Rs 65-cr JV set up for new CFS
TNN | Mar 3, 2012, 05.59AM IS
KOCHI: Infrastructures Kerala Ltd (INKEL), Bahrain-based VKL Group and resort chain Mfar Hotels & Resorts Ltd have formed a joint venture which will invest Rs 65 crore to develop a second Container Freight Station (CFS) at Vallarpadam International Container Transshipment Terminal (ICTT).
The JV, initiated by INKEL, called MIV Logistics Private Limited, will develop the CFS on 18.5 acres at Vallarpadam ICTT. The project is expected to be completed by April next year, INKEL managing director T Balakrishnan said. APM Terminals India Private Limited, the Indian subsidiary of Hague-based global port operator APM Terminals, will set up and operate the CFS as per an agreement to be signed with INKEL.
An MoU was signed on Friday by Balakrishnan and Subhasis Ghosh, managing director, APM Terminals India. Cochin Port Trust chairman Paul Antony, who was present at the signing of the MoU, said that four freight stations were eventually planned for the Vallarpadam ICTT.
"This will be the second CFS and two more are in the planning stage," Antony said.
He said that if cabotage laws were relaxed to allow foreign vessels to engage in transshipment of goods between Indian ports, it would increase traffic throughput tremendously. "Once the cabotage laws are relaxed, the new CPSes at Vallarpadam ICTT will benefit immensely from the increased freight traffic," he said.
Balakrishnan said that about Rs 5,000 crore worth of investments had been lined up in the next 3-4 months on various infrastructural projects in Kerala.
INKEL is developing a logistics park and commercial space in Angamaly on 25 acres. The construction of a 2.2-lakh sq ft commercial space will be ready for occupation before June 2012, Balakrishnan said. In the logistics park, a well-known FMCG company will set up 2.4 lakh sq ft of warehousing space. An agreement for this is now under finalization. The rest of the area will also be developed as a logistics park.
INKEL's PURA projects at Thalikulam and Tirurangadi will involve an investment of Rs 235 crore over a period of three years. Roughly 56% of the total funds will be from the Centre, 14% from the State and 30% from INKEL and its partners.
The project was launched at Thirurangadi and Thalikulam on January 24.
Three years has been given for completion of the projects, which will include a water supply scheme, roads, an apparel park, a market complex, bus terminal, and a gas crematorium, among others.
The project will be implemented through a Special Purpose Vehicle (SPV) incorporated specially for each of these panchayats. At Thalikulam, the SPV will be a joint venture of INKEL, GALFAR and KINFRA. At Thirurangadi, KINFRA is the partner.
Balakrishnan said that INKEL's Malappuram 'Small and Medium Park' is ready for handover and units are now being allocated. This facility has the potential to attract small scale industries to Malappuram.
A Community College with participation from Everonn Education Limited will start functioning at Malappuram this month. The college will train students in high-demand trades with guaranteed jobs. The college will start functioning on 18,000 sq ft and will have hostel facilities.
A 300-bed cancer institute is also being set up at Malappuram while INKEL's mega project, Edu Health City, at Malappuram is in the final stages of planning, Balakrishnan said.