 6 4 2 0 199596 199697
199798 199899 199900 Import 200001 200102 200203 Total 200304
200405 200506
Export
Table 8: Trade Statistics Tuticorin Port Trust
Tuticorin is majorly an import oriented Port. Import Constitutes
about 75% to 78% of the traffic as shown above. Export is mainly
driven by the container market. Details about the hinterland market
drivers for imports and exports are being discussed in detail in
the following chapters. 1.1.2.1 General Cargo Import: The growth of
import volumes in the past five years has been mainly driven by the
following cargoes:
32
Business Plan for Tuticorin Port Trust
Thermal coal Industrial coal Copper concentrate Fertilizer Raw
materials (Rock Phosphate, Sulphur) Liquid bulk (mainly POL)
General Cargo (Finished Fertilisers, Timber etc.,)
These commodities are responsible for nearly 90% of the import
volume of 13.4 million tonnes in the year 2005-06.
Import (All figs in MT) Thermal Coal Industrial Coal Copper
Concentrate Sulphur Rock Phosphate Urea DAP MOP Timber POL Other
Liquids Containers Sugar Others Total
2001-02 5.19 0.682 0.542 0.072 0.423 0 0.025 0.259 0.462 0.429
0.455 0.919 0 0.353 9.811
2002-03 5.015 0.514 0.586 0.102 0.56 0 0.005 0.142 0.413 0.491
0.395 0.926 0.036 0.378 9.563
2003-04 5.266 0.523 0.626 0.07 0.539 0 0.009 0.168 0.456 0.558
0.431 1.102 0.095 0.341 10.184
2004-05 5.374 1.038 0.667 0.083 0.581 0.011 0 0.286 0.476 0.73
0.45 1.244 0.735 0.384 12.059
2005-06 6.146 1.094 1.014 0.083 0.875 0.111 0.037 0.336 0.428
0.765 0.408 1.393 0.184 0.5 13.374
CAGR (2001-06) 4.3% 12.5% 17.0% 3.6% 19.9% NA 10.3% 6.7% -1.9%
15.6% -2.7% 11.0% NA 9.1% 8.1%
Table 9: Major Import goods in Tuticorin Port Trust
Thermal coal traffic is being driven by the captive thermal
power plant, TTPS. Copper concentrate volume has doubled in the
last five years and is expected to grow another 2 times until the
year 2008, at which time the Sterlite plant will have reached full
capacity. The fertilizer industry in the Tuticorin area is
dominated by
33
Business Plan for Tuticorin Port Trust
the SPIC and by TAC, which is a 100% affiliate of SPIC. The
current volume of FRM being rock phosphate and sulphur is about 1
million tonne. This includes import volume of Sterlite of about
600,000 tonnes. The main consumers for industrial coal are
currently the cement and the paper industries. Industrial coal
volume has been growing at a CAGR of 12% over the last five years.
Import of finished fertilisers (Urea, DAP, MOP) also show a healthy
growth rate of 14% over the last five years. Within liquid bulk,
the main products are POL products which represent a 70% share of
the volume in the year 2005-06. Furthermore, palm oil Imports now
share about 11% of the total liquid bulk, with these Imports only
starting five years ago in 2001-02 and growing at a CAGR of 25%.
The volume for timber logs was more or less stable over the last
five years with a CAGR of (-2%) from 2001 to 2006.
Export: The main drivers for the growth of the export volume in
the last six years were General cargo, Construction materials,
Cement and Ilmenite ore.
Export (All figs in MT) Wheat Cement Salt Ilmenite Sand Granite
Construction Material Sugar Containers
2001-02 0.285 0.031 0.392 0.062 0.276 0.031 0.433 1.279
2002-03 0.856 0.04 0.181 0.122 0.343 0.096 0.514 1.375
2003-04 0.293 0.031 0.081 0.184 0.385 0.148 0.19 1.585
2004-05 0.042 0.08 0.091 0.195 0.434 0.292 0.01 1.961
2005-06 0 0.206 0.04 0.193 0.33 0.414 0 2.035
CAGR (2001-06) NA 60.6% -43.5% 32.8% 4.6% 91.2% -100.0%
12.3%
34
Business Plan for Tuticorin Port Trust
Others Total
0.223 3.206
0.196 3.729
0.282 3.494
0.228 3.75
0.169 3.764
-6.7% 4.1%
Table 10: Major Export goods in Tuticorin Port Trust
General cargo is mainly driven by containerized cargo which
represents more than 70% of the total volume. Construction
materials are mainly exported to Maldives. The volume has highly
increased during the last five years at a CAGR of 90%. Food grains
such as wheat, sugar show a great seasonal trend.
