ICRA: Capital support, finalisation of pending bills needed in port sector
AVIATION & AIRPORTS

ICRA: Capital support, finalisation of pending bills needed in port sector

The BJP-led NDA government has won a landslide victory in the Lok Sabha elections 2019. The government is expected to step up its game and aggressively pursue various infrastructure projects in roads, power, airports, ports and railways sector, which can jump-start the slowing domestic economy. 

The turnaround time at ports has been reportedly reduced from 94 hours in FY14 to 64 hours in FY18 due to easing of norms, etc. Further, the dedicated freight corridor, likely to be operational within the next few years, is expected to improve railways logistics.

During the the government’s last tenure major policy initiatives were rolled out such as Sagar Mala, reforms on the tariff side for major ports, new model concession agreement (MCA) and several trade facilitation measures such as Direct Port Delivery model and simplification of customs procedures, which have helped the sector participants. 

According to K Ravichandran, Senior Vice President and Group Head-Corporate Ratings, ICRA, “The reelection of NDA will be credit positive for the domestic port sector, as they are expected to continue with their port-led developmental model, which will throw open several business opportunities for the incumbents. Going ahead, adequate budgetary support will be imperative to realise all the goals identified under the Sagar Mala programme. Moreover, finalisation of some of the long pending bills on the governing structure for the major ports will be critical to realise the potential in the sector.”

ALSO READ:

The BJP-led NDA government has won a landslide victory in the Lok Sabha elections 2019. The government is expected to step up its game and aggressively pursue various infrastructure projects in roads, power, airports, ports and railways sector, which can jump-start the slowing domestic economy. The turnaround time at ports has been reportedly reduced from 94 hours in FY14 to 64 hours in FY18 due to easing of norms, etc. Further, the dedicated freight corridor, likely to be operational within the next few years, is expected to improve railways logistics.During the the government’s last tenure major policy initiatives were rolled out such as Sagar Mala, reforms on the tariff side for major ports, new model concession agreement (MCA) and several trade facilitation measures such as Direct Port Delivery model and simplification of customs procedures, which have helped the sector participants. According to K Ravichandran, Senior Vice President and Group Head-Corporate Ratings, ICRA, “The reelection of NDA will be credit positive for the domestic port sector, as they are expected to continue with their port-led developmental model, which will throw open several business opportunities for the incumbents. Going ahead, adequate budgetary support will be imperative to realise all the goals identified under the Sagar Mala programme. Moreover, finalisation of some of the long pending bills on the governing structure for the major ports will be critical to realise the potential in the sector.”ALSO READ:Power sector to government: Ease of private sector participation necessaryStrengthen overall economy: Realty expectation from the government

Next Story
Infrastructure Urban

Six Bidders Vie for Rs 572 Bn Jaiprakash Associates

The scramble to rescue Jaiprakash Associates Ltd (JAL), the flagship of the debt-laden Jaypee Group, reached a decisive stage on Tuesday as the window for resolution plans shut with at least six suitors in the fray. Industry sources say Adani Enterprises, Vedanta Group, Dalmia Bharat, Jaypee Infratech (backed by the Suraksha Group), Jindal Power and PNC Infratech have all lodged bids. Jaypee Infratech confirmed its submission but declined to reveal details.Lenders will open and assess the offers at a Committee of Creditors meeting today. Although bid values remain under wraps, the National Ass..

Next Story
Infrastructure Urban

Delhi Orders Urgent MAMC Hostel Repair and Safety Upgrade

Delhi Chief Minister Rekha Gupta has instructed multiple departments to overhaul hostel infrastructure and enhance student safety at Maulana Azad Medical College (MAMC). Chairing a high-level meeting at the Delhi Secretariat with Public Works Department, Health officials and student representatives, the Chief Minister demanded immediate repairs to ageing hostel blocks, new high-intensity LED lighting, round-the-clock CCTV coverage and a larger security presence.She also ordered a special drive to clear illegal encroachments around the campus and fast-track plans for an additional hostel, delay..

Next Story
Infrastructure Transport

Vikaspuri Road Upgrade, Tree Drive to Boost Delhi Constituency

Delhi’s Health and Transport Minister Pankaj Kumar Singh has broken ground on the long-awaited Baprola Village–Harphool Vihar road while leading a record plantation of 501 saplings under the “Ek Ped Maa Ke Naam” campaign. He said the two initiatives reflect the capital’s “people-centric governance”, promising safer, faster and more dignified daily life for residents.The rebuilt thoroughfare will ease commutes for Baprola Village, G-2 Jai Vihar, Prashant Enclave, Bajrang Chowk and Harphool Vihar, directly benefiting an estimated three thousand to three thousand five hundred school..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?