Seven entities including Bharat Petroleum Corporation Ltd, J M Baxi Ports & Logistics Ltd, JSW Infrastructure Ltd, Ganesh Benzoplast Ltd, IMC Ltd and Aegis Logistics Ltd have filed initial bids to equip and run additional liquid cargo berths at Jawaharlal Nehru Port.
The state-owned port authority has sought bids to pick an operator to equip, operate and maintain the new liquid cargo berths 3 and 4 it built with internal resources.
Unmesh Wagh, Deputy Chairman, Jawaharlal Nehru Port Authority, said that the response to the tender was “overwhelming” with top names in the liquid cargo business vying for the 30-year contract.
The port authority has invested Rs92.52 crores to build the additional liquid cargo berths that can handle some 4.5 million tonnes (mt) of petroleum, oil, and lubricants (POL), edible oil, chemicals, molasses, and any new product/liquid bulk commodity.
The new liquid cargo berths are designed to handle ships that can carry as much as 90,000 tons of liquid cargo requiring a draft of 15 metres.
The bid will be awarded to the entity quoting the highest royalty on each ton of cargo handled at the berths to be shared with the port authority.
The successful operator will be free to set rates based on market conditions.
The additional berths are planned to ease the pressure on the existing liquid cargo jetties 1 and 2 run by state-owned oil refining and marketing firm BPCL and cater to the additional liquid cargo demand.
The existing liquid cargo berths run by BPCL have a capacity to handle 6.5 mt and are operating at more than 90 percent capacity utilisation. The BPCL jetty mainly handles liquefied petroleum gas (LPG) and chemicals such as ammonia.
By 2029, the additional liquid cargo berths are projected to handle 4.46 mt of liquid commodities. The capacity of the additional berths depends on the product mix and handling rates for various products. Higher share of POL products may increase the capacity of the jetty as it has high handling rates and bigger parcel size, per tender documents issued by the port authority.