1.1.2.2 Containers Container volume in Tuticorin Port has been
growing at a CAGR of 10.7% over the last five years against the
growth rate of 15.4% of Indian container market.
All figs in million TEUs Kolkatta Haldia Vizag Chennai Tuticorin
Cochin JNPT Mumbai Kandla Sub-Total Others Total
2001-02 0.098 0.093 0.022 0.344 0.214 0.152 1.573 0.254 0.126
2.876 0.01 2.886
2002-03 0.106 0.117 0.022 0.425 0.213 0.166 1.93 0.213 0.157
3.349 0.017 3.366
2003-04 0.123 0.134 0.02 0.539 0.254 0.17 2.269 0.197 0.17 3.876
0.054 3.93
2004-05 0.159 0.129 0.046 0.618 0.307 0.186 2.371 0.219 0.18
4.215 0.272 4.487
2005-06 0.203 0.11 0.047 0.734 0.321 0.203 2.668 0.156 0.146
4.588 0.523 5.111
CAGR 20.0% 4.3% 20.9% 20.9% 10.7% 7.5% 14.1% -11.5% 3.8% 12.4%
168.9% 15.4%
Table 11: Container Traffic Major Ports in India
35
Business Plan for Tuticorin Port Trust
Import:
Import (in TEUs)
2001-02
2002-03
2003-04
2004-05
2005-06
CAGR
Empty
35,229
46,979
60,525
72,832
69,774
18.6%
Loaded
68,344
57,476
65,308
75,836
86,243
6.0%
Total
103,573
104,455
125,833
148,668
156,017
10.8%
Table 12: Container Import Traffic Details - TPT
The main containerized import commodities handled at Tuticorin
Port are Waste paper, Raw cashew and Machinery.
These three commodities alone represent more than 50% of the
total import container volume. Top eight commodities alone are
responsible for about 80% of the total import volume, please refer
to the following Table 13.Market Share 2005 28,8% 14,3% 10,8% 7,8%
5,8% 4,1% 4,0% 3,8% 3,4%
Growth % Commodity Name Year 2004 Year 2005 31,5% 1 Waste Paper
17483 22982 1,3% 2 Raw Cashew 11286 11428 44,8% 4 Machinery 5947
8609 -35,0% 3 Raw Cotton 9647 6266 16,3% 5 Peas/Pulses items 3969
4615 51,4% 9 Metal scrap 2147 3250 6 Wood products 2976 3232 8,6%
17,0% 7 Chemicals 2560 2996 132,5% 8 Cotton fabrics 1155 2685 Table
13: Major commodities for import container market at TPT
Accumulated
28,8% 43,1% 53,9% 61,7% 67,5% 71,5% 75,6% 79,3% 82,7%
Major import sectors for Tuticorin Port are currently Africa,
Far East / Japan and the US including Canada and South America. The
import from America is driven mainly by waste paper with more than
50% of all container Imports from America. The other major regions
for the import of waste paper are Continental Europe
36
Business Plan for Tuticorin Port Trust
and the Indian Sub-continent. The other main goods from Indian
Subcontinent are food items and metal scrap, and from Europe
machinery.
Import by origin Africa Australia / New Zealand Far East / Japan
Indian Sub-Continent Middle East Mediterranean Russia UK /
Continental / Scandinavian US / Canada / S.America Sum 2003 15,233
1,112 10,374 5,693 7,227 5,589 719 5,218 12,007 63,172
Volumes 2004 18,016 916 10,615 7,779 7,846 4,767 493 8,571
10,614 69,617
2005 14,280 1,012 12,760 10,621 9,705 8,154 1,111 9,230 13,093
79,966
CAGR -3.2% -4.6% 10.9% 36.6% 15.9% 20.8% 24.3% 33.0% 4.4%
12.5%
Market share 2005 17.9% 1.3% 16.0% 13.3% 12.1% 10.2% 1.4% 11.5%
16.4% 100.0%
Table 14: Market shares by sector for import containers at TPT
(Volumes in TEUs)
Export:Export (in TEUs) 2001-02 2002-03 2003-04 2004-05 2005-06
CAGR
Empty
10,627
4,050
6,627
6,697
3,837
-22.5%
Loaded
99,309
104,420
121,420
152,395
161,206
12.9%
Total
109,936
108,470
128,047
159,092
165,043
10.7%
Table 15: Container Export Traffic Details - TPT
Export container volumes are mainly driven by Garments, cotton
yarn and cotton piece goods
These three goods are responsible for more than 50% of the
volume. Cotton yarn was the only commodity from the major goods
which had negative growth rates
37
Business Plan for Tuticorin Port Trust
in the last six years, which is mainly due to fulfilment of the
needs in South India by domestic production from North and Central
India.Commodity Name Year 2004 TEU 42.465 21.538 13.182 7.983 4.239
5.065 4.587 4.510 4.559 2.955 3.383 Year 2005 TEU 49.384 17.862
17.345 9.238 6.824 5.887 5.756 5.459 4.714 4.547 4.187 Growth %
16,3% -17,1% 31,6% 15,7% 61,0% 16,2% 25,5% 21,0% 3,4% 53,9% 23,8%
Market Share Accumulated Share 2005 31,1% 31,1% 11,2% 42,3% 10,9%
53,2% 5,8% 59,0% 4,3% 63,3% 3,7% 67,0% 3,6% 70,7% 3,4% 74,1% 3,0%
77,1% 2,9% 79,9% 2,6% 82,6%
1 2 3 4 5 6 7 8 9 10 11
Garments Cotton Yarn Cotton piece goods Garnet sand Vegetables /
Fruits Machinery Granite Items / Tiles Frozen Sea Foods Paper
products Coir Products DCP/Chemicals
Table 16: Major commodities for export container market at
TPT
The main export markets for Tuticorin Port are Europe and US
which are responsible for about 70% of the export containers. The
volumes for US and Europe are mainly driven by the commodities of
garments which has a share on the total export volume to these
destinations of 40 to 55%. Furthermore these regions take the major
market share for cotton piece goods, machineries, and granite
items.
Export by destination Africa Australia / New Zealand Far East /
Japan Indian Sub-Continent Middle East Mediterranean Russia UK /
Continental / Scandinavia US / Canada / S.America Sum 2003 2,243
2,317 14,031 10,847 8,941 15,263 1,116 33,445 22,647 110,850
Volumes 2004 3,405 2,118 17,596 13,692 9,416 19,700 1,437 43,340
33,045 143,749
2005 4,152 1,908 15,385 14,216 10,971 21,804 1,800 49,192 39,487
158,915
CAGR 36.1% -9.3% 4.7% 14.5% 10.8% 19.5% 27.0% 21.3% 32.0%
Market share 2005 2.6% 1.2% 9.7% 8.9% 6.9% 13.7% 1.1% 31.0%
24.8% 100.0%
Table 17: Market share by sector for export containers at TPT
(Volumes in TEU)
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Business Plan for Tuticorin Port Trust
1.1.3
Vessel Traffic
The present vessel size mix at Tuticorin Port is shown in the
table below. Currently there are no vessels for Crude calling at
Tuticorin and there are no regular passenger carriers.
S.No. 1 2
Category Containers- Cellular Break Bulk Dry Bulk
Number 518 540
GRT 6,216,335 2,374,483
NRT 2,991,929 1,244,720
DWT 7,764,764 3,387,126
3
- Conventional - Mechanical Liquid Bulk - Crude
179 151
3,763,579 4,233,792
2,145,021 2,166,662
6,230,892 6,829,642
76 28 21 35 28 1576
1,392,340 383,936 94,002 204,009 7,490 18,669,966
625,353 122,482 47,286 90,757 6,495 9,440,705
2,137,118 432,569 151,928 294,013 11,227 27,239,279
4
- Product (POL& LPG) - Chemicals - Vegetable Oils -
Others
5
Small Vessels at Zone - B Total
Table 18: Vessel size mix at Tuticorin Port for the year 2005_06
(Source: TPT)
There are many regular container services going from and to
Tuticorin Container Terminal (TCT), which is operated by a private
operator PSA-SICAL. Regular Container services from and to
Tuticorin container terminal are as follows: Colombo Singapore port
Klang Jebel Ali US East Coast US West Coast Europe & China 9
services per week 2 services per week 2 services per week 2
services per week 2 service per week 1 service per week 1 service
per week
39
Business Plan for Tuticorin Port Trust
One example for regular container services is the Round The
World (RTW) service operated by RASIA / GSL / CSCL is shown on the
figure below.
