Bhubaneswar/Paradep, Sept. 22: Cargo-handling operation at Paradip port will resume tomorrow as the week-long deadlock was resolved today following intervention by the state government.

Jagatsinghpur collector Bijaya Ketan Upadhaya said: "The stalemate has ended with local stevedores and service providers agreeing to recommence their operation from 6am on Wednesday."

The port operation has been adversely affected since September 16 as local service providers stopped work to protest grant of stevedoring permit to Seaways Shipping and Logistic Private Limited, a Hyderabad-based firm that is not a member of the Paradip Port Stevedores' Association.

The cargo unloading was going on only in one berth managed by the Hyderabad firm, while there was no operation at 13 other berths. Six ships were on the anchorage waiting to unload cargo.

The issue snowballed into a major controversy after the stevedores' association opposed the Paradip port management's move to award the job to the Hyderabad firm. The stevedores' association demanded its immediate cancellation of the work order.

However, Paradip port authorities maintained that they would not succumb to pressure tactics and allow monopoly in the entire loading and unloading operation by a selected group. They would invite each one and provide a platform to every body.

Speaking to reporters yesterday, Paradip Port Trust chairman M.T. Krishna Babu said: "For 12 major ports in the country, there is one set of rules and regulations. Nowhere are ports run according to the rules of the stevedoring association. If one quits, others will come. We will do stevedoring on our own."

"We will go for open tender, the lowest bidder will be awarded the job. We won't allow industrialists to suffer. Those who will or try to violate port rules and obstruct work, action will be taken against them", he had said".

As the issue threatened to create a major law and order problem, chief secretary G.C. Pati had rushed to the port town on September 19 and directed the district administration to sort out the issue.

However, he made it clear that the state government would not intervene in the port's administrative and policy decision.

The district administration today convened a meeting on the direction of the state government to resolve the impasse. Senior officials of Paradip Port Trust, office-bearers of Paradip Port Stevedores Association, Paradip Dumper Owners' Association and personnel of Seaways Stevedores attended the meeting.

District collector Upadhay said: "Earlier all the associations were rigid on their stand. But after we talked to them, there have relented."

Sources said the stevedoring work would be given on rotation basis. The authorities assured that local stevedores and service providers would also be given opportunity and their interest would be protected.