Colachel big boon for India, says Pon Radhakrishnan

CHENNAI/NEW DELHI: A major port project at Enayam, about 11 km from the ancient coastal town of Colachel in Kanniyakumari district, will finally take off with the Union Cabinet granting the "in principle" approval for establishing it at an estimated cost of Rs 25,000 crore. Pointing out that the major port project near Colachel is a "big boon for entire India," Union Minister of state for road transport, highways and shipping, Pon Radhakrishnan, who hails from the coastal district of Kanniyakumari, said the project would help drastically reduce revenue losses of Indian port industry.

"About 2.6 per cent of India's transshipment traffic is being handled in Colombo, Singapore, Saudi Arabia and other international ports. As a result, Indian port industry loses about Rs 1,500 crores revenues each year. The losses could be cut down and transportation cost too reduced if India ships the consignment directly to the intended destinations," he said.

Radhakrishnan who has been instrumental in providing impetus to the project, says, "The major port at Colachel is a big boon for the entire country, especially Kanniyakumari where it will spur industrial development."

Apart from Prime Minister Narendra Modi who during his election campaign in the district in May assured the project, Union road transport, highways and shipping minister Nitin Gadkari too backed Radhakrishnan's stand on the port project triggering large-scale employment. The proposed port at Enayam will not only act as a major gateway container port for Indian cargo that is presently transshipped outside the country, but also become a trans-shipment hub for the global East-West trade route.

In addition, it would reduce the logistics cost for exporters and importers in South India who currently depend on trans-shipment in Colombo or other ports thus incurring additional port handling charges.