India's second-busiest container port is set to increase its tariffs by 10 per cent from next month until the end of 2009, according to The Hindu newspaper.
The port, run by Dubai Ports World, handled 1.1 million TEU in 2007. It is one of 12 central government-owned ports that have tariffs overseen by Tariff Authority for Major Ports. The hike was supported by DP World, which has been seeking a 14 per cent tariff for the Chennai facility.
Chennai Ennore Port Steamer Agents Association said congestion and rising volume at the port should have brought about a tariff reduction rather than an increase, reported American Shipper.
"There are frequent disruption of services and congestion in CCTL," the ship owners association said. "The shipping lines do not get any benefit of the efficiency gain claimed by CCTL.
"The volumes at CCTL have considerably increased, but this is not accompanied by any tariff reduction. Increased tariff burden should not be imposed on the trade. In fact, there is a case for reduction in tariffs."
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