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| Sunday, 3 July 2005 |
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Shippers concerned over Colombo port status by Rohan Mathes Shippers' Council calls for timely action from the Government to avert the imperative threat of Colombo port losing its hub-port status by year 2009. The Shippers' Council Chairman Noel Piyatilake in an exclusive interview to the Sunday Observer disclosed that if the Government fails to secure immediately the required funds totalling over US Dollars 400 million for the construction of the 'Breakwater' and the other navigational facilities such as Tugs and other common user facilities, for the Colombo South Port, Colombo becoming a mere 'Feeder' port is inevitable. By a systematic analysis and a forecast of the total Container traffic via Colombo, based on the present capacity at the port of Colombo, Chairman Piyatilake pointed out that by around year 2008 to 2009, Colombo was bound to be congested and therefore bypassed by the major shipping companies managing large ships carrying over 9000 TEUs (Containers). "The presently available manoeuvring facilities in Colombo is totally inadequate for those vessels which has the capacity to carry over 9000 TEUs.", he opined. He noted that the ADB had pledged US Dollars 100 million and a request had been made by the government to increase it to US Dollars 200 million. There have been media reports that a 'Dollar Bond' issue is to be floated to find the balance. However, Piyathilake doubted whether the SLPA would succeed in raising the required funds which was around three times the net assets of SLPA, at favourable terms, given the present 'Balance sheet' data. According to the SLPA Balance sheet of 2003, its net assets are around 540 million US dollars, with an outstanding Japanese loan balance of US dollars 450 million. Chairman Noel Piyathilake reiterated that the Government should give optimum priority to the construction of the Colombo South port, even at the sacrifice of other port development projects such as the Galle, Hambantota and Oluvil. |
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