Figure 4: Route of Round the world container service (Source
PSASICAL)
1.1.4
Modal Split Analysis
Road dominates the mode of transport in Tuticorin Port with a
share of 83% in the year 2005-06, excluding the transfer of thermal
coal by conveyor to the captive thermal power plant. This is
attributed to the closeness of the hinterland to the Port and
relatively better road connectivity than rail.
Mode of Transport Road Rail Pipelines Conveyor Total
2004-05 Import (in MT) 5.149 0.532 1.004 5.373 12.06 Export (in
MT) 3.646 0.0916 0.0126 0 3.75 Total (in MT) 8.795 0.6236 1.0166
5.373 15.81 % 55.6% 3.9% 6.4% 34.0% 100.0% Import (in MT) 5.43
0.741 1.053 6.15 13.37
2005-06 Export (in MT) 3.66 0.094 0.008 0 3.76 Total (in MT)
9.09 0.835 1.061 6.15 17.14 % 53.0% 4.9% 6.2% 35.9% 100.0%
Table 19: TPT Modal split for the year 2004-05 and 2005-06
40
Business Plan for Tuticorin Port Trust
Upon importing the liquid goods via pipeline from the vessels,
they are also being distributed to the hinterland by means of road.
This further increases the road share to 90%. Rail carried a measly
volume of less than a million tonne of the total traffic during the
year 2005-06. TamilNadu Newsprint and Papers Limited (TNPL) carry
their share of industrial coal of about 0.5MT by rail only. This
forms a major share of about 50 to 60% of total rail traffic in
TPT. This is followed by dispatch of finished fertilisers to the
hinterlands by rail. Majority of the food grains (import/ export)
are also being carried by rail, though the trend of these cargoes
is more seasonal. Though containers are not currently being
transported by rail, there would be a shift from road to rail in
the future with the rail infrastructure development projects that
are on the anvil.
41
Business Plan for Tuticorin Port Trust
LOW LYING AREA
HO US E
Coal Jetty 1BU LK S T CAR OR G AR AGE O EA
C
WA
RE
V.C.M
FRONT LEADING LIGHTNO RT
Liquid Bulk JettyOIL JETTY WITH ADDITIONAL SPACE FOR PROVIDING
UNLOADING A
H
CA
RG O
BE RT H
Coal Jetty 2
ADMIN. OFFICES
Cargo Berth 8 Shallow berths Container Berth 7 PSA/SICAL Cargo
Berths 5 - 6 Cargo Berths 1 - 4Figure 5: Tuticorin Port Trust
Existing MapCH OA PR AP L NE AN CH
42
Business Plan for Tuticorin Port Trust
1.1.5
Port Infrastructure
1.1.5.1 Dimensions Tuticorin Port is an artificial harbour with
parallel breakwaters projecting into the sea. The south breakwater
has a length of 3.8 km and the North breakwater has a length of
4.1km. The distance between the two breakwaters is about 1,275 m.
