Port Led Development Gujarat - World...

Port Led DevelopmentGujarat

Port Led DevelopmentGujarat

ByByH. K Dash IASH. K Dash IAS

Chief Executive OfficerChief Executive OfficerGujarat Maritime BoardGujarat Maritime Board

World Bank IIM-A Dt.15/07/2006

GMB - VisionGMB - Vision

““To rewrite the maritime history of Gujarat by To rewrite the maritime history of Gujarat by developing ports and port infrastructure of developing ports and port infrastructure of International Standards so that it become a International Standards so that it become a model of growth and gateways of Indiamodel of growth and gateways of India’’s s ProsperityProsperity””


Vision – 2020 objectivesVision – 2020 objectives

•• To retain position as leading maritime state To retain position as leading maritime state in the countryin the country

•• To handle 40% of countryTo handle 40% of country’’s cargos cargo•• Capture at least 10% of the value addition Capture at least 10% of the value addition

to exports at the ports to exports at the ports •• Capture highest share of high value cargo; Capture highest share of high value cargo;

Liquid Cargo, LNG, POL Products & Liquid Cargo, LNG, POL Products & ContainersContainers


All India v/s Gujarat All India v/s Gujarat

ParticularsParticulars All IndiaAll India GMBGMB

Waterfront 7500 km

569

4/5

198

Cargo throughput MMTPA (2005-6)

1600 km

108

Hinterland 1/5

No of ports (including major & minor) 42


Traffic growth of GMB portsTraffic growth of GMB ports

3.18 4.81 7.0917.15

48.8

73.1882.55 84.12

89.3597.13

108.07

0

20

40

60

80

100

120

MM

TPA

1982-83 1984-85 1989-90 1994-95 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Year


Cargo compositionCargo compositionParticularsParticulars 19821982--8383 19941994--9595 19991999--0000 20052005--0606

Crude Oil 000

0.15Iron Ore 0.13 1.67 2.9 5.00Cement/Clinker 0.27 2.92 5.89 10.97Containers 0 0 1.21 3.93Other Bulk 2.63 9.19 10.94 17.4

TOTAL 3.183.18 17.1517.15 73.1873.18 108.07108.07

30.49POL & Chemicals

25.5101.22 25.00

LNG 019.87

0 5.00Coal 6.86 10.282.15


Current capacity & utilizationCurrent capacity & utilization

ParticularsParticulars 20012001--0202 20022002--0303 20032003--0404 20042004--0505

135.49 152.2396.14

63.15%

20052005--0606

Capacity79.63

58.77%

139.3381.61

58.71%

163.23Cargo handled

147.3387.29

59.25%108.07

% of utilization 66.20%


Development modelsDevelopment modelsPrivatePrivatePortsPorts

PrivatePrivateJettiesJetties

CaptiveCaptiveJettiesJetties

StateStatePublicPublicPortsPorts

JointJointSectorSectorPortsPorts


Key drivers of development Key drivers of development


Natural driversNatural drivers•• Gujarati and Business Gujarati and Business •• Longest coastlineLongest coastline•• Natural gulfs & deep watersNatural gulfs & deep waters•• Rich maritime historyRich maritime history•• Strategic locationStrategic location

–– Vast hinterlandVast hinterland–– International sea routeInternational sea route

•• Rich mineral resourcesRich mineral resources•• Emerging oil resources at Gujarat coastline Emerging oil resources at Gujarat coastline


Economic driversEconomic drivers•• Mega Industrial development at Gujarat coastMega Industrial development at Gujarat coast•• Cargo potential and future shortage of port Cargo potential and future shortage of port

capacitycapacity•• Requirement of specialized port facilitiesRequirement of specialized port facilities•• Increase in the ship size Increase in the ship size •• Change in cargo composition & containerizationChange in cargo composition & containerization•• Growth of industries and agricultural productsGrowth of industries and agricultural products•• Demand of competitive port sector Demand of competitive port sector •• Excellent Roads & Rails infrastructureExcellent Roads & Rails infrastructure


