Revamp Empowers Older Private Cargo Terminals at Major Ports
PORTS & SHIPPING

Revamp Empowers Older Private Cargo Terminals at Major Ports

Long-established private cargo terminals at major ports are on the cusp of a monumental change, shifting towards market-driven rates. The Ministry of Ports, Shipping, and Waterways is orchestrating this transformation to modernise the port sector while upholding concession agreements. This transition aims to balance commercial interests with regulatory obligations.

Under the guidance of a three-member panel of port chairmen led by Sanjay Sethi, Chairman of Jawaharlal Nehru Port Authority, a move is underway to potentially migrate older regulated public-private-partnership (PPP) cargo terminal operators to a market-driven pricing system. This mirrors the autonomy granted to private cargo handlers since the enactment of the Major Port Authorities Act of 2021.

The transition will preserve fundamental terms in concession agreements while enabling older cargo terminals to levy market-determined rates. Revenue share will stem from these rates, calculated based on actual traffic or minimum guaranteed throughput (MGT) as per contracts. This innovative mechanism ensures contract volumes are met and allows port authorities to benefit from market pricing.

To ensure transparency, terminals will display market rates on their websites and provide a one-month notice for rate revisions. Rates will be indexed against the Wholesale Price Index, maintaining cost sensitivity. The shift aligns both older and new terminal operators under a unified market-driven approach.

This transformation enhances the port sector's GDP contribution and fosters a competitive landscape. Global port operators like D P World , PSA International Pte , and local firms such as J M Baxi Ports & Logistics  stand to gain from this shift to a free-market pricing regime. The Ministry's efforts promise equitable benefits and bolster India's port sector for a dynamic future.

Long-established private cargo terminals at major ports are on the cusp of a monumental change, shifting towards market-driven rates. The Ministry of Ports, Shipping, and Waterways is orchestrating this transformation to modernise the port sector while upholding concession agreements. This transition aims to balance commercial interests with regulatory obligations.Under the guidance of a three-member panel of port chairmen led by Sanjay Sethi, Chairman of Jawaharlal Nehru Port Authority, a move is underway to potentially migrate older regulated public-private-partnership (PPP) cargo terminal operators to a market-driven pricing system. This mirrors the autonomy granted to private cargo handlers since the enactment of the Major Port Authorities Act of 2021.The transition will preserve fundamental terms in concession agreements while enabling older cargo terminals to levy market-determined rates. Revenue share will stem from these rates, calculated based on actual traffic or minimum guaranteed throughput (MGT) as per contracts. This innovative mechanism ensures contract volumes are met and allows port authorities to benefit from market pricing.To ensure transparency, terminals will display market rates on their websites and provide a one-month notice for rate revisions. Rates will be indexed against the Wholesale Price Index, maintaining cost sensitivity. The shift aligns both older and new terminal operators under a unified market-driven approach.This transformation enhances the port sector's GDP contribution and fosters a competitive landscape. Global port operators like D P World , PSA International Pte , and local firms such as J M Baxi Ports & Logistics  stand to gain from this shift to a free-market pricing regime. The Ministry's efforts promise equitable benefits and bolster India's port sector for a dynamic future.

Next Story
Products

Koemmerling opens Navi Mumbai experience centre

Koemmerling, a brand of the profine Group, has expanded its presence in the Mumbai metropolitan region with the opening of a new experience centre in Navi Mumbai and launched its Allure S46 minimal sliding door system for the Indian market.Located in CBD Belapur, the facility was inaugurated by Peter Mrosik, Owner and CEO, profine Group, along with Farid Khan, Chairman and Managing Director, profine India, and Kamal Bajaj, CEO, profine India.The company said the new centre will showcase its portfolio of uPVC and aluminium window and door systems to architects, developers and homeowners.The ina..

Next Story
Products

India's waterproofing market nears Rs 150 bn milestone

India's waterproofing industry is approaching a market size of Rs 150 billion and is expected to surpass the $2 billion milestone, according to speakers at the 2nd India International Waterproofers Conference & Expo 2026 organised by the Waterproofers Association of India (WAI) in New Delhi.The two-day event brought together more than 20 speakers, 55 international delegates and 53 exhibition booths, with discussions focusing on climate-resilient construction, advanced waterproofing technologies and international collaboration.Inaugurating the event, Durga Shanker Mishra, former Secretary, ..

Next Story
Real Estate

Dilip Buildcon Q1 FY27 Revenue at Rs 23.78 billion

Dilip Buildcon Limited reported consolidated revenue from operations of Rs 2,378 crore in Q1 FY27, along with EBITDA of Rs 429 crore and profit after tax of Rs 128 crore.Consolidated EBITDA margin stood at 18.1%, improving from 17.1% in Q4 FY26. On a standalone basis, revenue from operations was Rs 1,930 crore, EBITDA stood at Rs 199 crore and PAT was Rs 39 crore, with an EBITDA margin of 10.3%.The company’s order book stood at Rs 27,691 crore as of 30 June 2026, compared with Rs 28,830 crore as of 31 March 2026. Roads and highways accounted for 17.1% of the order book, irrigation and water ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement