Cochin Port against increasing tariff

KOCHI: Despite severe financial crisis, the Cochin Port management has decided not to hike port, cargo and vessel-related tariffs for the next three years.The port trust has submitted a proposal to the Tariff Authority for Major Ports (TAMP) in this regard.The validity of the existing rates will end on March 31.“It is proposed that Cochin Port could improve financial health by increasing cargo throughput by providing competitive rates.Compared to other ports, the charges at the Cochin Port are high and a further hike in tariff may affect cargo throughput,” said Cochin Port Trust authorities.The net loss of the Cochin Port is likely to touch `262 crore by March 2012 compared to that of `86 crore last year.This year, the huge loss is mainly attributed to the cost of capital dredging done to achieve a depth of 14.5 metres.The port management has already introduced austerity measures, including voluntary retirement scheme, to overcome the financial crisis.Meanwhile, the labour trustees of the Cochin Port Trust have come up with protest against the proposal to not hike the charges.“It is a foolish decision to not hike charges, that too at a time when the port is reeling under severe financial crisis.If necessary, concession could given to a particular cargo, considering the traffic, at a later stage,” said P M Mohammed Haneefa, one of the labour trustees.The labour trustees have also demanded the port management to withdraw the concession being provided to mainline vessels calling at the International Container Transshipment Terminal in Vallarpadam (ICTT).However, the port authorities said that the proposal has been submitted to the TAMP, which is the authorised agency to finalise tariff.“It is for the TAMP to take a final decision in this regard,” said the port authorities.