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Alpha Vinimay bags contract to build dry cargo berth at Kandla

Facility to be ready within 24 months on PPP model.



A view of the Kandla Port (file photo).

Virendra Pandit

Ahmedabad, Sept. 21 Alpha Vinimay Pvt Ltd will construct the first of the four multipurpose dry cargo berths at Kandla port.

The Gandhidham-based engineering company won the bid to construct the berth in two years on a public-private partnership basis.

The berth is expected to enable the major port handle an additional two million tonnes of dry cargo annually.

Alpha Vinimay would invest Rs 189 crore for the berth, develop it in 18 to 24 months from the date of award of the concession, and run it for a contract period of 30 years.

According to the tendering rules, Kandla Port Trust (KPT) would entrust construction of each of the four berths to a different concessionaire.

Competition

Alpha Vinimay won the bid after competing with Adani Enterprises Ltd, Ahmedabad, and IMC Ltd, New Kandla, a KPT source told Business Line on condition of anonymity.

The bids were opened on September 9 and the KPT Board decided the winner on September 15. KPT had invited price bids for construction of four dry cargo berths at Rs 755 crore on build-operate-transfer and revenue sharing basis. It is expected to decide on the three proposed berths in the coming months.

The port trust would get 31.62 per cent of the revenue and Alpha Vinimay would get the balance. Adani Enterprises had offered 8.5 per cent and IMC Ltd had offered 10.17 per cent, said the port source.

KPT has 10 dry cargo berths, two container berths and six oil jetties at Kandla Port. It also has in the Gulf of Kutch three single-point moorings and one oil jetty for handling crude oil at Vadinar in Jamnagar district.

In 2008-09, these KPT facilities had handled 72.22 million tonnes of cargo. Between April 1 and September 16, 2009, it handled 36 million tonnes.

The handling capacity of the 10 dry cargo berths is 13 million tonnes per annum (mtpa), against which they have handled 20.72 mtpa, resulting in berth occupancy of as high as 85 per cent on almost all available days.

By 2013-14, the port would have a shortfall of 19.74 mtpa in handling of dry cargo. This necessitated construction of berths.

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