First mother ship San Fernando has called at Vizhinjam Port which is poised to become a game-changer for Kerala’s export industry bringing substantial monetary benefits to local exporters.
From spices to coir and seafood, the port will serve as a backbone for exporters from Kerala because of its strategic significance to berth mother ships, the large cargo vessels that serve as the backbone of global trade.
According to Sajan B Nair, secretary general, Federation of Indian Coir Exporters Associations (FICEA), the Vizhinjam International Seaport will bring multi-fold benefits to exporters in Kerala. “The main benefits will be reduction in logistics cost, transit time and fast processing. As the port can handle mother ships, it is definitely going to be a game changer. By reducing costs, cutting transit times, and opening up new markets, the port will play a crucial role in boosting exports from Kerala,” he added.
Reduction in Logistics Cost
A primary advantage for exporters in Kerala is the significant reduction in logistics costs. Mother ships can carry larger volumes of goods compared to feeder vessels, which translates to lower shipping costs per unit. Earlier, containers from Kerala had to be trans-shipped through other ports like Colombo or Dubai, adding to both time and expense. With Vizhinjam accommodating mother ships directly, exporters can now ship their goods more efficiently and at a reduced cost.
Reduced Transit Time
Vizhinjam Port will drastically cut down the transit time for exports. Currently, the need to trans-ship goods increases the journey duration, affecting the freshness and competitiveness of perishable goods such as spices, seafood, and fruits, which are key exports from Kerala. Direct loading of goods to mother ships results in faster delivery times to international markets, enhancing the appeal and market value of Kerala’s exports.
Increased Market Access
Vizhinjam International Port will open up new global markets for exporters. Operations of mother ships ensures that goods can be shipped directly to major international ports without intermediate stops. This direct access will enable exporters to tap into markets in Europe, North America, and East Asia more effectively. The ease of access to new markets is expected to increase demand for Kerala’s diverse export products, ranging from coir and rubber to tea and coffee.
Boost Export Volumes
The port’s operational efficiency is anticipated to lead to an increase in export volumes. With better infrastructure and reduced bottlenecks, exporters can scale up their operations which will not only bring direct monetary benefits to exporters but also stimulate the local economy.
Competitive Advantage
Kerala will have a competitive edge over other Indian states and neighbouring countries because of the port’s ability to offer faster, cost-effective, and direct shipping solutions.