From pre-page

Table 3.5:Coastal Cargo Movement in Million Tonnes 2001-02: Clinker

TO

Magdalla

GPPL

Dharamtar

Total

Jaffrabad 0.8 0.2 0.2 1.2

FROM

Total 0.8 0.2 0.2 1.2

Table 3.6:Coastal Cargo Movement in Million Tonnes 2001-02: Iron Ore/Pellets

TO

Vizag

New

Mangalore

Mormugao

Magdalla

GPPL

Dharamtar

Revdanda

Panaji

Total Vizag -

-

1.8 -

-

1.1 0.3 -

3.2

New Mangalore - - - - 0.2 - 0.2 0.2 0.6

Magdalla 0.2 - 0.1 - - - - - 0.3

FROM

Total 0.2 0.0 1.9 0.0 0.2 1.1 0.5 0.2 4.1

Table 3.7:Coastal Cargo Movement in Million Tonnes 2001-02: Iron & Steel

TO

Cochin

Mumbai

Kandla

Magdalla

GPPL

Total

Magdalla - 0.10 - - 0.10 0.20

GPPL - - 0.02 - - 0.02

Revdanda 0.03 0.02 - 0.01 - 0.06

FROM

Total 0.03 0.12 - 0.01 0.10 0.28

Chapter 3: Coastal Cargo Profile

3 - 6

Table 3.8:Coastal Cargo Movement in Million Tonnes 2001-02: POL

TO

Kolkata

Haldia

Paradip

Vizag

Chennai

Tuticorin

New

Mangalore

Cochin

Mormugao

JNPT

Mumbai

Kandla

Sikka

Magdalla

Total

Haldia - - - - 0.5 - - - - - - - - - 0.5

Paradip - - - 0.1 - - - - - - 0.7 - - - 0.8

Vizag - - - - 0.7 - - - - - - - - - 0.7

Chennai - - 0.3 - - - - - - - 0.6 - - - 0.9

New Mangalore - - - - - 0.2 - - - - - - - - 0.2

Cochin 0.2 - 0.6 - - - - - - - - - - - 0.8

Mumbai - - - - - - - - 1.0 - - - 0.3 - 1.3

Kandla - - - - - - - - - 0.2 - - - - 0.2

Sikka - 1.3 - - - - 1.0 0.8 - 0.4 1.2 0.5 - 2.1 7.3

FROM

Total 0.2 1.3 0.9 0.1 1.2 0.2 1.0 0.8 1.0 0.6 2.5 0.5 0.3 2.1 12.7

Table 3.9:Coastal Cargo Movement in Million Tonnes 2001-02: Crude

TO

Vizag

Chennai

Cochin

Mumbai

Nagapattinam

Total

Mumbai 5.0 2.0 3.0 2.8 - 12.8

Sikka - - - 0.5 - 0.5

RAW 2.4 - - - - 2.4

Cuddalore - 0.1 - - 0.2 0.3

FROM

Total 7.4 2.1 3.0 3.3 0.2 16.0

Chapter 3: Coastal Cargo Profile

3 - 7

Figure 3.3 Origin -Destination Pattern for Coal

Chapter 3: Coastal Cargo Profile

3 - 8

Figure 3.4 Origin-Destination Pattern for Cement and Cement Clinker

Chapter 3: Coastal Cargo Profile

3 - 9

Figure 3.5 Origin-Destination Pattern for Iron Ore and Pellets

Chapter 3: Coastal Cargo Profile

3 - 10

Figure 3.6 Origin-Destination Pattern for Iron and Steel

Chapter 3: Coastal Cargo Profile

3 - 11

Figure 3.7 Origin-Destination Pattern for POL Products

Chapter 3: Coastal Cargo Profile

3 - 12

Figure 3.8 Origin-Destination Pattern for Crude

Chapter 3: Coastal Cargo Profile

3 - 13

3.4 TRAFFIC PROJECTIONS

Currently India’s transport system annually services 877 billion-tonne kilometers of

freight and 2450 billion passengers-kilometer a year. The road moves about 477 btkm (54

%), rail 302 btkm (34 %), pipeline 35 btkm (4%) and coastal shipping moves about 63

btkm (7%). The share of IWT is negligible. Assuming 6 percent annual growth in GDP

over the next 10 years the corresponding growth in the freight demand would be about 7.5

percent per year (see Table 3.10). The demand will grow to 1800 btkm by 2012. If

however, the same modal split is taken for 2012, the coastal shipping would be required

to move about 111 million tonnes of cargo. If GDP growth rate of 7.5 percent per year is

achieved during the current plan period the coastal cargo traffic would increase

correspondingly. A detailed analysis of the major commodities and its projections is

presented in Chapter 4.

