Government to take up land leasing proposal for major ports tomorrow

NEW DELHI: Government may consider tomorrow a proposal for leasing or licensing of land owned by 12 major ports in the country for various development projects.

The proposal by the Shipping Ministry for "licensing/leasing of land for development project at various major ports" is listed on the agenda of the Cabinet tomorrow, the sources said.

Earlier, a Shipping Ministry appointed Committee had felt that Land Policy is one of the most significant policy frameworks guiding the overall functioning of the Port Sector.

"In all major ports the world over, land has been leveraged for optimising the throughput and increasing revenue of ports. It is an established practice globally for ports to allot land for carrying out economic activity including establishing industry to ensure captive cargo to the port, thereby enhancing the sustainability of that port," it said.

The policy will assume significance as the major ports in the country have large chunk of lands with them.

Around 95 per cent of India's foreign trade by volume and 70 per cent by value is transported through sea. Major ports account for 75 per cent of the total cargo by volume handled at the country's about 200 ports.

Land allotment policy, sources said, will include land inside custom bound area and outside it besides existing leases and licensing arrangements.

India at present has 12 Major ports - Kolkata-Halida, Paradip, Visakhapatnam, Ennore, Chennai, V O Chidambaranar (formerly Tuticorin), Cochin, New Mangalore, Mormugao, Mumbai, Jawaharlal Nehru and Kandla.