K Ravichandran, Senior Vice-President, Co-head, Corporate Sector Ratings, ICRA Ltd, said the plan to corporatise the major ports is a good move as it will speed up their decision-making process, improve their governance structure, standardise their financial accounts on par with the rest of the industry and help raise funds from the capital markets.
However, a major challenge towards corporatisation will be the likely opposition from the labour force, who could be fearing loss of their jobs and privileges.
Although similar plan was mooted several years ago, actual implementation has been slow.
The only major port functioning as a company is the Kamarajar Port.