Other driversOther drivers•• Port PolicyPort Policy•• BOOT PolicyBOOT Policy•• GID ActGID Act•• Project frameworkProject framework•• Success stories of port developmentSuccess stories of port development•• Political willPolitical will


Port and BOOT policiesPort and BOOT policies•• Port Policy Port Policy -- 19951995

–– Integrated port development vision with PPPIntegrated port development vision with PPP–– Synchronization of small and large investors in port Synchronization of small and large investors in port

sectorsector–– Creation of market driven port sectorCreation of market driven port sector–– Maritime institute in GujaratMaritime institute in Gujarat

•• BOOT policy BOOT policy -- 19971997–– Maximum role of private sector in developmentMaximum role of private sector in development–– Maximum operational flexibility with tariff freedom Maximum operational flexibility with tariff freedom –– Maximum ConcessionMaximum Concession–– Lowest waterfront royalty Lowest waterfront royalty -- Single levySingle levy–– No business development restrictionNo business development restriction–– Adequate compensation on project transferAdequate compensation on project transfer


PPP project frameworkPPP project framework•• Single window framework for infrastructure Single window framework for infrastructure

project project -- GID ActGID Act•• Global competitive biddingGlobal competitive bidding•• Transparent selection procedure of Transparent selection procedure of

developer developer •• Scope of State participation for initial stage Scope of State participation for initial stage

development or strategic partnerdevelopment or strategic partner•• Bankable project document Bankable project document –– Model Model

Concession AgreementConcession Agreement•• Scope for sub concession for development Scope for sub concession for development

of specialized port facilitiesof specialized port facilities•• Scope for development of add on projectsScope for development of add on projects


Port led developmentPort led development


Port led direct developmentPort led direct development

PowerPowerProjectsProjects

RefineriesRefineries

CementCementPlantsPlants

CoreCoreIndustriesIndustries

POLPOLChemicalChemical

ShipShipBuildingBuilding

FisheriesFisheries

CapitalCapitalGoodsGoods


Port led direct developmentPort led direct development

ProjectsProjects Major ProjectsMajor Projects

RefineriesRefineries Reliance Reliance –– IPCLIPCL

Core IndustriesCore Industries Essar Steel, Birla CopperEssar Steel, Birla Copper

PowerPower GEB, Torrent, GIPCGEB, Torrent, GIPC

POL & ChemicalPOL & Chemical Guj Guj AlkaliesAlkalies, Tata Chemical, Tata Chemical

Cement Cement Guj. Guj. AmbujaAmbuja, , UltratechUltratech, , SanghiSanghi, , SiddhiSiddhi

Capital GoodsCapital Goods L&T, L&T, WelspunWelspun

Ship BuildingShip Building Dahej, Mundra, PipavavDahej, Mundra, Pipavav

Fisheries Fisheries Jakhau, DholaiJakhau, Dholai


Port led indirect developmentPort led indirect development

RoadsRoadsRailsRails

CFSCFS

SEZsSEZs

PipePipeLinesLines

NewNewShippingShipping

lineslines

LogisticLogisticChainsChains

VTMSVTMS


Port led indirect developmentPort led indirect development

ProjectsProjects Major ProjectsMajor Projects

RoadsRoadsLinkages with State and National Linkages with State and National Highways mainly Mundra, Pipavav, Dahej, Highways mainly Mundra, Pipavav, Dahej, Bedi Bedi

RailsRails New Port Linkages or ModernizationNew Port Linkages or ModernizationMundra, Pipavav, Veraval, PorbandarMundra, Pipavav, Veraval, Porbandar

Pipeline NetworkPipeline Network Gas Pipeline Network of GSPC Gas Pipeline Network of GSPC

SEZsSEZs Mundra, Jamnagar, DahejMundra, Jamnagar, Dahej

New Shipping LinesNew Shipping Lines P&O, AP P&O, AP MollerMoller, , MaerskMaersk

