Shipping Firms Monitoring Strike At Indian Ports

Business Times (Malaysia)
19 Jan 2000

Shipping companies in Port Klang said they are monitoring the strike affecting 11 major ports in India.

He said strike and labour issue affecting ports are not something new in that part of the world.

“Ports in the Indian sub-continent are known to be problematic,” said a senior shipping agency manager.

“The port workers unions are very strong, and they can go on strike for the smallest issue,” he said.

The manager, who declined to be named, said most ports in that part of the world are over-staffed. A port in India which is smaller than Port Klang has a staff strength of 11,000 more than double the latter.

“Ships have to wait up to 11 days in port before they can berth and this upsets the sailing schedules and that cargo being are shut out,” he said.

Several shipping companies have feeder services linking Port Klang and Penang Port to Bombay and Chennai Port.

The manager said fortunately India has several privatized terminals such as the Jawaharlal Nehru Port operated by the P&O-led consortium and Tuticorin Port by PSA Corp which are not affected by the industrial actions.

Some cargo owners may redirect their cargo to these terminals, he said.

Agencies report said that more than 100,000 workers in 11 major Indian ports have decided to go on an indefinite strike from Tuesday after talks with the Government on higher wages failed on Monday, an union official said.

“We will go on an indefinite strike from midnight on Monday till the Government agrees to a satisfactory settlement,” Mr S.R. Kulkarni, president of the All India Ports and Dock Workers Federation, told reporters here.

Federal Transport Minister Rajnath Singh held talks with the representatives of five federations covering workers in major ports but the two sides failed to reach an agreement.

The unions have demanded, among other things, wage increase every five years, rental allowance and city allowance with retrospective from January 1 1998, Kulkarni said.

“We are going ahead with the strike as scheduled as the Government had not appreciated our stand,” he said.

Indian trade bodies estimate that India needs more than US$200 billion (US$1 = RM3.80) in private investment by 2002 to increase power output and improve ports, roads and telecommunications.

The Governmnet has pledged an investment of US$4.1 billion during the next five years in the development of major ports.

Indian ports are forecast to handle about 424 million tonnes of freight by 2003, which is double the current capacity.