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CASA Chairman urges port expansion

by Hiran H. Senewiratne

The Chairman of the Ceylon Association of Ship Agent's (CASA) Capt A.V Ragendra said that today's competitive environment, had reduced frequencies and higher rates in port charges and it would have an adverse impact on the mega transshipment hub concept in the long term.

"It is our view that the authorities of the Port of Colombo would seriously need to look beyond what can be seen," said Ragendra at the 38th Annual General Meeting of the CASA recently.

He said the solutions that extend in the form of concessions on navigational dues and dockage to the feeder operators at the port till the end of year 2005 needs to be continued. Currently the industry expects a decline in charter hire rates.

CASA is pleased to learn that the authority is taking measures to extend Jayawardena Central Terminal 4 by 65 meters, increasing the deep-water quay length to accommodate vessels with minimum delays. It would help competitiveness among other ports, he said.

If Sri Lanka is serious about building Colombo as a mega hub, it is the need of the hour to develop the South harbour as well, he added.

He urged the Sri Lankan government and the Sri Lanka Ports Authority to look at the possibility of improving logistics infrastructure.

Constraints on day transport for containers, traffic congestions and delays in clearing and forwarding containers need to be addressed as soon as possible to face future challenges, Rajendra said.

He said the government should recognize that the intermodal transportation is also an integral part of the port operations.

It is essential to open up a dialogue between the Ministry of Ports and Ministry of Transport to introduce an effective intermodal transportation system to improve the efficiency of the port together with a dry port.

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