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00:00Hello and welcome to NDTV Prophet. I am Vikas Shrivastava. Today we are standing at the
00:14JNPT ports APM terminal and what we see here is one of the vessels, container vessels which
00:20is 272 meters long and has a cross weight tonnage of 72,000 tons. Now to put this into
00:27context we have to understand that government recently approved the creation or the construction
00:32of APM of Wadhwan port near Mumbai. Now this vessel is just the half of the size that we
00:39can accommodate at Wadhwan which will be constructed by JNPT port or and also along with them will
00:46be Mumbai Maritime Authority which will be their joint venture partners. We have with
00:51us Mr. Unmesh Wagh, the chairman of JNPT or JNPEA now, who will talk to us about the
00:58current relevance of this port if we are going to construct the Wadhwan port nearby and also
01:03their plans going ahead for both the ports. Welcome to NDTV Prophet Mr. Wagh. Thank you.
01:08Yes, I would like to start with by talking about what is the current relevance of this
01:13port JNPT port and also if you can talk in terms of capacities, how we are going to extend
01:19and by what time you think this will be saturated and we will need another port nearby.
01:23JNPEA port is one of the biggest port of India and there are two types of ports,
01:30a gateway port and a transhipment port. This JNPEA port is basically a gateway port that
01:38means the traffic either comes into the country or goes out of the country. So this is a very
01:45important port considering the type of cargo it handles. It handles mostly the industrialized
01:53cargo. So this port itself gives approximately 1.40 lakhs of customs revenue to the country
02:04which is approximately 30% of India's customs revenue. Another thing is that because it is
02:10located in the industrialized area, this port serves the industry well. At present,
02:17we are handling 6.5 million TUs and by 2029, this port will handle approximately 10 million TUs.
02:26At present, our capacity is 7.7 million TUs. In April, it will have a capacity of 10.4 million
02:33TUs. Today also, we are 80% capacity and in port sector, 70% to be considered as a 100%.
02:41So today also, we are having a huge capacity and already full. Because of the additional capacity,
02:49we can further 4-5 years we can carry out with this capacity. But after 2029, not only JNPEA,
02:58even the capacity of other ports which handle container traffic like Mundra, Pipawa,
03:03that will also be full or saturated. So that time we require this new port which is a Vardhwan which
03:11will have three times the capacity of JNPEA and which will be the world's top 10 port which India
03:17at present have 25th and 26th number. So this port will take India to the top 10 port of the world.
03:25You said that from 7.5 million TUs to 10 million TUs capacity. So what kind of growth
03:32you are seeing and also this will be driven by what and which sectors?
03:36At present, I am growing by 7%. So this is basically the auto sector, the pharma sector,
03:45the agriculture sector. These 3-4 sectors are driving this particular growth of JNPEA. But
03:54this growth is also based on a variety of different material. Most of them are for the
04:02raw material for the industry here and also the finished product which are exported from this
04:07area and specially Western India, Mumbai MMR, Delhi NCR, the west of UP, the north of India
04:19and also Telangana, north of Karnataka. These are the areas which we support. That is our hinterland.
04:27Sir, what we have seen is that Ex-Im trade in FY24 was comparatively lower compared to FY23.
04:35So have you seen any kind of growth there in the Ex-Im trade? Has it picked up or what kind of
04:40trend you see going ahead? Actually as far as JNPEA is concerned and I can tell that JNPEA is
04:46a barometer because we have a wide base. So variety of products are imported or exported
04:54from JNPORE. So we are growing at 7%. So that itself shows that our growth is already picked
05:02up and by going by the JNPEA because last year also JNPEA's growth was 6.5% which is approximately
05:11same as our GDP. Now we are growing at 7% that means our export and import both are picked up.
05:18And we have also seen as far as geopolitical issues are concerned, geopolitical tensions
05:23have been there around after USSR, basically Russia-Ukraine war and now in the Middle East
05:29also after Israel and the Samas issue. Do you think if the things really go bad from here
05:35which there is a strong possibility also given the kind of situation growing up,
05:41would there be any kind of impact on volumes of JNPT? Is there any kind of threat there?
