CHAPTER 6
SELECTION OF MINOR PORTS
6.1 INDIA’S COASTLINE AND MINOR PORTS
Besides 12 major ports there are 185 minor ports dotting India's 7517 km coastline. Only
some minor ports provide round the year berthing facilities. Major ports handled 75
percent of India’s seaborne traffic with minor ports accounting for the remaining 25
percent in the year 2002-03. Statewise breakup of ports is presented in Table 6.1.
Table 6.1 Number of Major and Minor Ports in the Maritime States
States/Union Territories
(UTs)
Major Ports Minor Ports Total
West Coast
Gujarat 1 40 41
Maharashtra 2 53 55
Goa 1 5 6
Daman & Diu - 2 2
Karnataka 1 9 10
Kerala 1 13 14
Lakshadweep Islands - 10 10
East Coast
Tamil Nadu 3 14 17
Pondicherry - 1 1
Andhra Pradesh 1 12 13
Orissa 1 2 3
West Bengal 1 1 2
Andaman & Nicobar Islands - 23 23
India 12 185 197
Note: Includes all weather, fair weather and captive ports / jetties
The details of navigational aids available state wise are presented in Annexure – A6.1.
Of the country’s 185 minor ports, only 61 ports are functional, according to the latest
update prepared by the Ministry of Shipping for the meeting of the Maritime State
Development Council. The number of non-functional minor ports is maximum for
Maharashtra (46), Gujarat (23), Andamans (17), Kerala (10), Tamil Nadu (9), Andhra
Pradesh (9), Goa (4) and Karnataka (4).
Minor ports fall in the Concurrent List of the Constitution of India and. the primary
responsibility for their development and management rests with the concerned State.
The Current Five-Year Plan envisages a significant change in the role of Coastal Shipping
and also provides for the establishment of a Coastal Vessel Traffic Service by the
Director General of Lightships and Lighthouses. The Union Ministry of Shipping and
Ports is setting up a task force for drafting a concept paper for the Rs 1,00,000 crore
Sagar Mala project. This would also include the preparation of a broad agenda for the
project, setting out its various components and funding requirements. According to
Chapter 6: Selection of Minor Ports
6- 2
preliminary estimates while nearly Rs 60,000 crore would be required for modernising
the port sector and Rs. 15,000 crore each for development of inland waterways and
shipping.
6.2 PROGRESS OF PRIVATISATION IN MINOR PORTS
The Ninth Plan laid emphasis on the involvement of the private sector / captive users for
augmenting port capacity at various ports. A list of ongoing projects with public and
private participation is at Annexure A6.2.
The underlying objective is to improve port efficiency, productivity, and quality of
service as well as to promote competition in the delivery of services. Private sector is also
expected to mobilise investment for capacity augmentation and acquisition of
contemporary technologies and modern management techniques.
The areas identified for private sector participation are as under
i) Leasing out of port assets.
ii) Construction and operation of container terminals, multiple and specialised cargo
berths, warehousing, storage facilities, tank farms, container freight stations,
setting up of captive power plants etc.
iii) Leasing of equipment for cargo handling and floating crafts.
iv) Pilotage
v) Development of captive facilities for port based industries.
Development of SEZs
The Exim Policy effective from 1.4.2000 provides for the setting up of Special Economic
Zones (SEZ) in the country in an internationally competitive and hassle free environment
for exports. Units can be set up in SEZ for manufacture, re-conditioning and repair or for
service activities. The units in the Zone have to be net foreign exchange earners and not
subjected to any pre-determined value addition or minimum export performance
requirements.
The policy provides for setting up of SEZs in the public, private, joint sector or by State
Governments. A list of approved and operational SEZs is at Annexure A6.3.
Chapter 6: Selection of Minor Ports
6- 3
6.3 GLOBAL TRENDS IN COASTAL SHIPPING
The following table illustrates the modes of transport used for carriage of freight in
various representative countries round the world. These figures, somewhat old, relate to
1990 but have been cited to show the extent to which waterways transport is used to carry
coastal trade.
