KOCHI PORT - A PROFILE

3.1 HISTORY OF THE PORT

Kochi port is a natural port. The modern port of Cochin was developed
during the period 1920 1940 due to the untiring efforts of Sir Robert Bristow.
Earlier the ships were berthed offshore with cargo handling and unloading being
done using lighters. The ships were exposed to all violent forces of the open sea.
Sir Robert Bristow was a visionary who foresaw the port, which would take the
ships alongside the berths. By 1940 he had transformed Kochi Port as safest
harbour in the peninsula.
By 1930 -31 the port was formally opened for vessels up to 30` draught.
Kochi was given the status of major port in the year 1936. The administration of
the port got vested in a Board of Trustees on 29th February 1964 under the Major
Port Trust Act, 1963. The members of the Trust comprises of Chairman, Deputy
Chairman and 17 Trustees.

LOCATION OF KOCHI PORT

LOCATION MAP OF KOCHI PORT

The port of Cochin is located on the Willingdon Island at latitude 9 58`

North and longitude 76 14` East on the South West coast of India about 930 km
south of Bombay and 320 km north of Kanyakumari.
The entrance of port is through the Cochin Gut between the peninsular
headland Vypeen and Fort Cochin. The port limits extend up to the entire
backwaters and the connecting creeks and channels.
The approach channel up to the Cochin Gut is about 10 km long with a
designed width of 200M and maintained dredged depth of 13.8M from the Gut the
channel divides into Mattancherry channel and Ernakulam Channel, leading to
west and east of willing don Island.

FEATURES OF KOCHI PORT

Kochi port is a natural all weather port

It has deep drafter alongside berth with modern cargo handling equipment

The port has adequate warehousing capacity

It is well linked to the main centers of the country by road, rail and air

It offers attractive tariff structure

It is awarded ISO 9001 - 2000

It is free from pilferage

It is a free port from congestion

It has high labour productivity and cost effectiveness

ISPS complaint with effect form 30/06/2004

SERVICES OFFERED TO CUSTOMERS BY KOCHI PORT

It provides personalized service to customers

It provides faster documentation and administration of services backed up by

a fully computerized network

Single window clearance for exports

Perceiving the principles of sustainable development

Constantly upgrading the competence, awareness, skills and motivation of

the port personnel to bring about continuous improvement in the physical
efficiency parameters

Ensuring security and safety of life, equipment and cargo

Conforming to international standards and offering services at competitive

rates

It offers attractive tariff structure

FACILITIES AT KOCHI PORT

Well Equipped Container Terminal with Container Freight Station (CFS)
16 berths including 3 oil jetties
1 dry dock
long side draft of 9014 meters to 12 meters
Vast Estate covering 692.29n acres and 1940 acres including land at
Puthuypeen, Vallarpadam and south end reclamation area.
CONTAINER HANDLING FACILITIES:
Rajiv Gandhi container terminal (RGCT) has a length of 414 meters and has
a draft of 10.70 meters.
Table 3.1
CONTAINER HANDLING FACILITIES AT KOCHI PORT
Equipment available for container

No. of Equipments

handling
Transfer Cranes (35.5 tons capacity)
Gantry Cranes (40 tons capacity)
Heavy Duty Top Lift Trucks (25 to 35 tons

4+1 on lease
4
4

capacity for lifting loaded containers)

Light Duty Top Lift Trucks (5 tons capacity

for lifting empty containers)

Heavy Duty Mobile Cranes
Reach Stackers
Source: Kochi port trust report
STORAGE FACILITIES:

3
4

Storage facilities consist of 59,000 sq. meters of covered area and 10,000 sq.
meters of open area.
Table 3.2
STORAGE FACILITIES AT KOCHI PORT
STORAGE FACILITIES
Mattanchery Wharf
Ernakulam Wharf
Container Freight station
Source: Kochi port trust report

TOTAL SHEDS
13
12
1

AREA AVAILABLE
(sq meters)
36690
23032
10000

BERTHING FACILITIES:
Breathing facilities consists of 16 berths including 3 oil jetties
Table 3.3
BERTHING FACILITIES AT KOCHI PORT
Fertilizer Berth

Accommodates ships of maximum 207- meters. In

length drawing a draft of 10.7 meters. And having
displacement of maximum 86,000 tons.
Coal Berths
Accommodates ships of maximum 170- meters. In
length
Boat Train Pier
Accommodates ships of maximum. 185- Meters. In
length
Cochin Oil Terminal
Accommodates ships of length 231- meters. With a
displacement tonnage of 115000loaded to 11.7 meters.
Draft.
North Tanker Berths
Accommodates ships of length 213- meters. With a
displacement tonnage of 30000 loaded to 9.14 meters.
Draft
Source: Kochi port trust report