The harbour is served by an approach channel, 2.4 km length and 183
m width. The draught of the approach channel is 12.5 m. Tuticorin
harbour basin has a maximum depth of 10.7m with a turning circle
diameter of 488m.Maximum No. Name Type Quay Maximum size of vessel
that can be accommodated Length(m) 183* 183* 245* 245* 183* 245*
245 245* 120 DWT 25000 40000 50000 50000 40000 40000 50000 65000
5000 Break bulk Break bulk Break bulk / Dry bulk Break bulk / Dry
bulk Break bulk Break bulk Containers Break bulk / Dry bulk Break
bulk / Dry bulk Remarks
permissible Length draught (m) (m) 9.30 9.30 10.70 10.70 8.60
9.30 10.90 10.90 5.85 168 168 192 192 168 168 370 345.5 140
1 Berth No.I 2 Berth No.II 3 Berth No.III 4 Berth No.IV 5 Berth
No.V 6 Berth No.VI 7 Berth No.VII 8 Berth No.VIII 9 Shallow water
berth I Shallow water berth II
Alongside Alongside Alongside Alongside Alongside Alongside
Alongside Alongside Alongside
10
Alongside Jetty Jetty Jetty
5.85 10.70 10.90 10.90
121 228 185 200
75 229 225 225
5000 65000 52378 77400
Passenger Liquid Bulk Thermal Coal (Captive) Thermal Coal
(Captive)
11 Oil jetty 12 Coal jetty-I 13 Coal jetty-II
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Business Plan for Tuticorin Port Trust
*Subject to availability of space.vessel for berthing and
unberthing
There should be at least 15 m clearance from forward and after
end of the
Table 20: TPT - Berth dimensions
1.1.5.2 Cargo Handling Equipments
An overview of the cargo handling equipment is given in the
following table.Berth 1 & 2Equipment Electric Wharf crane El t
i Wh f Number 2 1 Capacity 6 tons 10 t Remarks 23,0 m outreach 23 0
t h
Berth 3 & 4Equipment Electric Wharf crane Number 3 Capacity
20 tons Remarks Grab crane
Coal Jetty 1Equipment Hopper Conveyor Number 7 1 Capacity 100
tons 2000 tons per hour Remarks
Coal Jetty 2Equipment Hopper Conveyor Number 7 1 Capacity 100
tons 2000 tons per hour Remarks
Other eqipment owned by the portEquipment Number Capacity
Remarks
Top lift trucks M bilLocomotive
3 21
40 tons 75 t1.500 tons
For moving of containers L di / l di t h ll b th Removal of
trains from the marshalling yard to the port and v.v.
Container Terminal (eqipment not owned bythe port)Equipment Ship
to shore cranes Rubber tyred gantry cranes Lorries Refer points
Number 3 8 12 84 Capacity Remarks 40 tons 2 new cranes, up to 45
transshipments per hour 1 nearly 20 year old crane from Taiwan 4
new 4 used ones 1 over 4
Table 21: Equipment at the berths
At berth I and II the 10 ton crane is already dismantled and not
in service anymore.
44
Business Plan for Tuticorin Port Trust
Berth No. 3 and 4 are equipped with three 20T electric cranes
that are being predominantly used to unload bulk cargoes. Coal
Jetty I and II are equipped with hoppers and conveyors to unload
thermal coal for the captive power plant. Additional berths I and
II are largely being used for break bulk cargoes like construction
materials, timber, granite etc., As there are no shore handling
cranes, the ship cranes are being used for the handling purposes.
The oil jetty is equipped with seven different unloading pipelines
for Naphta, LPG, Ammonia, furnace oil, Diesel, and PVCM. There are
two lines for Naphta, therefore there are seven pipelines for six
goods groups.
1.1.5.3 Storage Facilities The storage capacity at the wharf
area is shown in the following table. Since Tuticorin Port is
majorly built on breakwaters, Port is not endowed with enough back
up area. This is a problem, particularly for handling bulk cargo.
The bulk storage area is located at about 3kms from the wharf area.
Hence, enough number of tippers need to be engaged to evacuate the
cargo from the wharf, which leads to other consequences like
increase in the traffic inside the Port, higher stevedoring charges
etc.,Berth Name VOC I VOC II VOC III VOC IV Additional Berth I
Additional Berth II Container Terminal 8th Berth Shallow Berth I
Shallow Berth II Finger Jetty Oil Jetty Marine Unloading Arms Nil
Facilities Transit Sheds: Area - 10,800 sq.m.
Open Storage Area: 42,000 sq.m.
