SCI plans new joint venture to operate specialised bulk carriers

N.K. Kurup Updated - November 17, 2017 at 07:41 PM.

Shipping Corporation of India (SCI) proposes to float a new joint venture company to operate specialised bulk carriers.

The company has invited tenders from parties with experience in owning and operating transloaders or self-unloading bulk carriers to be the majority partner in the joint venture.

SCI's plan is to convert its old Handymax bulk carriers into transloaders and operate them for another 5-10 years. Initially one or two bulk carriers will be transferred to the proposed joint venture. The joint venture company will have to undertake conversion of the bulk carriers into transloaders.

SCI will hold 26 per cent equity in the proposed company, the balance can be held by a single partner or a consortium of partners.

Handymax vessels

SCI has 12 Handymax vessels of about 47,000 DWT each built in the mid-80s. These are almost completed their economic life. But they can be operated for another 5-10 years by converting them into transloaders, said an SCI official.

Bulk carriers fitted with self-unloading facilities can transfer the cargo without berthing at the port. This will help large vessels to bring in dry bulk cargo and unload them to smaller vessels without berthing at a terminal.

According SCI, the current port infrastructure in India is inadequate to cope up with the projected increase of demand in dry bulk sector. This provides niche business opportunity for innovative solution like self-unloading bulk carriers, transloaders, and self-unloading barges for transportation of dry bulk cargoes in India.

Published on July 12, 2011 16:17