3.6

IMPORTANCE OF THE KOCHI PORT

As said earlier, the location advantage puts Kochi Port in a very

commanding position to service the massive East West Ocean trade. The port lies
in a strategic position in the international Shipping Highway. Cochin lies near to
the main waterway to Singapore and West Asia. Cochin is the nearest port in the
shipping highway to Europe, Australia and Japan.
Certain infrastructure up gradation as per strategic plans if envisaged the
Kochi Port would be able to compete efficiently with the Colombo ort and
Singapore port.
The port plays an undeniable role in the overall development of the economy
of the State of Kerala. For Kerala, the port and its international Container
Transshipment Terminal is the central point of many important project envisaged.

The Cochin Refineries Development

The Goshree Bridges Project
The Petronets Lng Project
The Siasil Electricity Project
All these projects are dependent on the central point of the international

Container Transshipment Terminal.

At present, all the goods from the Indian ports like Mumbai, Goa, Paradip,
Tuticorin to Colombo and Singapore are first sent to Colombo and from there it is
transshipped to its respective destinations. And the goods, which are to be brought
into these ports, are also unloaded at ports, are also unloaded at the Colombo or
Singapore Port by Mother Vessels. Once the VTT is ready all the transshipment
from West coast of India will be diverted to Kochi Port.
3.7 RECENT EFFICIENCY RECORDS OF KOCHI PORT

Kochi port achieved higher levels of productivity on the bulk and break-bulk
cargo handling front during the second fortnight of August 2004 when it achieved
operational levels of 9,527 MT steel plates and scrap iron carried by the vessels
M.V. STAR FUJI and M.V BROTHERS respectively.
On the vessel M.V STAR FUJI, productivity levels of 1,738 MT in a shift
and 3,835 MT in a day were achieved, thus setting new records. On an average a
discharge rate of 1,903 MT per day was achieved which is an all time record.
Similarly, the vessel M.V BROTHERS discharged 1,868 MT of scrap iron
per shift and 4,860 MT in a day, which is a new record in productivity. A total of
26,083 MT of scrap iron was discharged in seven (7) days, achieving a record
average of 3,726 MT per day.
The port has been striving to provide better level of services to its customers
and is constantly improving its systems for enhancing customer satisfaction.
Improved methods and systems for handling cargo like steel plates, fertilizer, copra
cake, raw cashew nuts, soda ash etc., are being contemplated.
Due to concerted efforts of Port Management and Port Users, Kochi Port
Trust (KOPT) has been able to handle an all-time record quantum of cargo of
135.72 lakh MT in 2003-04, which included a record of 1.70lakhs TEUs of
container cargo. Volumes have touched a new high during the last week of August
2004. During the period April-August of 2004-2005, KOPT gas handled 58.80 lakh
MT achieving a growth of over 6 lakh MT or 11% as compared to the
corresponding period during 2003-2004.
3.8 PORT MODERNIZATION PROGRAMMERS UNDERTAKEN

The most important schemes included in the 10th plan at an outlay of Rs. 300
crores are as follows
Replacement/ Revamping of 2 Nos. RTG cranes for container handling
Revamping of fire fighting facilities at Puthuvypeen
Procurement of additional container handling facilities
Installation of 1 No. low profile 10 ton cargo handling gantry cranes
Installation of Vessel Traffic Management System
Inshore oil terminal / crude handling facilities
Setting up on special economic zone
Development of south end reclamation area as commercial area at Southern
tip
Replacement of Mattanchery wharf
3.9 PORT EXPANSION PROJECTS ENVISAGED
The expansion proposals under the tenth plan are 5 main projects apart from
the Vallarpadam container transshipment hub as a joint venture, the port has
already grounded as part of its 9th plan expansion plan works concerning

International bunkering terminal at Kochi port

International passenger terminal at Kochi Port

LNG terminal at Puthuvypeen

Floating pock and ship repairs facilities at Kochi port

The capacity of the port is expected to double once these projects are
completed.