Open Storage Area: 60,000 sq.m. 10 ha area Open Storage Area: 5
ha
45
Business Plan for Tuticorin Port Trust
Coal Jetty I Coal Jetty II Table 22: Terminal areas at TPT
Shore Reception Hoppers
Within the green gate (port harbour boundary) area, there are
expansion possibilities next to the warehouses and bulk storage
areas, where an area of about 32 ha has been reclaimed. Outside the
green gate about 200 hectares has been reclaimed from the sea for
future use, pending Government environmental approval.Type A. OWNED
BY PORT 1. Transit shed 2. Warehouses 3. Open spaces 2 4 .. Inside
533,000 .. .. Inside Inside 10,800 20,550 .. .. .. .. .. .. 54,000
TEUs .. .. .. NO. Location Dry Storage Area (Sqm.) Liquid storage
Type of cargo Container storage Remarks
B. OWNED BY PRIVATE PARTIES OWNED 1. Warehouses 14 Outside
423,000 .. .. .. BY: TNWHC OWNED BY: CWC
2. Warehouses
2
Outside
36,000
..
..
..
3. Tank
3
Inside
..
15,000 M3
Phosporic acid Naptha
..
SPIC
4. Tank
1
Outside
..
13,700 Kl.
..
5. Tank
1
Outside
..
13,800 Kl.
Naptha
..
6. Tank
1
Outside
..
14,100 Kl.
Naptha
..
7. Tank 8. Tank 9. Tank
3 1 1
Outside Outside Outside
.. .. ..
25,500 Kl. 750 Kl. 540 Kl.
Furnace oil LSFO LSHFHSD
.. .. ..
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Business Plan for Tuticorin Port Trust
10. Tank 11. Tank
3 2
Outside Outside
.. ..
7,800 Kl. 15,000 Kl.
Petrol HSD
.. ..
12. Tank 13. Tank 14. Tank 15. Tank 16. Tank 17. Tank
2 2 1 10 1 1
Outside Outside Outside Outside Outside Outside
.. .. .. .. .. -
10,830 Kl. 7,790 Kl. 15,000 Kl. 2,000 M3 5,000 M3 10,000 M3
Kerosene EDC LPG VCM VCM Ammonia
.. .. .. .. .. .. SPIC
Table 23: Storage facilities at TPT
Outside the Port harbour boundary, TamilNadu Warehouse
Corporation (TWC) owns 14 warehouses with an area of about 423,000
sq.m. These warehouses are primarily being used for storing
finished fertilisers, food grains etc., These are located next to
the railway marshalling yard so as to enable easy handling of these
cargoes.
For the container business at TPT, the container terminal is
well supported by eight Container Freight Stations (CFS) and one
Inland Container Depot (ICD), which are responsible for 70% of the
import traffic. The location of the CFS and ICD are as shown
below:
47
Business Plan for Tuticorin Port Trust
Figure 6: CFS and ICD in Tuticorin district
1.1.5.4 Port Road Infrastructure The harbour area is connected
to the mainland by means of a four lane approach road laid on the
break waters and another approach road from the Port gate to the
National Highways. The approach road to the Port handles on an
average about 3000 trucks in a day including both outstation trucks
and the tippers shuttling between the captive industries and the
Port. More details about the Road hinterland connectivity has been
discussed in the hinterland connectivity. 1.1.5.5 Port Rail
Infrastructure Port Marshalling yard is located behind the Tamil
Nadu warehouse building. Currently, this yard has about 5 sidings.
Cargoes like fertilisers and food grains are currently being loaded
from the marshalling yard. A single line broad gauge link connects
the marshalling yard to the harbour area. Industrial Coal for TNPL
is currently being directly loaded from the wharf area to the rail
and dispatched to the hinterland. Rail is expected to handle about
15 trains per day in the future.
