Kochi port feeder operators plan to hike rates

The consortium of feeder operators in Kochi port is planning to hike its charges in the wake of the 40 percent increase in vessel-related charges following the implementation of the proposal of Tariff Authority of Major Ports (TAMP), the Hindu Business Line reported.

The 40 percent hike in vessel-related charges would not affect the mainline operators as the port is already extending 50 percent concession in the vessel-related charges as well as for berth hire for mainline vessels calling at the port.

The consortium comprising Orient Express, Bengal Tiger Lines, and Sea Consortium pointed out that the present increase in charges is uneconomical for the principals of the consortium in the current scenario at a time when they are operating more than 100 ships a year. With the increase in rates, the marine charges at Colombo are much lower compared to Kochi.

The trade and industry have already requested the port to provide volume-based discounts and incentives rather than imposing a 40 percent increase on the existing scale of rates considering the stiff competition from neighbouring ports.

They pointed out that shippers have badly burnt their fingers on account of the global recession as the exports of major items handled through the port have shown a decline. 
 

Source: www.schednet.com