The Competition Commission of India of the Central Government has initiated an investigation into the allegation of a cartel being operated by a few stevedores in the Paradip Port.
Notices in this regard were served under Section 36(2) and Section 41(2) of the Competition Act, 2002 to some of the stevedores out of an estimated 34 licenced ones operating at the port.
Some of the importers and exporters routing their consignments through the Paradip port are believed to have drawn the attention of the Commission to the harassment they face due to the monopoly stranglehold of the cartel members on the stevedoring operations of the port.
It is almost impossible to bypass these members who charge rates at will. As a result, Odisha’s only major port is set to become uncompetitive, compared to the neighbouring Visakhapatnam and Dhamra Ports in respect of many commodities. The importers and exporters have urged to the Commission to look into the present system and install in its place a system guaranteeing level-playing field for all stevedoring firms. Sources said, the Union Ministry of Shipping and Transport is also aware of the matter and mulling appropriate action.