JN Port had estimated that the work would cost about Rs800 crore, though this projection was made before the market firmed up. NV, one of the world’s top dredging firms, had submitted the lowest quotation of Rs970 crore for the long-pending channel deepening contract in April last year. “This is really going to affect port development projects in India and elsewhere."Īlready, the Union government-owned Jawaharlal Nehru Port, India’s biggest container handling port at Navi Mumbai, is struggling to get the shipping ministry’s approval to deepen its channel to 14m from 12.5m to enable bigger container ships to call.ĭutch dredging firm Van Oord Dredging and Marine Contracting Co. It has gone up by about 75% in the last two years," said Philip Littlejohn, managing director of Gujarat Pipavav Port Ltd, which runs the private port in Gujarat. In an interesting development, dredging costs have been pushed up by a spurt in port expansion projects globally, as well as the offshore construction-related, land reclamation works in the Gulf region. of India Ltd, or DCI, the country’s biggest dredging firm by fleet size and revenues. m for capital dredging, according to an executive with the state-owned Dredging Corp. “It is (already) 50% more expensive to bring a vessel to Indian ports than to Jebel Ali in Dubai, Singapore and Colombo," said Ganesh Raj, senior vice-president and managing director, sub-continent, at DP World, the world’s fourth-biggest container port operator owned by the Dubai government.Ĭurrently, dredging costs about $2.5-3 per cu. So, both state-owned and private ports recover the dredging costs from ships coming to load or unload cargo by levying what are known as ship-calling fees. But, unlike in other maritime nations, none of these dredging costs are borne by the government.
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