India: ICTT Dredging Project Hits Snag

DP World’s plan to bring bigger ships to India’s first international container transshipment terminal (ICTT) will be delayed by at least two years after the dredging contractor Mercator Ltd halted the channel dredging.

According to the Livemint, Union government-controlled Cochin port served a notice to Mercator giving the Mumbai-based firm 14 days to resume work. “If they don’t start work within 14 days, we will have to take a decision to terminate the contract with Mercator for non-performance,” said G.P. Rai, chief engineer of Cochin port.

“We have been dredging and dredging but silt keeps on coming; there doesn’t seem to be any end to it. What can we do about it,” said a spokesperson for Mercator.

Cochin port is contractually bound to give a depth of 16 metres to DP World to help the firm bring bigger ships to the ICTT.

Cochin port says that Mercator could not complete half of the targeted work even a year after it started. Mercator has contested this claim. “We have already done 3-4 times that quantity (of 2 million cubic metres). We have spent more than the contract value already,” the Mercator spokesperson said.

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Dredging Today Staff, May 21, 2012;