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Goa’s Mormugao Port slashes charges to promote container service
Owing to the low volumes of containers handled at the port, Goa’s Mormugao Port relies on a feeder service to larger ports like Mumbai, where they are then loaded on to larger container vessels and shipped out.
In a bid to encourage container traffic, the Mormugao Port in Goa is offering steep discounts to any container feeder operator wishing to start services from the port after the lone operator decided to discontinue its service. The cessation of the container service has triggered fear of disruptions in industrial and manufacturing activities in Goa due to increased export and import costs involved in use of other ports.
“Container Agent M/s Maersk Line had declared to its customers to stop taking container bookings from MPT Goa. On further enquiry it was learnt that the only container feeder vessel operator from MPT Goa, M/s Sima Marine will discontinue the container vessel’s call at MPT Goa,” MPT said in a statement.
The MPT, among other benefits, is offering 100% concession on vessel related charges (VRC) including pilotage, port dues and berth hire as an inaugural discount for the new operator’s first call, and 50% concession on VRC from the second call onwards, besides also promising priority ousting with 24-hour’s notice unlike the 48-hours ousting notice needed currently and 50% concession on the ousting charge.
“Based on discussion with all stakeholders and after identifying the key barriers for the feeder operators and container agents, a decision was taken to grant substantial discounts to any new feeder operator commencing the service at MPT Goa. Some additional discounts were also agreed to for the container vessels for the next three months for the sea food export season,” the Port said in a statement.
The concessions will be reviewed further after the first three months of the fishing export season.
The Port has received interest from global shipping container company MSC India that seeks to start a container feeder service for its own export-import container business.
Owing to the low volumes of containers handled at the port, Goa’s Mormugao Port relies on a feeder service to larger ports like Mumbai, where they are then loaded on to larger container vessels and shipped out.
“This issue cannot be addressed only by the port but is also for the industry association and trade chambers in Goa to reflect upon. Apart from the adequate volume challenge, there is also a need for a reliable and efficient shore crane (Harbour Mobile Crane) at MPT Goa. The port has decided to address this issue in a short time frame probably through the Sagarmala funding route or any other suitable means,” said the Mormugao Port.
The Port has, however, cautioned that the discounts alone will not lure container operators. “The only way to guarantee a regular and sustainable container service at Goa is by giving the operator a substantial volume, at least to a level that lends critical mass and then no container line or vessel operator will ignore Goa for container trade and abruptly stop the service.”
