Infrastructure in india: contribution of ports to the economy and the road ahead /

Abstract

The economic development of a nation depends on several factors, and a developed infrastructure sector is one of the key determinants. 21st century has mandated adequate investments by the government and private sectors in the infrastructure sector for sustainable economic development. Economic liberalization has allowed a free flow of investments across the world, and Multi-National Corporations (MNCs) are looking for safe avenues for easy investment and expansion. One of their primary issues of concern is obviously the status of infrastructure in the target country. India, being a favorable destination for investments from MNCs, attracts huge exports and imports. Port infrastructure is one of the key indicators of sound infrastructural setup of a country. Ports are the gateway for foreign trade and developed port facilities provide a platform for smooth exports and imports. Around 13 major and over 190 non-major ports in India contribute to around 95% in volume and 75% in value to Indian foreign trade. The substandard performance of Indian ports, in comparison to their counterparts, affects business. The present study aims to track the progress and advancements made by the Indian ports and their future scope for development. It also highlights the inherent constraints in the development of Indian ports and suggests certain pertinent measures to enhance the functioning of this key sector.