INTERNATIONAL BUNKERING TERMINAL AT KOCHI PORT

The Kochi port trust plans to set up an international Bunkering facility off
Cochin, 10-15 km into the sea as a special economic zone. The project is in the
consultation stage and it would not be too long before the private partner for the
project is finalized. The bunkering facility was part of the Ports to diversify into
new areas.
The intention is to set up the terminal initially at one of the existing wharves
of the port on West Island, and to shift the facilities to an exclusive bunkering
terminal at Puthuvypeen, as the requirement picks up. The expected investment by
the Operator for the initial and final phases of development is about Rs. 20 Crores
and Rs. 150 crores respectively.
The prospects of an international class bunkering service off Cochin have
brightened with most of the shippers losing interest in the facilities offered at
Colombo Port. A variety of factors, including the ethnic disturbances in the island
country, are discouraging ships to turn away from the bunkering facilities at
Colombo. It is this trend, which Kochi port intends to capitalize.
INTERNATIONAL PASSENGER TERMINAL AT KOCHI PORT
Recently, there has been an increasing trend in the passenger traffic through
Kochi port. There is no dedicated passenger berth at the port and the passenger
vessels now calling at the port are berthed in the vacant quay/jetty with only
temporary facilities for meeting the passengers requirements. Considering the
increase in number of passenger vessels calling at the port and with a view to boost

up tourism building in one of the existing transit sheds at the Ernakulam wharf by
suitably modifying it and providing the
Required amenities. The berthing facilities will have to continue as such for the
time being.
PORT FACILITIES AT PUTHUVYPEEN
Kochi port has about 250 hectares of accreted virgin land at the northern side
of entrance channel called Puthuvypeen. This was seen to be the ideal location for
establishing LNG and LPG facilities on account of safety requirement.
PETRONET LNG Ltd. A joint Venture Company promoted by GAIL has already
been formed for setting up an LNG terminal at this location to meet the
requirement of natural gas for consumers in and around Cochin. Port Trust has
allotted 50 hectares of land on lease for 30 years for this purpose. The Terminal
and other facilities with a capacity of 205 MMT are expected to be ready for
operation by the year 2005 as per the indications of PETRONET LNG Ltd.
FLOATING DOCK AND SHIP REPAIR FACILITIES AT KOCHI PORT
Kochi port has the potential to develop to develop a floating dock for ship
repair facilities in the Cochin backwaters. The port trust has about 0.3 hectares of
land area with 75M long water frontages in Fort Cochin side. This area has been
considered suitable for establishing a floating dock and the allied facilities for ship
repair.

INTERNATIONAL CONTAINER TRANSSHIPMENT TERMINAL AT

VALLARPADAM
The international transshipment terminal at Vallarpadam is an ambitious
project, proposed to be started by the Kochi port at a cost of Rs. 2118 Crores. The
Kochi port trust proposed the first feasibility report for developing a Greenfield
port at Vallarpadam on an island opposite Kochi way back in 1991. In 2002 when
Kochi port trust managed to get a request for bids. The idea was to develop the
international container transshipment terminal as a private partnership; the private
operator would first modernize the existing Rajiv Gandhi Container Terminal at the
Kochi port in the first phase. In the Rs. 2118 Crores second phase, the operator
would develop the ICTT, maintain it for a concession period of 30 year and then
transfer it to the government. Dubai port international (DPI) won the contract.
It has to pay Rs.40 Crores for the equipment an annual licensing fee of
Rs.9.6 crores and one third of the gross revenues form the operation.
Conceptual planning of the facility has been carried keeping in mind the
requirements of a modern container terminal cum load centre. The design criteria
adopted, stipulated the\at the facility should not only be able to accommodate
current mainline vessels, but also future larger mainline vessels as well.
Vallarpadam island, located to the north of the main shipping channel to Kochi
ports facilities of approximately 1500 meters facing the shipping channel.
Additionally, feeder berths can be accommodated along the eastern or western
waterfront. The first stage of development would include two mainline and two
feeder berths, with four and two quay cranes respectively. Within the current
planning horizon, the ultimate stage of development would take place in 2015, and

would comprise of four mainline and three feeder berths, equipped with seven and
five quay cranes respectively.
3.9.1 Importance of Vallarpadam Transshipment Terminal
The importance of this major project lies in the fact that, the Kochi Port will
handle more than 80% of Indias transshipment traffic in the future, which is
presently handled by the Colombo port. At present, all the goods from the Indian
ports like Mumbai, Goa, Paradip, Tuticorin etc., are first sent to Colombo and from
there it is transshipped to its respective destinations. And the goods, which are to
be brought in to these ports, are also unloaded at the Colombo port by mother
vessels. In short, the port of Colombo can be said as our main collection point that
translated into a business of Rs. 270 crores. Once the VTT becomes operational,
Colombo as a hub port will lose its attraction as large volumes of imports and
exports, currently transshipped at Colombo, would get diverted to Kochi.
3.9.2 Opportunities for Vallarpadam Transshipment Terminal
It will act as a central point for various projects. The Cochin refineries
projects, the Goshree Bridges project, Petronets LNG project at Puthuvypeen,
Siasil Electricity project - all these projects are dependent on the central point of
the international container transshipment terminal. All these show the need for
speedy implementation of the VTT project. Besides, it will be the first major port
project to be developed through the recently approved joint venture route where
the Kochi Port Trust will hold 26% equity, thereby partaking in the management
control of the project operating company.
It will turn out as a logistic hub for the entire south west Asia. The ratio
between container traffic handled at port located on the west coast of India, and