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Business Plan for Tuticorin Port Trust
NEW LIGHT HOUSE
HARE ISLAND
Port Boundary
TO TU TICOR IN
Railway Marshalling Yard Flyash Reclaimed Area Main Railway
LineREAR LEADING LIGHT
ROAD
LINK
OURS E
LUS C
Main Approach Road
SURP
TTPSLOW LYING AREA
CONTA INER YAR
DRAIL WAY QUAR TERS
AREA
FOR
YARD
INDIAN
KOR A
HC GO DOW
WA RE
PRIVA TE PETR OL BUNK
CONTA INER YARDV.O.C .ROA D
POTAS H GODO
WN
TNW
V.C.MNS
HO US EBU LK ST CAR OR G AR AGE O EA
CONTA INER
RAILW AYS
MPA
IL
LLAMQUA
I, MMD , CUST OMS QUAR TERS
CECR
PSC, MMD , CUST TEMP OMS ORAR Y QUAR TERS
COM
OHT
CONTA IAL ROAD INER YARD
MERC
WORLD
I.O.CTRADE AVENUEPARKING LORRY A ARE
FRONT LEADING LIGHTNO RT H
S
RTE RS
KOV
R
OIL JETTY WITH ADDITIONALCA R
BUN K
ROL
R
PORT SCHOOL GRO UNDPORT SCHOO LS
T
SPACE FOR PROVIDING UNLOADING ARMGO BE RT H
POR T PET
SPIC
Q
U
C.I.S.F QUARTERS
A
PUM HOU P SE
E
PORT HOSPITAL
RS RTE QUA
O.H.TD CH ROA
ADMIN. OFFICES
DE TO
BEA
CISF OFFICE
RLY. SI
R.C. CHURCH
CHILDRENS PARK PORT GUEST HOUSE
INSP.BUNGALOW FOR TNEB
GULF OF MANNARP PR AP OA H CH
TAC
CONS TRUC TION ROAD
N AN CH L NE
Figure 7: Road/ Rail Infrastructure at TPT
49
Business Plan for Tuticorin Port Trust
1.1.6
Operational Performance
The operational performance of the Port can be best measured by
parameters like ship Turn Around Time (TAT) and Pre-Berthing Time
(PBT). The operational parameters of Tuticorin Port during the last
five years are shown below:
2001-02 No of ships (total excl. zone B) No of container ships
PBT (days) TAT (days) Stay at Berth (days) Parcel Size (tonnes)
Berth daily output (tonnes) 1400 488 0.44 2.97 2.36 9199 3900
2002-03 1426 474 0.3 2.54 2.09 9218 4403
2003-04 1517 516 0.07 1.95 1.82 9167 5040
2004-05 1479 463 0.07 2.22 2.05 10880 5280
2005-06 1548 518 0.13 2.23 2.04 10993 5392
Table 24: Performance Parameters at TPT
As can be seen from the table above, the PBT has decreased over
the years from 0.44 days to 0.13 days. Berth No.8 was commissioned
in the year 2002 and it is further dredged to 10.8m draught during
the year 2003, which contributed to the reduction in the PBT during
the years 2002-03 and 2003-04.
The vessel TAT also dropped from 2.97 days to 2.23 days over the
period of last five years. Three 20T cranes were commissioned in
the berths VOC III and VOC IV, which contributed to the reduction
in the TAT from 2.54 days to 1.95 days during the year 2002-03 and
2003-04. Again TAT started increasing from 2003-04 as the bulk
dusty cargo traffic started increasing and no further capacity was
added to accommodate the same. Berth occupancy of these two berths
also improved drastically due to the same reasons. Berth occupancy
for these two berths have currently reached close to 70%, which has
introduced congestion and increased PBT during the year
2005-06.
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Business Plan for Tuticorin Port Trust
All values in % No.1 No.2 No.3 No.4 No.5 No.6 No.7 No.8 Shallow
Berth No.1 Shallow Berth No.2 Oil Jetty Coal Jetty I Coal Jetty
II1
Commodity Break Bulk Break Bulk Bulk - Dusty Cargo Break Bulk
Break Bulk Containers Clean Cargo Break Bulk Break Bulk POL Thermal
Coal
2001-02 93 90 81 80 87 87 32 62 77 67 26 71 65
2002-03 88 83 72 83 75 82 30 51 65 56 23 61 56
2003-04 80 82 51 47 84 71 38 58 50 39 22 56 52
2004-05 78 71 56 60 74 73 41 65 51 43 29 58 51
2005-06 81 71 67 69 75 69 37 66 51 48 32 63 65
Table 25: Berth Occupancy Statistics - TPT
As shown below, the volume of dusty cargo handled in berth nos
III and IV has increased considerably from 2.2 million tonnes to
3.6 million tonnes at a CAGR of 11% over a period of five years.
Also, traffic in the berth 8 has increased from 0.05 million tonnes
to 0.8 million tonnes over the same period. With all these three
berths racing towards their capacity limits to accommodate increase
in dry bulk cargo volume, TPT needs to expedite its projects in
adding capacity or introduce complete mechanisation for some of the
dry bulk commodities to improve the operational performance
parameters and reduce the logistics cost for the Users of the
Port.