05:46See, we are a part of this supply chain and I can tell you the only certain thing in this sector is
05:56uncertainty. So initially there was COVID, then there was a dip, after that came the Ukraine,
06:03still we survived that. Then came the Red Sea crisis, we survived that. We are growing in spite
06:10of this crisis. So I can tell you with my experience, these are the temporary phenomena as
06:16far as our export or import is concerned. Our country is quite resilient as far as its EXIM
06:25trade is concerned. So I don't see there will be any permanent impact on our EXIM trade. Yes,
06:32these are the shocks and we are capable of absolving them. So I don't see any great
06:39problems because of these various geopolitical situations. And now coming to this major port,
06:46that's the 13th major port that we are talking about, government gave, cabinet gave the clearance
06:50last week. So what's kind of plan that you have right now with you and have you already initiated
06:57those activities? What kind of work is going to start immediately or by when we can look for
07:02tenders, you know, really for the, say, last time you spoke about landlord activities and all. If
07:08you can talk to our audience about that. See this Ward 1 port, they have, I mean, cabinet has given
07:17approval on last Wednesday. This is the biggest port ever planned by government of India. First
07:26and most important, after 2001, there was no major port planned by the government. This is
07:35the first port after 2001. So this is a 13th major port. So that is one thing. Second, at present,
07:42we are 25th and 26th in world ranking of the port. This will be the port which will take us to the
07:50top 10 port of the world, which is commensurate to our dream to be a Vixit Bharat in 2047. In a
08:00single line, I can tell you, this is the port of Vixit Bharat. So when this port will be completed
08:08in 2034, the second phase also, this will have capacity of 20, approximately 24 million TEUs,
08:16and it will have one of the top 10 port of the world. Another thing is that this is a totally
08:24landlord model port. So all the terminals are built and operated by the private terminals.
08:32We got a lot of demand for these terminals already. We signed MOU with Merckx, where we
08:40are standing now. We are standing at Merckx terminal. They all signed MOU. Then port of
08:47Singapore has signed MOU. The CMSCGM has signed MOU. The DP World has signed MOU. So there is a
08:54lot of demand for the future port. Another aspect is that this port is totally green port. I mean,
09:02since beginning, all the power required for this port will be from the green sources. If the power
09:09will be purchased from the open access, but this will be a green power. Then all the tractor
09:15trailers, just you have seen these tractor trailers, they are diesel operated. These tractor
09:21trailers will be battery operated in this particular port. You spoke about the MOUs that you have
09:26signed with terminal operators. So would they be going for a bidding round also, or would they be
09:33the operators for the terminals that will be set up there? Absolutely. I mean, it's a totally
09:39bidding round and we will float bid. Initially, four terminals are there. So initially, we will
09:49go for the four container terminal, three multipurpose terminal, four liquid terminal,
09:56and one RORO terminal. We will bid it out. They are global tender. And then one terminal is also
10:04reserved for the Coast Guard. For the Coast Guard. Okay. And in total, what is the total
10:09number of terminals that will be setting up, including the second phase? Total nine container
10:14terminal, one kilometer length each, four multipurpose terminal, four liquid terminal,
10:19and one RORO terminal, and one for the Coast Guard. Talk about the plans and the activities
10:25that you have for recent, like, you know, I think what you're talking about will take some time as
10:30far as the operation of terminal is concerned, or even the construction activities. What kind
10:34of tenders you are going to invite in the recent time? Initially, we have to go for the creation
10:40of the basic infrastructure. You see, it is a totally green field project. So at present, there
10:46is nothing. So we have to create the infrastructure, we have to create a 10 kilometer breakwater for
10:51the tranquility, we have to create 1448 hectares of land inside sea, we have to create the bridge,
10:58the trestle to connect it with this land. And all these activities we have to do before the terminals
11:04are auctioned. So these EPC tenders, we will float within three months, because it there is a lot of
11:10mobilization is required. So for that lot of mobilization, also, we are going to indicate
11:16certain technologies to be used, which are very not only economical, but also ecology friendly,
11:23for example, FRP, the reinforced plastic based technology. So instead of using the
11:31not completely eliminating, but they should also use instead of steel, also the FRP. So all these
11:39kinds of things we are going to tell them to use. So when we float tender, they require a lot of
11:47research from the bidder side also. So we will give time to bid them. And then also, after
11:54selection of the vendor, they will require for the mobilization also. So we will give time for that
11:59mobilization also. So initially, immediately land acquisition, then create a building of a road
12:06for this particular port, because this port road is prerequisite, we are not going to use
12:12the local roads, because we don't want to put additional traffic on those roads. So road first,
12:20then the construction of port will start. So initially, in four months, land acquisition,
12:25next four months, 20 kilometers road, and then the construction of the port will start.
