Wednesday, January 22, 2014

Ennore Port-Ford pact for car export


Ennore Port Ltd (EPL) on Jan. 21 signed an agreement with the US-based car maker Ford for export of its cars through the port.

Ennore Port Chairman-cum-Managing Director M. A. Bhaskarachar exchanged the documents signed by the representatives of both EPL and Ford with Ford India Executive Director (Manufacturing) Tom Chackalackal in the presence of Union Shipping Minister G. K. Vasan and Chennai Port Trust Chairman Atulya Misra.

Speaking on the occasion, Mr. Vasan said: “In total, up to December 2013, about 4, 49, 720 automobile units had been exported from Ennore Port since September 2010, inclusive of the automobiles of manufacturers like Nissan, Ford and Ashok Leyland from Chennai, Toyota from Bangalore and Honda from New Delhi.”

He added: “Today, we are witnessing the signing of an agreement between Ennore Port Limited and Ford India Private Limited, a wholly owned subsidiary of Ford Motor Company, a global automotive industry leader, which manufactures and distributes automobiles and engines made at its modern integrated manufacturing facilities at Maraimalai Nagar, near Chennai, for export of their products that customers want and value. The agreement envisages a tie up for export of cars by Ford and providing facilities by EPL for a period of 10 years. It provides for various volume-based discounts on wharfage by EPL ranging from 5% to 30% to encourage more exports from EPL.

Sharing some of the projects that are in the pipeline in the port, Mr. Vasan stated: “Ennore Port is going to sign an agreement with Indian Oil Corporation Limited (IOCL) for setting up of LNG import storage and re-gasification terminal at an estimated investment of Rs. 4, 500 crores. The capacity of the LNG terminal is 5 Million Metric Tonnes Per Annum. IOCL has planned to commission the project by 2016-17.”

“The port has also commenced pre-project activities for the construction of the third coal berth to handle additional 9 million tonnes of coal needed for TANGEDCO. The estimated cost of the new coal berth of 9 MTPA will be Rs. 150 crores. The existing coal berths dedicated to TNEB have a capacity of 16 to 18 MTPA,” the Union Minister added.

New container terminal
Ennore Port, which is developing a new container terminal at an investment of Rs. 1, 270 crores, is awaiting approval from the Cabinet Committee on Economic Affairs. Speaking to reporters, Ennore Port Ltd CMD Bhaskarachar said: “We are waiting for the CCEA approval. The RFP (Request for Proposal) is out. Right now, L & T and Adani have shown interest (to develop the container terminal).”

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