VPA becomes lifeline for industries hit by strike at Gangavaram Port

Visakhapatnam: With several ships getting diverted to the ports in the neighbourhood following a strike by the workers of Adani Gangavaram Port Private Limited (AGPPL) since April 12, Visakhapatnam Port Authority (VPA) has emerged as a Good Samaritan in coming to the rescue of several industries including RINL-Visakhapatnam Steel Plant which faced the threat of closure due to standstill in supply of imported coking coal.

The strike is still continuing due to failure in talks initiated by the management following a directive of the Andhra Pradesh High Court in arriving at a consensus on pay parity and wage hike sought by the agitating workers and the project-displaced families. Several importers and exporters who were dependent on the AGPPL to meet their requirements suffered a severe jolt with the impasse continuing for such a long time.

Some of the Importers and exporters of major cargoes who are already working with VPA and the rest affected traders choose the major port in the city as a big brother in allowing berthing for their ships after waiting for a long time for anchorage at Gangavaram Port. The private port is located in the backyard of Visakhapatnam Steel Plant because of which RINL depended entirely on it to get coking coal and other raw materials required for steel-manufacturing.

VPA donned its role as a rescue port for several users including RINL in addition to meeting its commitments with regular clients.

"We felt it as our responsibility when others were facing a crisis situation. Hence, on a priority basis we allowed berthing and evacuation of cargo with our rich and proven track-record," VPA Chairman M Angamuthu told Bizz Buzz on Wednesday.

He said in the larger interest of all, RINL should arrive at a long-term cargo handling arrangement with VPA so as to meet its requirement partly to ensure uninterrupted supply of raw material for its continuous production in future and get priority berthing facility at the major port.

Due to the strike, VPA has so far berthed 15 vessels carrying various cargoes with a total volume of 9,02,020 tonnes. One vessel of RINL is working at ore berth and another is expected to be berthed anytime carrying 1,58,009 tonnes. Another vessel of RINL carrying 79,600 tonnes is also expected to berth shortly. In all, a total number of 18 vessels with a total quantity of 11,39,629 tonnes (1.13 MMT) will be added to the tonnage of VPA due to complete disruption in cargo handling at Gangavaram.

Summary of vessels handled till the time of filing this report as follows: SAIL one vessel, RINL four, AEL two, NMDC two, VAL one, JSW & JSPL five, UCL one ship.

Two more ships for RINL are in the process of getting clearance for berthing. With reference to the vessels of RINL so far VPA has handled four vessels carrying loads of 3,04,992 tonnes.

"VPA is doing a wonderful job in rising to the occasion in helping RINL and other industries whose cargo loading is hit hard due to the disturbances at Gangavaram. VPA being a premier port has the capacity to handle 125 million tonnes per annum," Visakhapatnam Stevedores' Association president G Sambasiva Rao, said.

VPA had set an all-time high record in cargo handling with a throughput of over 80 million tonnes during 2023-24. During the current fiscal, through significant improvement in techno-economic parameters and massive automation, the port is aiming to handle at least 90 million tonnes.