12:30So basically, the road what you're talking about will be done by NHL,
12:34land acquisition as well as the construction. Yes. So even the construction part will be taken
12:38care of? The road will be built by NHL. The railway will be built by the Ministry of Railways.
12:45The land required for them will be acquired by NHL, but we will pay for the land.
12:52And as far as you spoke about the capacity of this port and also the relevance,
12:58is there a possibility where you might look at building Badwan also as a transshipment hub?
13:03Because you have a lot of space there. See, Badwan is designed for the largest vessel,
13:09which is built in the world, that is having capacity of more than 24,000 TEU.
13:19So what vessel you are saying, it must be four times that. So this kind of vessel definitely
13:26not only for the gateway cargo, but also for the transshipment. So Badwan definitely be a
13:32transshipment port also, and it has enough yard capacity to cater to the transshipment cargo.
13:40Right. And would there be a possibility even if we are standing at the JNPT,
13:44is there any possibility where JNPT might also be looking at transshipment space over here?
13:50Actually, we want to do the transshipment, but this ecosystem is designed for the gateway port.
13:58So what happened, now our transshipment is only 1%. So now we are doing some
14:07study and also our port of Singapore, which is building our BMC terminal, they are having big
14:14yard. So now they are mulling this idea of having transshipment and we are helping them. So we want
14:20to use this particular port to fullest of its potential. So whether it is a gateway or
14:26transshipment, we are open to it. So how long would that take? I mean,
14:30that's something which you are in talks with. So how long do you think?
14:33I think within 3-4 months it will materialize, if it is to go through, because it is not only a
14:39bi-terminal or the landlord as a JNPT administration, it is also the shipping
14:44line, they should also agree. So it is a big exercise, but we are confident that within 6
14:49months, there should be some headway in this. Do we also require one kind of port on the
14:55eastern coast? At present, the 75% of our container traffic is on the western port,
15:02but definitely the eastern ports are also going for the containerized traffic.
15:08You know, our containerization is quite low compared to developing countries also. So the
15:14way our space of development pick up, we will go for the enhancement in containerization
15:22and that will increase the container traffic. So there will be need for the container traffic
15:28on the eastern side also. And I think the government has planned, the private and
15:32government sector, both will come up with new container ports on the eastern side also.
15:36But there is an urgent need of Ward 1 on the western side, that's why we are doing that.
15:41And you spoke about, we have multipurpose terminals also here and liquid berths also.
15:46So that kind of capacity you see coming, that kind of cargo coming on the western side?
15:51Yes, yes. We only handle clean cargo on Ward 1. We will not handle coal or iron ore or
15:59that kind of thing. We require bulk handling there. So that kind of handling is required.
16:06So for that, we require some multipurpose terminals also. So that's why we are creating
16:12for multipurpose terminals also. So this Ward 1 port was in works for
16:16last two decades or even more. People have been saying that it was there since 1997,
16:21when people wanted to start this Ward 1 port. But there were various challenges. There were
16:26various challenges, protests, environment issues. People had their own other personal issues,
16:33spiritual issues also. But similar kind of issues were there at JNPT port also, if I'm not mistaken.
16:38So many protests happened here. Now this port is being running for last two decades or even more.
