Whilst Hambanthota port is taking water to be ready for the first vessel scheduled to arrive in November and Colombo South Port work is in progress and also Oluwil port is due to be opened in early part of 2011, a flurry of similar activities is taking place in neighbouring India.
In Southern India, much-talked Vallapadam port will be commissioned by end of 2010 ( DP World Website) and a host of other new, as well as improved ports, will be ready to offer services to merchant ships soon.
A few of these ports such as (1) Vizhimjam ( 23- 27 meters draft), (www.vzhinjamport.org) (2) Ganagavaram ( 21 meters) and (3) Krishnapatnam ( 19 meters) are examples promising to offer deeper draft, which will be one of the decisive criteria in the near future, than any currently operational container ports in Sri Lanka
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A green port to be developed as an all-weather, deep water, multipurpose port for handling vessels with a draught of 18 to 20m at Gangavaram in Andra Pradesh in East Coast of India. (www.gangavaram.com).
* Vallapadam port by DP World in Kochi, Kerala state. Vallapadam is considered to be a direct threat to Colombo as it intends to compete with Colombo transhipment volume (Financial Times of India, 22nd March, 2010).
* The south-eastern Indian port of Chennai, managed by the Chennai Port Trust (CPT), is planning a mega-container terminal capable of handling super post-Panamax container vessels of 13,000 to 15,000 teu.
* A Feasibility study for a container terminal at Ennore Port has been completed. Further action in this regard is being taken by the port authorities. Ennore Port is also set to enter in to chemical handling operation through private sector participation.
* A project on deepening of approach channel up to 18.7 meters at Paradip port has been approved.
* New world-class container port at Krishnapatnam Port 200 km north of Chennai to be developed BOT basis. (Indian Ministry of Shipping web site).
In view of the fact that 80% current transhipment volume of port of Colombo is associated with Indian ports, effect of the emerging Indian ports, as shown in the Picture 1, on Sri Lanka has to be taken in to careful consideration in the context of Sri Lanka trying to become the hub of the region.
In order to support the new ports to retain and handle local cargo and attract cargo from Colombo, the Indian government is even thinking of relaxing Cabotage regulations thus allowing foreign vessels to carry cargo from other coastal ports, for instance, to Vallarpadam to make it a transhipment container port. An Indian journal reports quoting a Govt. official saying that the Shipping ministry of India is believed to be finalizing details for the plan, and a cabinet note on the proposal will be prepared soon (The Hindu Business Line, 19th July 2010). The relaxation will allow foreign shipping lines to carry cargo between Vallarpadam and other Indian ports, despite opposition from domestic carriers as it would lead to the opening up of India`s coastal waters to foreign ships.
Once the location advantage is lost resulting in a further drop of cargo volume, having already lost Tuticorin Cargo due to commissioning of Sethusamudram, Colombo port will not have much cargo to attract as for the operators of supper container vessels, maximum draft of 19 m planned for Colombo South Port would not be appealing and therefore it is natural that shipping lines operating those ships looking for an alternative to cater for Indian cargo volume.
