Trade union representatives on the Core Committee constituted to find ways and means to improve Kochi Port’s finances have suggested that the port management should look into the possibility of operating the container terminal after the DP World shifts its operations to Vallarpadam by the end of this year.

Mr KVA Iyer representing Cochin Port Labour Union pointed out that operations of competing container terminals within a port are consistent with the Competition Act 2002.

He said that the Port Trust is the legally derived authority to be the facilitator for shipping under the Major Port Trusts Act. Delegation of powers to operate a container terminal to the licensee does not divest the delegator of its legally derived powers. That is the common law. Therefore, the port as a regulator may exercise the option to operate the Rajiv Gandhi Container Terminal as a full fledged container terminal after the DP World vacates the premises.

Mr CD Nandakumar of the Cochin Port Employees Organisation said that there was a sound case for the revival of RGCT. More than 10% of the containers handled by the terminal operator currently are coastal cargo. The arrivals of such cargo at the port are on the rise and the port management should tap this potential with the employees currently on deputation with the terminal operator.

He said that moreover the terminal operator has no right to handle coastal cargo as per Cabotage Law since Vallarpadam terminal will be an international container transhipment facility.

The port management should make all out efforts to make its container freight station more efficient and viable for receipt and delivery of containers prior to the commissioning of the Vallarpadam terminal.

(Sourced from Business Line)