Prospects of container terminal in Chennai Port grim as neighboring Adani ports prove to be a big competitor

Adani’s own port at Katupalli and its container terminal in adjacent Kamajar

port in North Chennai have attracted more liner Vessels during August this

year.  Both the ports have made sizeable inroads into the Chennai market

while the two container terminals Operating from Chennai port  for the past

3 decades have been the victims as the container vessels continue to

skip the   port. Diversion from Chennai port’s container terminals have been

happening for the past few years as the port is facing evacuation issues

as it is situated in the heart of the city. Connectivity projects conceived

3 decades ago have not taken off due to bureaucratic red tape

While Katupalli port owned by the Adani Ports saw container handling at

58,046 TEUs in August, the container terminal Operated by the adani

group in the adjacent Kamarajar port  handled 59,985 TEUs. Both the ports

are situated in Ennore in North Chennai and share the same compound

wall

The concentration of calls at private box terminals operated by Adani Group, which act as alternatives to Chennai Port, is becoming increasingly evident.The two container terminals have virtually lost out in the competition due to connectivity issues due to inordinate delay by the National highways authority to implement the Chennai Port-Maduravoyal elevated corridor project. Work on the project going on for 3 decades is yet to resume because of the red tape of NHAI. Even the tendering process to award the contract is on for the past one year.

Hyundai Merchant Marine has cemented its network with direct sailings out of Adani Kattupalli Port (AKPPL). Its FIM [Far East Asia-India-Mediterranean] service is a major boon for southern India shippers traditionally tethered to transshipment over Sri Lanka’s Colombo Port for mainline connections.

In addition, CMA CGM has opened a new string out of Adani Ennore Container Terminal (AECTPL) for North Europe and the Mediterranean. The NEMO [North Europe-Mediterranean-Oceania] Service rotates Ennore, Colombo, Malta, Valencia, London Gateway, Rotterdam, Hamburg, Antwerp, Le Havre, Fos Sur Mer, La Spezia, Malta, Pointe Des Galets, Port Louis, Sydney, Melbourne, Adelaide, Singapore and Ennore.

With more call additions, Kattupalli and Ennore have already made sizeable inroads into the Chennai market