Cos queue up to form Dredging Corp of Gujarat

AHMEDABAD: With the custodian of ports in Gujarat — the Gujarat Maritime Board — firm in its plans to float an SPV to undertake large-scale dredging operations to the tune of at least 60 lakh cubic metres annually along the 1,600-km coastline, private maritime players from across the country have queued up to join hands.

Larsen & Toubro, with its 61% stake in the Indian company International Seaport Dredging, promoted by Belgian dredging multinational Dredging International NV, has approached the GMB. Besides, Sirus Shipping, Ocean Sparkle and Sanghi Industries have also approached the board to form the Dredging Corporation of Gujarat (DCG). GMB is keen to select one of these companies to form the DCG in next six months.

Currently, GMB-controlled ports and fishing harbours require dredging to remove around 20 lakh cubic metres of silt every year. Private ports carry out dredging over 10 million cubic metres annually. “With the Gujarat coastline attracting new ports, jetties and SEZs, the dredging requirement will jump three-folds up to 50 to 60 lakh cubic metres annually,” said a GMB official.

With per cubic metre of dredging costing GMB and private port owners Rs 200, DCG stands a good chance to offer its services to everyone. “We have 14 dredgers, and will increase their numbers substantially once a private player is roped in. The DCG, with GMB having a majority stake, will not only take care of our requirement, but also compete for national and international assignments. With our skilled professionals, it will not be too difficult to compete for dredging assignments in near future,” the official added.