those located on the east coast, is currently 2:1 in favor of ports located on the west
coast, which implies that these ports handle nearly two thirds of all India
container traffic. Hence, Cochin possesses a competitive advantage in terms of
location on the west cost of India. Furthermore, the advent of the Konkan Railway,
which runs along the western coastline from Mumbai to Trivandrum market
capture and attracting west coast traffic, purely of its geographical connecting
Cochin, will provided better overland connections and access to a wider hinterland.
Hence, a container transshipment terminal at Vallarpadam will not only be able to
serve as a shipping load centre, but as a continental one as well. The ability to
access the market overland, as well as by sea routs, is a distinct advantage,
particularly given the time and cost for traditional movement which involves
multiple handling at various stages. A direct overland rain to port to mainland
vessel move would constitute significant savings in both time and coasts.
There will be reduction in transshipment cost. The Vallarpadam
Transshipment Terminal, implemented at the earliest, would be able to take on the
competition form Colombo as a Hub Port. The project involves the creation of
Indias first transshipment centre at Vallarpadam Island, planned to reduce
countries dependence on overseas ports like Singapore, Dubai, Colombom, Salalah
for transshipment of cargo, which robs Indian goods of its competitive edge. These
shippers will benefit most, as their transshipment cost will drop substantially. Other
reasons are also cited for an early clearance of the VTT project. It feared that the
Kochi port might start losing even its present volume of container traffic, unless
handling facilities are stepped up through the only implementation of the VTT
project. Second, the Kochi post is facing utmost competition form several ports in
the region. In tuticorin, the port of Singapore authority, in partnership with the port

authorities, is active in container operations, while in Collachel port, a Malaysian

firm has just started contracting containers by offering big waivers in port changes.
It will attain competitive advantage Colombo Port. 4% of the total container
traffic currently handled by the Colombo port is transshipment traffic from India.
Last year about 750, 000 TEUs of cargo were loaded on feeder vessels headed for
transshipment port of Colombo, where they were reloaded. For Colombo, this is
translated into business of about Rs.270 Crores, when the hub port at vallarpadam
comes up to the international liner routs that Colombo itself feeds, VTT can tack
away more then its share of business from the Sri Lanka port.
It will attract exporters of the nearby states. A hub in the country will save
exporters up 3-4 days. It will not only help in saving time for all, but also will
especially benefit exporters from Tirupur, Madurai, Karur and Bangalore. For India
bound cargo too traders would save a lot by eliminating one whole step in the
transportation process will posses increased capacity and efficiency

that of

unloading at Colombo, reloading on feeder vessels and then carting the cargo to an
Indian port.

3.9.3 Threats for Vallarpadam Transshipment Terminal

The biggest threat come from home while Vallarpadam IS being planned, the
State Govt. of Kerala is working on another hub port just 30 km south of Kochi, at
Vizhinjam. There just isnt enough scope for 2 hub ports in the area.
Port authorities feels the mainline vessels will continue to call at other ports
like Colombo and Salalah, since the RGCT Has a draught (depth) of only 12.5
meter. Hence its imperative that ICTT be developed before traffic goes up at
RGCT.
DPI would benefit from the license if he artificially keeps his volume below
400000 TEUs for the next eight years. DPI will be able to reap hand some profits
from operating the existing terminal. He can get away without developing the
expensive terminal at all.
3.10 PROBLEM FACED BY KOCHI PORT
Kerala is the largest consumer market in the country by having the
maximum number of middle class people in the country. It is the first and only
state in the country to have a 100% literacy rate. It is also only state in the country
to ban Bandh and is also one of the few states in the country where there is a ban
on smoking in public places. The state is a role model for many other states in the
country to copy the developments made. In many a case, the state average is very
much better than the national average and even than that in some other developed
countries of the world, like in the cases of progress in the medical field, literacy
rate, social security, highlife expectancy etc. All this has forced even many of the

critics of the state to admire of the Kerala Model Development, as it is popularly

