Submitted on 20 May 2019
cochinport-chairman

 

Dear Colleagues,

It  is  indeed  a  proud  moment  for  the  Cochin  Port  family.    The  Port  has  scaled  a  new peak  in  cargo  handling  in  2018-19  by  achieving  a  throughput  of  32.02  MMT,  which  is 10% growth over the cargo handled in 2017-18.  The performance on the financial front is  also  very  impressive  as  the  Port  has  achieved  11.15%  growth  in  operating  income.  We  could  control  the  increase  in  operating  expenditure  to  2.02%  during  2018-19 compared  to  previous  years.    This  has  helped  in  increasing  the  operating  profit  to  Rs. 210.87  Crores  which  is  32.13%  higher  than  that  of  2017-18.    The  net  profit  has increased from 13.55 Crores (2017-18) to 19.2 Crores (2018-19) ie. 41.7% growth. We could improve the operating ratio from 69.71% to 63.99% in 2018-19.    The Port could make an additional payment of Rs. 27.41 Crores to the Pension Fund Corpus, over and above the normal pension payments during 2018-19.  Also, the Port has made the first installment of Rs. 55.85 Crores towards repayment of GoI loan amounting to Rs. 558.53 Crores.It  is  noteworthy  that  we  could  pay  the  wage  revision  arrears  to  Class  III  &  IV employees and pensioners in April, 2019.

I  would  like  to  place  on  record  the  commendable  efforts  made  by  the  employees  of Cochin Port Trust and the members of the Port fraternity in regaining the glory of Cochin as  a  reliable  transit  point  for  the  logistics  sector  world  over.    The  contributions  of  all departments in ensuring cost effective service and delivering high productivity standards are  also  noteworthy.    Curtailing  the  expenditure on  dredging  by  following  the  nautical depth concept was very helpful in containing operational expenditure, which is very high in Cochin compared to other Ports.

However we have to aspire for much better performance in the coming days.  Then only we could gradually overcome the burden of about Rs. 2600 Crores deficit in the Pension Fund, repay the GoI loans of about Rs. 500 Crores, and meet the employee cost which is 50% of the total expenditure.We  have  to  achieve  higher  productivity  by  optimum  utilization  of  our  resources.  We have  to  equip  ourselves  to  compete  with  the  new  ports  coming  up  in  the  hinterland.   Only  by  offering  cost  effective  and  reliable  service  we  could  attract  more  cargo  to Cochin.

It is very important to control the operating expenditure to provide cost effective service and to achieve a healthy, sustainable and stable financial backup for the organization.

We are living in a world where changes are happening on a daily basis in every spheres of  life.    People  and  businesses  who/which  fail  to  quickly  get  adept  to  such  situations would  definitely  get  sidelined  from  the  road  to  success.    Hence,  we  need  to  re-engineer/redefine the work profiles to suit the demands of the new age logistics sector and strengthen the core areas of Port activities.Let us work hard to overcome challenges and join hands for attaining higher goals in the days to come.

Best wishes,
Dr. M. Beena, IAS
CHAIRMAN
(20.05.2019)