Mumbai, Oct, 13 (EPC News): Shipping Corporation of India (SCI), India’s biggest shipping company, nearly halves its vessel orders for the current fiscal. To SCI the present market seems more volatile and unsecure to go ahead with its purchase plans. The company says it would proceed with only those acquisitions where it is confident of gains.
In the 11th Five Year Plan, the company was scheduled to place an order for 62 vessels. But till the last fiscal, the company has placed the order for 36 vessels while it was to place orders for 26 vessels in the current fiscal. But SCI would now place order only for 10 out of 26 vessels.
The Shipping Ministry, expressing their concern over SCI’s growth plan, averred that the company was financially sound. Various reports are prepared within the ministry. The report in question was one among them, but was leaked before it could be discussed at the ministry level.
In an interview with EPC World earlier, S Hajara, CMD of SCI said, “SCI would like to have a presence in the upper segment of offshore market. We are definitely interested to diversify in shipbuilding, terminal management and logistics sector but diversification does suffer when the core business is not performing well.”
“The order has not been restructured, it is just we are now sure orders for the entire number (26 vessels) will not be placed this year,” he added.
EPC News Bureau
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| Posted on:10/13/2011 at 7:51 AM