Swot Analysis Of Industry Analysis

INDUSTRY ANALYSIS

A Report on
PORTS

By
AKSHAY GUPTA
ANANT ZALPURI
ANUDEEP MANCHINENI
SIDDHARTHA MITRA
VIKRAM GANJOO
YASHWANTH REDDY NADIDE

INTRODUCTION
India, being one of the largest peninsular country in the world, is blessed with a coastline of 7517 kilometres and hence Ports play an important role in handling traffic of trade. India’s 13 major and 187 non major ports cater to coastal and overseas trade. This includes handling more than 90% of Indian trade in terms of volume.
The major ports are under the administration of the Central Government, whereas State Governments take charge of the jurisdiction of the minor ports. With a growth of around 6% CAGR in the last half decade, resulting in the congestion of the major ports,

The ports which are strategically located are set to benefit from the boost in demand due to increased economic conditions in country.
Objective and Port Infrastructure Pricing
The major objective of any port infrastructure company is to provide services, property and infrastructure support to capture maximum traffic and to strengthen their position in the market. A port’s main function is to enable, in a safe and cost effective manner, the transfer of goods from sea to shore and vice versa. Cargo handling is thus a port’s core business. And companies in industry charge for providing this services (infrastructure provided for parking ships, cargo handling etc.). So in ports industry, prices-port dues and cargo-handling charges decides whether a port can lead to growth or not. High prices reduces the demand and low prices causes the congestion at port. So the pricing should be proper in a particular port to achieve the objectives set by

2) Project delays: A large number of projects are stalled because of environmental and security clearances, poor responses to bids and unviability of projects.
7. 3) Poor hinterland connections: There is very little connection between areas far from water ways and areas where infrastructure is not well developed.
8. 4) Low efficiency: Indian ports have low efficiency in cargo handling due to lack of proper equipment in port areas.
9. 5) Lack of extension possibilities: Due to lack of infrastructure there is minimum space available for extending ports and harbour areas. Also the paucity of funds adds to the problem.
10. 6) Lack of institutional capacity: There is no dedicated financial institution for port sector.
11. 7) Poor connectivity issues: Lack of efficient road and rail connectivity from ports to major areas of importance is the main problem of port industry.
12. 8) High Tariffs: Port calling charges which the ship-owners pay to the ports are high. The charges also depend on the cargo carrying capacity of the ship and the type of cargoes carried by these ships.
Opportunities

1) Port development – the opportunity to serve the spill-off demand from major