Weak infrastructure, strikes and record growth clog Chennai Container Terminal

INDIA's Chennai Container Terminal (CCT) operated privately by Dubai-based DP World has been plagued by a labour go-slow, a work stoppage by trailer operators, bad weather and damaged manholes outside the port since mid-October, reports The Hindu newspaper.

The Hindu's Business Line said that this has lead to long waiting times for container ships to berth and trailers loaded with export cargo queuing for hours, if not days, on the roads to access the terminal.

To highlight the extent of the delays, the report cited the president of US-based Dockside International, R Ravichandran, as saying that despite five of its containers for export being stranded at the Chennai Container Terminal for a week, they will nonetheless miss the next ship to Colombo en route to the US and the delivery of cargo will be delayed 10 days.

According to an unnamed industry source, "an internal labour problem triggered a chain of events and bad weather aggravated the situation," the report said.

Container throughput at the Chennai Container Terminal has increased from 325,000 TEU in 2001 to one million TEU in 2007.

"The Chennai container terminal is biting off more than it can chew. With the growth in volume, there is strain on yard capacity and on the machinery," added a source.