Table 6.2 Freight Modal Split
Tonnes Carried Tonnes Kms Country
Roads Rails Waterways Roads Rails Waterways
Year
China 75.3 15.7 7.5 18 57.8 20.9 1991
France 83.9 8.7 3.6 57 27.6 3.7 1990
Germany 83.4 7.9 6.7 54.5 24.2 17.6 1990
Japan 90 1.3 8.7 50 5 44.9 1990
Netherlands 59.6 2.1 33.5 44.7 3.9 45.2 1990
Poland 74.5 22.2 0.8 23.4 65 0.8 1990
Thailand 83.9 12.5 3.6 70 22.4 7.6 1985
UK 86.4 7.1 0.3 84 8.9 0.1 1990
USA NA NA NA 27.6 39.1 10.5 1990
Source: World Bank
Compared to India, Coastal Shipping industry in China is buoyant and contributing
significantly to the growth of its transport sector. The table below makes an interesting
read,
Table 6.3 Top Coastal Ports in China
In the year 2000
Rank Port Throughput (Million Tonnes) Growth Rate (%)
1 Shanghai 204.40 10
2 Ningbo 115.47 20
3 Guangzhou 111.28 10
4 QingHuangDou 97.43 18
5 Tianjin 95.66 31
6 Dalian 90.84 7
7 Qingdao 86.36 19
8 Shenzen 56.97 22
9 Lianyungang 27.08 34
10 Rizhao 26.74 33
6.4 MINOR PORTS SELECTION CRITERIA
6.4.1 Model
Nine coastal states and two Union territories falling on the coastline of India encompass
12 Major Ports and 185 minor ports including those in the island territories of Andaman
& Nicobar and Lakshadweep. Keeping in view the potential of each, selection of ports
has therefore to be based on economic considerations. There is acute resource paucity all
round. The private investors’ perception is that investment risks in minor ports are
generally high. It is also a fact that with improvement in infrastructure several ports can
be activated in a relatively short time. The Consultants have after discussions with close
Chapter 6: Selection of Minor Ports
6- 4
observers of the trade, shipping and port analysts given shape to the instant proposal,
which while taking note of the given concerns provides for selection of a port/ports in
each maritime state that will require minimal investments to come onstream. To eliminate
subjectivity in the selection of ports to the extent possible the Consultants have evolved a
mathematical model made up of universally accepted parameters for assessing the
suitability of seaports. As a thumb rule two ports in each coastal state is targeted except in
Gujarat where this strength has been doubted because of its geographical configuration
where the Gulf of Kutch and the Gulf of Khambat between them, offer immense potential
for development of coastal trade. Also, exceptions to this rule fall the States of West
Bengal, Orissa and Goa and the Union Territories where there are insufficient minor ports
capable of being activated in the contemplated manner.
These parameters were arrived at, after several detailed discussions between the
Consultants and in-house TCS advisors. Based on this each parameter has been assigned a
weightage proportionate to its importance in the selection process.
The number of ports was initially pruned down (from 185 in all) on the following basis
1) Relevance to TOR viz. diversion of cargo.( A&N and Lakshadweep ports were not
considered )
2) Coastal Cargo Handled
3) Accessibility
4) Level and state of existing infrastructure
5) Greenfield sites with potential to service coastal trade after development.
Those ports that appeared to fulfill the given criteria prima facie were visited by the
Consultants to assess their suitability. These ports were further shortlisted eliminating
those where connectivity and infrastructure were poor or ports were inoperative or fishing
ports like Veraval, Kundapur etc. Thereafter, the mathematical model was employed to
arrive at the final weighted score of each of these minor ports. The port/ports with the
highest score was judged as the selected port.
The mathematical model was based on the theoretical method detailed below:
Ranking and Rating Method
Evaluating a set of criteria (multi criteria) presents difficulties. Attaching weights to the
various criteria aids in overcoming the problem. Weighting is usually an exercise in
which one or more individuals and groups, exercising judgement, attach numbers to each
factor indicative of its perceived importance. Obviously such weighting will vary with the
type of system or project, the goals and objectives and the individuals and group doing
the weighting. A value between 0 & 100 is assigned to each criterion. The value should
reflect the importance of each criterion with a value of 100 indicating the highest possible
important criteria and 0 indicating no importance. The criteria are ranked according to
their importance and in rating either terms like excellent support, does not meet
requirements etc can be used or alternatively classification can be done in numerical
figures. The Consultants have used numerical ratings with each category assigned a rating
between 1 and 5 depending on the extent it meets the requirements of the selection
criteria.
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The minor ports visited by the Consultants have been highlighted in the following list and
details of the visited ports relevant to the model are provided in the Annexure A 6.4. and
the summary for each port in tabular form is presented in Table 6.23.
Table 6.4 Complete List of Minor Ports in India
Sr.
