Monday, September 12, 2011

Corporatisation of Major Ports

The Minister of State for Shipping, Shri Mukul Roy informed in a written reply to a question in the Rajya Sabha today that there is a proposal for structural reorganization of Major Ports through Corporatisation. It envisages converting Major Ports into a company under the Companies Act, 1956. JNPT is proposed to be Corporatised to start with.

The Minister further stated that Consultations with recognized Trade Unions of the JNPT were held. The Trade Unions feel that major ports do not require Corporatization, but modernization to make them perform efficiently. MPT Act be amended to give them full operational/financial autonomy. The Government is of the view that under the restrictive ambit of MPT Act major ports have little flexibility of commercial operations and are ill equipped to operate in market oriented situation. After Corporatisation, the Port will get converted into a Company and have a professional management which will have greater financial and operational autonomy, the Minister added.

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