Paradip, May 29: Paradip Port Trust is now poised to handle the consignment of about 55,000 tonne of iron ore pellets imported from Brazil.
The Brazilian ship, MV Dimi, carrying the imported consignment has already arrived at the port’s anchorage for berthing. “The consignment is being procured by Bhusan Steels limited,” said PPT Chairman S. Ananth Kumar Bose.
Paradip port, which had an excellent track record for iron ore export, never handled imported iron ore cargo. As the iron ore export has virtually come to a grinding halt following government’s restriction on mining activities in the wake of multi-crore mining scam, there has been massive slump in the annual business of state’s lone major port.
Iron ore extraction from the mineral-rich belts of Jajpur, Keonjhar and Sundargarh district has come to standstill after the Odisha government has imposed a series of restrictive and regulative measures.
The steel plants and sponge iron factories are the worst hit in the wake of regulatory measures. With no immediate signs in sight for the lifting of restriction, the steel plants have begun taking the import route to procure iron ore and pellets to keep the trade afloat.
The trend has given a boost to the beleaguered port, which is lying low with receding revenue returns due to mining restrictions. Paradip handled 13 million tonne of iron ore export in 2010-11 but it slid down drastically in 2011-12 to 7.5metric tonne.The import of iron ore process may provide temporary relief to the port.
The iron ore export could minimise fall in annual revenue. But it’s not a permanent remedy to arrest the downslide in tariff target. Only resumption of mining activity and consequent iron export process could put the PPT in proper fiscal shape, said PPT sources.
On the other hand, the Union shipping ministry has set a steep target for major ports. PPT faces tariff target of 63 million tonne for 2012-13 year while it stood at 54.2 metric tonne in the current financial year.
PPT officials are, however, optimist that target achievement would not be major issue as there are indications that the state government might lift the mining restriction in few months time. It would lead to the resumption of iron ore activity and revenue earning for the major port, they said.