known.
But even after all this, the state does not get its share of recognition in many
an important area. Kerala is the most neglected state in the country as far as
infrastructure is concerned. The reason behind this is lack of dedication and will
from the state and the negligence of the State by all the successive governments in
the actual development in the state.
The negligence shown to Kerala con is clearly understood from the
following facts. In the case of Tailaways, Kerala is the only state in the country
without a Railway Zone even though it is the state that gives the maximum revenue
to Southern Railway. This has lead to undue delay in the cargo movement to and
from the port.
The former Prime Minister of India Shri Atal Bihari Vajpayee had some time
back announced an ambitious project called North South, East West
Coerridor, linking the Northern port of the country with sough and the Eastern
part with the west. In the initial plan, the North South Corridor was to pass
through Kerala but due to immense pressures from all the political parties from
Tamil Nadu, the plan was later changed to pass through Tamil Nadu. This was one
of the major losses to the Kochi Port. If this projected would have been
implemented Kochi Port would have emerged as major port of South West India.
All these shows that each and every major project mooted for the state had
been caught up in undue delays and controversies or have been diversified to other
states due to nothing but pure political reasons. Kochi Port is also not free from

such problems. In fact, it was the major loser in the political and bureaucratic
battles. The Port Trust had mooted many major projects in the past, but all were
rejected or delayed by vested interests without keeping in mind the best interests of
the nation. This includes projects like the Super Tanker Berth conceived in the
Early 70s, Single Buoy Mooring Project has done

and presently the

Vallarpadam international Container Transshipment Terminal Project is on process.

The full name of the Super Tanker Berth Project was the Super Tanker Oil
Terminal Project. The mega project was conceived way back in the early 1970s
when Mr. P.S Padmanabhan was the Port Trust Chairman and Mr. P.S. Menon, the
Chief Engineer. It the project had taken off as planned and the required
infrastructure was provided from time to time, today Cochin would have been in
the position of Dubai, Singapore and Colombo. The project did not materialize at
the time due to lack of political motivating and will power from Kerala. The
rejection of the project was made easy due to the facts that there was opposition
from with the port itself. The project came to a premature end.
The next important project envisaged but not materialized at the Kochi Port
was the Single Buoy Mooring Facility proposed by the Cochin Refineries Limited.
The Cochin Refineries, which is on a large-scale growth sphere, had plans to build
single buoy mooring in the outer sea and pump oil form huge takers which berths
there. The reason quoted by the Cochin Refineries Limited for constructing the
same was that currently tankers of such huge size couldnt berth at the present
berths. But this project was also put to premature end.

The next major project mooted by the Kochi Port Trust was the Vallarpadam
international Container Transshipment Project. The prestigious project also did not
cue without its share of delays and problems. The first feasibility report of the
project was prepared by Dr. P.V Chandramohan and Captain Vargheese Kuruvila
way back in 1985 itself when Dr. Babu Paul was the port Trust Chairman. The
importance of the project was recognized in 1990. the National Shipping Board
also agreed to the gains, which can be achieved, from the project but for some
reasons still unknown, it was not taken up for implementation. In 1998, a fresh
feasibility report was prepared when Mr. C. Babu Rajeev become the Chairman of
the Port Trust. Only in 2002 the Kochi Port Trust managed to get a request for bids
Even form the initial stages itself, there were attempts by other ports
including the port of Tuticorin ot snatch away this major project and here it is to be
remembered that all the political parties from Tamil Nadu had strongly supported
Tuticorin Ports demand for allotting the project to them. Such a political
consensus was never forthcoming from the Kerala counterparts for Kochi Ports
demands. But thanks to the location advantage study for a container transshipment
terminal in the South undertaken by the Dutch consultant Frederick R Harris,
Cochin was found to be a more suitable location than Tuticorin.
All these points clearly shows that the current delay in implementing the
most prestigious project ever envisaged in the country is due to nothing else but the
fact that there are some people with vested power and necessary influence needed
but do not take initiative to develop Kochi Port, the Kerala Government also
doesnt seem to provide adequate assistance to Kochi Port.

There were other major problems also at Kochi Port. In the early periods,
Kochi Port had a very bad reputation among the trading community. Lack of
proper vision and policies, political and regional narrow-mindedness, trade union
laws in force in the state, regular strikes, high port tariffs and high turn around time
all had its negative impact on the image of Kochi Port. But thanks to effective
management control measures and better port facilities coupled with a disciplined
work force nowadays, Kochi Port is slowly regaining most of the clients it had lost
to other ports and the port also had been some what successful in clearing the bad
image it had during the early periods from the minds of people.