Cabotage law issues still under discussion: Vasan

Union Shipping Minister G.K. Vasan has said that the Union government is still discussing the pros and cons of relaxing the cabotage law under which foreign flag vessels are not allowed to carry coastal cargo. He told The Hindu here on Friday that all issues related to the cabotage law were being discussed and that the government was not under any pressure to take a hasty decision. He did not say how long it would take to make a decision. The Minister was in the city to attend a Parliamentary consultative committee meeting on cruise tourism. The cabotage law has been at the centre of a debate in the shipping industry after the commissioning of the International Container Transshipment Terminal (ICTT) here in February. There is a big divide on the issue with Indian ship owners opposing any relaxation and others calling for a relaxation to boost business at terminals like the one at Vallarpadam. The cabotage law is in place to protect the interests of Indian shippers. However, it is argued that there is shortage of sufficient container vessels to cater to the needs of transshipment terminals, which need evacuation of containers headed for other destinations in the country. CPT troubles On the reported financial troubles brewing at the Kochi port, Mr. Vasan said that the Shipping Ministry had unveiled detailed plans for each port in the country and that steps were being initiated to achieve the goals. The Cochin Port Trust is in serious financial difficulty with the capital dredging expenditure going up substantially this year. Maintenance dredging costs over the next three years are also expected to go up. Problems at ICTT On the recent bout of troubles over supervisory authority at the ICTT, located in a port-based Special Economic Zone, Mr. Vasan said those issues would be taken up with the Ministries concerned. Since it involved the Department of Customs and the Special Economic Zone authority, the Ministries concerned would be involved