No. Gujarat Sr. No. Maharashtra Sr. No. Andaman &
Nicobar
1 Mandvi 1 Dahanu 1 Port Blair
2 Navlakhi 2 Tarapur 2 Mus
3 Bedi 3 Nawapur 3 Car Nicobar
4 Sikka 4 Satpati 4 Havelock
5 Jafarabad 5 Kelwa-Mahim 5 Mayabunder
6 Okha 6 Arnala 6 Diglipur
7 Porbandar 7 Datiware 7 Rangat
8 Veraval 8 Uttan 8 Hut Bay
9 Bhavnagar 9 Bassein 9 Katchal
10 Bharuch 10 Bhiwandi 10 Campbell Bay
11 Magdalla 11 Manori 11 Neil
12 Koteshwar 12 Kalyan 12 Dugong Creek
13 Mundra 13 Thane 13 Nancowry
14 GAPL (Mundra) 14 Versova 14 Chowra
15 Old (Mundra) 15 Bandra 15 Teressa
16 Jakhau 16 Trombay 16 Kondul
17 Jodia 17 Ulwa-Belapur 17 Pillow Millow
18 Salaya 18 Panvel 18 East Island
19 Pindhara 19 More 19 Cinque Island
20 Beyt 20 Mandwa 20 Jolly Bouy Island
21 Rupen 21 Karanja 21 Tillonchong
22 Mangrol 22 Thal 22 Castle Bay
23 Kotda 23 Rewas 23 South Bay
24 Madhwad 24 Alibag Daman & Diu
25 Navabandar 25 Dharamtar 1 Daman
26 Rajpara 26 Revdanda 2 Diu
27 GPPL (Pipavav) 27 Borli/Mandla Kerala
28 Mahuva 28 Nandgaon 1 Alappuzha
29 Talaja 29 Murud-Janjira 2 Vadakara
30 Ghogha 30 Rajpuri 3 Kannur
31 Khambhat 31 Mandad 4 Kasargode
32 Dahej 32 Kumbharu 5 Kodungallore
33 Bhagwa 33 Shriwardhan 6 Ponnani
34 Onjal 34 Bankot 7 Thalassery
35 Vansi-Borsi 35 Kelshi 8 Thiruvananthapuram
36 Billimora 36 Harnai 9 Quilon
37 Valsad 37 Dabhol 10 Kozhikode/Beypore
38 Umarsadi 38 Palshet 11 Neendakara
39 Kolak 39 Borya 12 Azhikkal
40 Maroli 40 Jaigad 13 Koavalam/Vizhinjam
41 Umergaon 41 Tiwri-Varoda Pondicherry
42 Mul-dwarka 42 Purnagad 1 Pondicherry
Orissa 43 Jaitapur Tamil Nadu
1 Gopalpur 44 Vijaydurg 1 Cuddalore
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Sr.
No. Gujarat Sr. No. Maharashtra Sr. No. Andaman &
Nicobar
2 Behrabalpur (Balasore) 45 Deogad 2 Nagapattinam
Karnataka 46 Achara 3 Rameswaram
1 Mangalore 47 Malvan 4 Pamban
2 Malpe 48 Niwti 5 Colachel
3 Hangarkatta 49 Vengurla 6 Valinokkam
4 Kundapur 50 Redi 7 Kanyakumari
5 Bhatkal 51 Kiranpani 8 Ennore (C)
6 Honavar 52 Ratnagiri 9 Punnakayal (C)
7 Tadri 53 Dighi 10 Thirukkadaiyur (C)
8 Belekeri Andhra Pradesh 11 PY-3 (Oil field) (C)
9 Karwar 1 Bhavanapadu 12 Kattupalli (C)
Lakshadweep 2 Calingapatnam 13 Thiruchopuram (C)
1 Agatti 3 Bheemunipatnam 14 Manappad (C)
2 Amini 4 Kakinada Goa
3 Andrott 5 Anchorage (Kakinada) 1 Panaji
4 Bitra 6 Deep Water (Kakinada) 2 Chapora
5 Chetlat 7 Narsapur 3 Betul
6 Kavaratti 8 Machilipatnam 4 Talpona
7 Kadmat 9 Vadarevu 5 Tiracol
8 Kiltan 10 Nizampatnam
9 Kalpeni 11 Krishnapatnam
10 Minicoy 12 Gangavaram
13 Mutyalammapalem
14 Rawa
Source: Basic Port Statistics 2001-2002.
The weightage assigned and the parameters involved are listed below. The weightage
assigned for each parameter was on a scale of 0 & 100.
