A fall in coal and iron ore shipments at privately-owned ports across India saw cargo handled at private ports grow at only 2.2 per cent in 2024-25 (FY25), while cargo handled at central government-run ports grew 4.2 per cent, in a reversal of recent trends.

Private ports handled 739 million metric tonnes (mmt) of cargo in the previous financial year, according to data released by the Ministry of Ports, Shipping and Waterways, with major contractions for private ports in Andhra Pradesh and Maharashtra. In March, overseas cargo at non-major ports, owned by private entities or state governments, contracted 3 per cent to 51.4 mmt.

In FY24, these ports had achieved an 11.1 per cent growth in traffic. Shipments of coal, which accounts for 27 per cent, or 201 mmt, of their freight mix, decreased 3 per cent in FY25. According to experts, part of it was on account of decrease in coal imports. “India’s coal production has reached 1047.57 million tonnes (MT) (provisional) in FY25 from 997.83 MT in FY24, marking a 4.99 per cent growth. This has impacted coal imports, which fell 8.4 per cent to 183.42 MT in April-December 2024 from 200.19 MT in the same period of FY24. 

This contributed to volume degrowth in non-major ports of Maharashtra (-11.6 per cent), Andhra Pradesh (-11.3 per cent) and Odisha (-4 per cent),” said Jagannarayan Padmanabhan, senior director and global head, Crisil Intelligence. Additionally, iron ore cargo dropped by 18 per cent last fiscal to 62.7 mmt.

The Maharashtra Maritime Board has reported a cargo decline of almost 12 per cent. According to experts, two ports run by India’s second-largest operator, JSW Infrastructure, the Jaigarh Port and the Dharamtar Port, have seen contraction in cargo volumes, the latter due to the current state of iron ore demand in India.

Dharamtar services the needs of JSW Steel’s plant in Dolvi, Maharashtra. According to the company’s JanuaryMarch 2025 quarter results released on Wednesday, six of its 14 facilities, including the major Jaigarh and Dharamtar ports, reported a decline.

However, on account of new acquisitions, JSW Infra's overall volumes grew by 9.9 per cent. According to the same period’s data for Gautam Adani-led Adani Ports and Special Economic Zone (APSEZ), cargo at Krishnapatnam Port and Gangavaram Port in Andhra Pradesh decreased by 7 per cent and 28 per cent respectively. On an aggregate level, APSEZ also reported strong cargo growth of 7 per cent at 450 mmt mainly due to higher traffic at most other terminals and ports.

Source: Business Standard 

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