The Business Bytes
TBB BUREAU
PARADIP, MAR 8, 2024
Paradip Port, known for its historical focus on bulk cargo, embarks on a new era of diversification with the inauguration of its exclusive EXIM Container Service at the PICT berth on Friday. The maiden voyage of the MV MSC Tiger F, operated by the world’s largest container line, Mediterranean Shipping Company (MSC), marks the commencement of the Paradip shuttle service, connecting the port with Colombo under the SE feeder corridor.
The MV MSC Tiger F, boasting an LOA of 154.51 meters and a beam of 25.21 meters, made its inaugural call at the PICT terminal, ushering in a new chapter for Paradip Port. This service is set to operate on a regular basis, facilitating the transportation of EXIM cargo through the Paradip–Colombo route, with planned three calls per month.
On its inaugural journey, the vessel is transporting 90 TEU of export Aluminum Cargo on behalf of M/s Vedanta and 36 TEU on behalf of M/s Jindal Stainless Limited to the Colombo Port.
Speaking on the occasion, Paradip Port Authority (PPA) Chairman PL Haranadh expressed the significance of this milestone, stating, “It is a very special occasion for Paradip Port, as traditionally Paradip Port has been concentrating on Iron Ore, Coal and Crude Oil for the last 57 years since its traffic operation began in 1967. Our approach was only towards improving the coal, iron ore and crude oil traffic. It is time now to diversify the cargo basket, as an estimated 2 lakh TEU cargo is available in the hinterland of the Paradip Port. The combined efforts of PPA and the Odisha Government has yielded successful results in attracting reputed container liners to PPA. Now, we have a world class terminal here at PICT which is no less than any other container terminal of the country and it has a 14.5-metre draft and state of the art machinery to handle contaitner traffic and it has 5 MMT capacity. The Port is offering unparallel discount of 75 per cent in vessel related charges to interested container liners and no container scanning charges to boost container cargo. Henceforth, prospective clients from state of Odisha will be no more dependent on ports outside the state.”
Odisha MSME Department Principal Secretary Saswat Mishra hailed the occasion as long-awaited, emphasizing the potential for Odisha-origin cargo to flourish with the opening of new routes like the Paradip-Port Klang in Malaysia operation.
“This is the momentous occasion, for which the state has been waiting for decades. We have lot of cargo here with Odisha origin. In the line of MSC, soon another VGF agreement with container line M/s RCL for Paradip-Port Klang in Malaysia operation will be signed by the state govt. With these two routes opening up, I think that the much needed infrastructure and logistics support for Odisha industries will open up,” said Mishra.
Echoing these sentiments, PPA Deputy Chairman Nilabhra Dasgupta highlighted the collaborative efforts with major shipping lines to position Paradip Port as a modern and competitive container port.
During the flagging-off ceremony, Edison, T.M, PPA, and Rajesh Naik, PICT Terminal Head, were also present to commemorate the launch.
In an industry-first initiative, the Government of Odisha will provide a viability gap funding (VGF) of $200 per 20-foot equivalent unit (TEU) if the EXIM traffic volumes during a ship call at Paradip Port fall below the minimum guaranteed level of 250 TEUs.