Table 3.10 Domestic Commodity Movement

Domestic Commodity Movement for Year 2001-2002

Road Rail Pipeline Coastal Total

BTKM 477 302 35 63 877

% Distribution 54.4 34.4 4.0 7.2 100

Average Lead (km) 500 615 876 1168

MTPA 954 477 30 54 1515

% Distribution 63.0 31.5 2.0 3.6 100

Coastal traffic handled MTPA 108

Domestic Commodity Movement for Year 2006-2007

Road Rail Pipeline Coastal Total

BTKM 685 432 50 91 1258

% Distribution 54.4 34.4 4.0 7.2 100

Average Lead (km) 500 615 876 1168

MTPA 1370 705 57 77 2209

% Distribution

62.0 31.9 2.6 3.5 100

Coastal traffic expected MTPA 155

Domestic Commodity Movement for Year 2011-2012

Road Rail Pipeline Coastal Total

BTKM 983 623 71 130 1807

% Distribution 54.4 34.4 4.0 7.2 100

Average Lead (km) 500 615 876 1168

MTPA 1966 1010 82 111 3171

% Distribution

62.0 31.9 2.6 3.5 100

Coastal traffic expected MTPA 222

Chapter 3: Coastal Cargo Profile

3 - 14

3.5 SUMMARY

The present chapter reviews the status of the existing coastal traffic, cargo profile, trade

routes and traffic projections on broad level.

The total traffic handled at all ports for 2002-03 was 418 million tonnes (MT) with

coastal traffic accounted for 116 MT or about 28 percent of the total traffic handled at all

ports. Out of 116 MT, 84 MT was handled at major ports, 22 MT at Gujarat Maritime

Board (GMB) ports, and 10 MT at non - GMB ports.

Major ports handled 73 percent of coastal cargo with crude, POL and coal accounting for

90 percent of traffic handled. Minor ports handled 27 percent of coastal cargo with POL,

cement, building material and iron ore were the major commodities handled.

Sikka, Magdalla, Jafrabad, Muldwarka and GPPL handled more than 90 percent of the

coastal traffic handled in Gujarat and 62 percent traffic handled at all minor Ports.

Rawa, Dharamtar, Ulwa-Belapur, Revdanda, and Panaji handled more than 75 percent of

the cargo handled at non-GMB Ports and 22 percent of the total cargo handled at all

minor ports.

Major commodities include crude, POL products, thermal coal, iron ore and pellets,

cement & clinkers, iron & steel accounting for more than 90 percent of the coastal cargo

movement.

Most of the bulk cargo movement that is taking place presently is captive to specific

industry requirements as coastal shipping provides better overall transport logistics.

Therefore in the current situation the availability of return cargo is not significant.

Broad level traffic estimates show that the coastal traffic handled would reach 155 MTPA

and 222 MTPA by 2006-07 and 2011-12 respectively from 108 MTPA in 2001-02.

4 - 1

CHAPTER 4

COASTAL TRAFFIC ESTIMATES

Of the several factors contributing to the coastal trade and shipping, availability of long

haul bulk commodity traffic and its safety of movement are two major controlling factors

influencing its economic viability. It is therefore essential to study the characteristics of

the commodities in terms of quantity and suitability for sea transportation. Historically,

movement of bulk commodity traffic through coastal shipping is economically viable

over long distances. While examining the suitability of the commodities, the Consultants

also studied movement of various types of commodities across all modes of transport

such as rail/road and average quantities moved through each mode. Out of the total

commodities moved by railways in the year 2002-2003, more than 90 percent of the

traffic was made up of bulk commodities consisting of coal, food grains, ores, containers,

petroleum products (POL), iron & steel, cement, fertilisers and containers. All these

commodities albeit in small volumes moved through coastal shipping also. These cargoes

are prima facie suitable for movement by coastal shipping and can also be diverted from

other if the economics works out in favour of coastal shipping. Besides the above cargo

types, movement of other commodities like crude by coastal shipping and pipelines is

also studied.

The potential for growth of coastal shipping can be tapped if suitable policy measures are

evolved to influence the flow of traffic of these commodities through coastal vessels and

its transportation at comparable cost. The cargo movement pattern and magnitude is

mostly dependent on the production/availability and consumption/demand and the

distance (cost of movement etc.) separating production centres from points of destination.

In order to assess the future traffic demand for coastal shipping, Consultants followed

methodology under which overall production and consumption levels of each commodity

were estimated based on the Government plans and projections and using other secondary

sources like market analysis documents. The movement of commodities is apportioned

according to the observed movement patterns (past trends) and the future production and

consumption patterns to obtain future modal shares. This provided the quantities that

would be available for movement through coastal shipping. This quantity is further

distributed to ports based on the past trends, loading and unloading magnitudes, location

specific plans provided by the stakeholders such as industrialists, port officials and other

relevant authorities etc. to gauge the ports capacity for traffic handling in terms of loading

and unloading of commodities. The traffic forecast was made for the years 2006-2007 and

2011-12. The estimates involve certain assumptions on case-to-case basis and based on

the information available to the Consultants at the time of estimation. Reference was

frequently made to previous forecasts and published statistics so as to remove

imperfections and fine-tune the estimates to the extent possible. The movement of bulk

commodities by coastal shipping is primarily dependent on industrial activities and

business logistics of the industries, which in turn are governed by several other intangible

market forces. Any change in the Government’s industrial policies or the business

decisions of large industries can influence the movement patterns and magnitudes

disturbing the projected estimates.

(contd)

Mailto:kris@dgshipping.com