CFSCFS Mundra, PipavavMundra, Pipavav


Port led other developmentPort led other development

WarehousesWarehouses

AreaAreaDevelopment Development

TourismTourism

AncillaryAncillaryIndustriesIndustries

Revenue Revenue GenerationGeneration

EmploymentEmployment

GreenGreenDevelopmentDevelopment

ColdColdChainChain


Port led other developmentPort led other development

•• Regional Social and Economic Development Regional Social and Economic Development –– Mundra, Pipavav, Dahej, Hazira Mundra, Pipavav, Dahej, Hazira

•• Highest employment generation Highest employment generation •• Efficient and maximum utilization state resources Efficient and maximum utilization state resources

through private sector participationthrough private sector participation•• New revenue resources for state New revenue resources for state •• Development of ancillary industries and secondary Development of ancillary industries and secondary

service providersservice providers•• Highest revenue from Gujarat Ports to Central Highest revenue from Gujarat Ports to Central

Government Government –– Custom, Excise and Service TaxCustom, Excise and Service Tax


Way aheadWay ahead


Capacity creation required to achieve VisionCapacity creation required to achieve Vision

•• GMB Ports require 400 million tonnes throughput GMB Ports require 400 million tonnes throughput capacity by 2020capacity by 2020

•• At least 50% of the capacity required for handling At least 50% of the capacity required for handling optimal vessel size categoryoptimal vessel size category

•• Ship turnaround of International Standards Ship turnaround of International Standards –– Turnaround Container Vessel in 12 hours & NonTurnaround Container Vessel in 12 hours & Non--Container Container

Vessel in 24 hoursVessel in 24 hours–– Modern VTMS & Integrated Cargo Management SystemsModern VTMS & Integrated Cargo Management Systems

•• Support value addition activities at Port & SEZSupport value addition activities at Port & SEZ––Container Freight Station, Grain Silos, Consolidation Container Freight Station, Grain Silos, Consolidation & Assembly, Mineral based Export& Assembly, Mineral based Export


Cargo forecastCargo forecastParticularsParticulars 20052005--0606 20102010--1111 20152015--1616

Crude Oil 30.4925.005.00

10.28Iron Ore 5.00 12.00 13.50Cement/Clinker 10.97 15.00 20.00Containers 3.93 30.00 40.00Other Bulk 17.4 19.82 24.93

TOTAL 108.07108.07 229.92229.92 323.93323.93

POL & Chemicals130.0090.00

32.60LNG 14.00

50.5026.00

Coal 19.0016.50

MMTPAMMTPA


Capacity - Demand Supply gap analysisCapacity - Demand Supply gap analysis

16

90

180

266

340

260

16

140

217 256

0

50

100

150

200

250

300

350

400

1995 2004 2008E 2013E 2018E

Traf

fic M

MTP

A


Capacity augmentationCapacity augmentation

YearYear CapacityCapacityaugmentationaugmentation Major ProjectsMajor Projects

20062006--0707 10108855335522202033

20102010--1111 3355

Guj Guj SiddhiSiddhi Bulk TerminalBulk TerminalHazira Shell Bulk TerminalHazira Shell Bulk Terminal

20112011--1212 1010 Green Field Port Green Field Port -- MaroliMaroli

20072007--0808

EssarEssar Bulk TerminalBulk TerminalMundra Bulk & Container TerminalMundra Bulk & Container TerminalPetronetPetronet LNG TerminalLNG TerminalPipavavPipavav Container TerminalContainer TerminalDahej Bulk TerminalDahej Bulk TerminalGMB Private JettiesGMB Private Jetties20082008--0909

20092009--1010 Reliance Sikka SPMsReliance Sikka SPMsGuj Guj AmbujaAmbuja Bulk TerminalBulk Terminal

MMTPAMMTPA

Source : CRISIL Report Vision 2020Source : CRISIL Report Vision 2020


Thank you

www.gmbports.org

Thank you

www.gmbports.org

Port Led Development Gujarat - World...

Documents

Transcript of Port Led Development Gujarat - World...