Kerala’s shortcut to cashew imports upsets trade unions

KOCHI, MARCH 30:  

The Kerala Government’s efforts in promoting raw cashew imports through Tuticorin with short sea shipping to Kollam Port, bypassing the major port of Kochi, have irked trade unions.

“The move will divert Kochi Port’s conventional cargo and cost the port dearer, affecting its revenue earnings substantially,” trade unions said while pointing out the under performance of Vallarpadam Terminal due to lack of cargo support from the hinterland.

Raw cashew shipments are a major commodity through Kochi bringing considerable revenue, with the port handling 12,000 TEUs per year, which is increasing consistently year on year. As per the figures available, Tuticorin Port imports 60 per cent of the 7.5 lakh tonnes of raw cashew imports and the remaining by Kochi.

The Cochin Port Joint Trade Union Forum has also taken strong exception to the Kerala Port Minister’s recent statement, saying that the Minister was well aware of the commercial importance of Kochi Port, which is striving hard to regain its past glory with the support of all stakeholders including the state government. According to unions, Kerala Ports department is close to inking a pact with neighbouring Tuticorin Port for the promotion of cashew imports utilising the Kollam Port facilities. The move, according to them, would eat away a major share of cashew imports of Kochi and reduce the existing job potential here.

Denying any such moves to torpedo the prospects of Kochi in cashew shipments, Kerala Port Minister K Babu told BusinessLine the initiatives taken by Kollam Port is part of their marketing strategy to remain competitive in the present day business environment.

Each port is free to take its own business strategies to attract cargo for their existence. This has been made possible after the government’s initiatives to promote coastal shipping movement in the state by improving the berthing facilities in minor ports at an investment of ₹120 crore and providing incentives for coastal cargo movement.

However, the Minister added that the government is ready to discuss the issues with the Kochi port management and trade unions to allay their fears. The state government is willing to roll out all possible help to Kochi Port to get its deserved share in raw cashew handling.

- The Hindu