All values in tonnes Berth No. I Berth No. II Berth No. III
2001-02 544,484 565,717 1,127,824
2002-03 785,921 609,100 1,028,813
2003-04 458,839 438,103 1,002,619
2004-05 NA NA NA
2005-06 497,783 362,156 1,808,900
CAGR 2001-06 -2.2% -10.6% 12.5%
1
Berth number 7 is considered as 2 berths, 7a and 7b
51
Business Plan for Tuticorin Port Trust
Berth No. IV Berth No. V Berth No. VI Berth No. VII Berth No.
VIII Shallow Berth I Shallow Berth II Coal Jetty I Coal Jetty II
Oil Jetty Finger Jetty Zone B Total
1,196,521 515,221 602,165 2,198,413 52,228 215,682 106,490
2,685,086 2,504,928 536,668 79,065 86,810 13,017,302
985,060 622,923 726,665 2,300,581 129,884 248,212 123,276
2,412,835 2,601,733 595,558
1,013,375 429,626 499,454 2,687,045 746,389 214,365 145,400
2,796,761 2,469,430 580,613
NA NA NA NA NA NA NA NA NA NA NA
1,842,477 436,283 502,597 3,428,303 806,852 196,593 97,510
2,636,598 3,509,296 891,237
11.4% -4.1% -4.4% 11.7% 98.3% -2.3% -2.2% -0.5% 1.3% 59.9%
-100.0%
122,965 13,293,526
196,402 13,678,421
NA NA
122,273 17,138,858
8.9% 7.1%
Table 26: Berthwise Cargo Handled Statistics - TPT
From the Customs front, Tuticorin Port uses an Electronic Data
Processing System (EDP) that offers an online facility to exchange
data between the Port and the following stakeholders of the Port.
Customs PSA Sical - Container Terminal Remote areas Green gate
Vessels
The system is in operation since April 2003 and the Users are
satisfied about the documents processing time from the Customs.
From the Ports perspective, Port needs to reduce the number of
documents processing points for the trucks, which has been
discussed in detail under the chapter 1.6.4, Capacity and
Bottlenecks.
Regarding security measures at the Port, CISF (Central
Industrial Security Force) is responsible for all persons, vehicles
and goods entering and leaving the Port.
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Business Plan for Tuticorin Port Trust
CISF fulfills the standards of ISPS level 1. Therefore CISF has
obligation to check 5 % of everything arriving at or leaving the
Port. Customs is checking about 5 % of the goods, actually
satisfying the requirements of ISPS and CISF will not make anymore
checking.
With regards to the ISPS standards, everyone entering the Port
will be identified by authorised swiping cards electronically. This
will be done at the green gate. CISF will also patrol around the
land side part of the Port up to the harbour basin. So far there
are no electrical surveillance systems operating at the Port. The
prequalification phase for a CCTV system is currently running.
There is no Vessel Traffic Management System (VTMS) in operation
at the moment. The Port of Tuticorin uses Automatic Identification
System (AIS2). A radar system to track the vessels within the Port
is planned to be installed until spring 2007. There is no other
system planned until today, also because of simple operations, only
one approach channel.
1.1.7
Capacity Analysis
TransCare has analysed the capacity of the existing facilities
at Tuticorin Port Trust as follows:
2
The AIS is a shipboard broadcast system that acts like a
transponder, operating in the VHF
maritime band, that is capable of handling well over 4,500
reports per minute and updates as often as every two seconds. It
uses Self-Organizing Time Division Multiple Access (SOTDMA)
technology to meet this high broadcast rate and ensure reliable
ship-to-ship operation.
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Business Plan for Tuticorin Port Trust
Table 27: Existing Capacity Tuticorin Port Trust
1.2 Cargo Forecast1.2.1 Thermal Coal
Tamil Nadu has about 10,098 MW of installed power generation
capacity (that includes capacity of both state and central power
houses located in TamilNadu), which covers the current needs within
the state of Tamil Nadu. TNEB, a state owned power entity is
currently able to meet 46% of its demand from its own facilities,
while the balance is being purchased from the central and other
private parties. Tamil Nadu is planning to install three therma