16:44So what kind of similarities you see between both the ports, Ward 1 and also here? I think
16:52you last time spoke about some five-point agenda or convincing that you have done with these people.
16:58Can you talk a little bit more on that? Now you are saying this port.
17:02In 1984, it started. I mean the construction. In 1989, we say the first vessel came.
17:10There was nothing here. Nothing. And the economic activity is at basic level. Now you see,
17:20everything is buzzing. Everyone has a job. Lot of local people having a lot of employment,
17:30not only employment, self-employment, businesses and everything. You have prosperity. So this is
17:36only possible because of this port. What kind of employment has JNPT generated in last three
17:43decades? JNPT has created employment in various sectors, in service sector, in manufacturing
17:49sector and also it took away a lot of population from the agriculture sector away to various other
17:57sectors. So more than three lakhs people work in JNPT because of this port only, where there was
18:05absolutely dearth of employment. Anybody who is willing to do job, his job is available for him.
18:13Now you take the Palghar. Mumbai metropolitan region is very developed region. But that
18:21particular Palghar area is still left out. Especially you forget in Palghar district,
18:27you forget about this Tarapur or Bhoisar or Vasai. Those we cannot say as an undeveloped area. But
18:37rest of that, the Palghar, the Dhanu, the Vikramgad, Vada, Mokhada, these are completely
18:47undeveloped areas. This port will bring more than 12 lakhs job in port sector. I'm not talking about
18:55other jobs. If you take the thumb rule, 10 times dependence job, then more than a crore job will
19:03be available there. And this job 90% are semi skilled, blue collar, with little bit of skilling,
19:12which we have identified in 27 areas. And we have already started that. This will be available to
19:18the local people. So they will have job next to their home. Another question you asked about the
19:26five points. There are five major objections for this port. One, is there displacement?
19:35Is there flooding because of this port? Whether the crude refinery will come up?
19:40Whether the livelihood is the issue? Or whether the Shankhodar, that is a religious place,
19:47it will be destroyed? So these concerns we studied and accordingly we changed our layout.
19:56So the Shankhodar is totally protected. We are not touching that. We are moving away from that.
20:00We are moving away from that. So it is the religious place will be intact. So that is not
20:04an issue. Because we went offshore. So because of that, we went offshore. Because of that,
20:13the flooding and displacement, there is no displacement, there is no flooding,
20:17because we are not taking an inch of land for port. Only the connectivity is required.
20:23And that is also for roll and rate. That is also 32 kilometers stretch of 571 hectares is required.
20:30People are ready to give that land because we are, the NHI will give a proper compensation.
20:37So that's been agreed upon already? Yes. And now the only thing is that
20:41the livelihood issue. The livelihood issue, definitely there is a livelihood issue.
20:46I will not say there is no livelihood issue, but we are not restricting the fishing.
20:53We are only restricting it only 30 square kilometer of area where port is built.
20:58Lakhs of square kilometer is available for them to do the fishing. And where we are restricting,
21:04we are giving, there is a temporary displacement, but we are giving
21:08compensation for permanent loss of livelihood. And government of Maharashtra has a solid and
21:14very well drafted policy for the compensation of fishermen, which they used for the Atal Setu
21:22and coastal road. We are going to adopt the same. And if anything is required above that,
21:30as a project proponent, we are ready to give. Because in the end, people, it is for the people.
21:38This is a project for the people. And we want to build this and create this project,
21:44a role model for the future project. So that there should not be any person left
21:53who has not been provided adequate compensation, if he's going to affect anyway.
22:00And you said that you have also stopped flooding activities. So how would flooding be stopped?
22:05They had apprehension that because initially the layout near the
22:10shore. So there was apprehension that there may be flooding because of the reclamation.
22:15Now we are six kilometers away and we did study from the CWPRS, the coastal authorities,
22:21they are independent authorities. And their study showed this reclamation will have no effect.
22:28It will neither increase or decrease. It is neutral, agnostic to the flooding.
22:34Thank you very much for talking to NDTV prophet, Mr. Bagh. It was a pleasure talking to you.
22:38Thank you. Thank you for your visit.