Business Line reported that Mundra Port has registered a 16.7% growth in containerized traffic handling for April to November on a YoY basis, bucking the gloomy trend in seen in all other key container handling ports such as the Jawaharlal Nehru Port, Chennai and Pipavav.
Among these, the sharpest fall is recorded in APM Terminals' Pipavav Port, a listed entity, which has recorded a 15.6% drop in containers handled during the period.
Container traffic at most of the ports have been hit by the slowdown in the country's international trade. In US dollar terms, both exports and imports have registered a negative growth for the April to November period.
Non oil imports during April to November at USD 2,08,631.3 million were lower by 7.07% on a YoY basis.
Country's exports for the period were at USD 1,89,222.20 million, down by 5.95% YoY.
Mundra Port handled 1.94 million twenty feet equivalent units registering 16.7% growth YoY for the 8 month period this fiscal, while Pipavav handled 0.35 million TEU boxes during the period registered a 15.6% dip YoY.
The JN Port handled about 2.8 million TEUs, showing a 1% dip; while Chennai handled 1.04 million TEUs, reflecting 0.5% dip. Box handling at the Kochi Port witnessed close to 7% drop during the period.
Mr Shailesh Garg director of Drewry Consulting India said that "Mundra is benefiting from the JN Port's limitations such as congestion. Moreover, a major shipping line calling at Pipavav shifted to Mundra. Mundra has recently started operating its third container terminal."
Mr Garg said that "Also, traffic potential in the immediate hinterland of Mundra is stronger compared to other ports in Gujarat, which depend more on cargo from northern hinterland."
He said that this is evident from the fact that around 60% of containers at Pipavav are rail based as against a 20% to 25% range in Mundra and JNPT.
Mr Anand V Sharma director of Mantrana Maritime Advisory said that "From a pure geographical perspective, Mundra is located closer to the northern hinterland compared to JN Port and thus, has a natural lower distance advantage.'
Mr Sharma said that "But, JNPT, being a large port and accounting for the largest container traffic in the country, has direct service of many shipping lines, who choose to call to JNPT due to large volume and economy of scale."
He said that "But as Mundra starts handling larger volumes, logistically and based purely on distance comparison, JNPT will begin losing out to container terminals in Gujarat, thus marking a reverse in trend."