Madras Port & Dock Employees Union objects to Chennai port’s proposed equity stake in Bharat Container Line

The Madras Port & Dock Employees Union (CITU) has objected to the Centre urging the Chennai Port Authority (ChPA) to invest 5 per cent equity in the proposed Bharat Container Line (BCL). The union’s vice president T Narendra Rao, quoting media reports, said the Government proposes to float BCL with equity participation from various State-owned entities including Shipping Corporation of India – 30 per cent; Container Corporation of India - 30 per cent; Sagarmala Finance Corporation – 20 per cent; Jawaharlal Nehru Port Authority – 10 per cent; ChPA – 5 per cent and VOC Port Authority – 5 per cent. While the objective of reducing India’s heavy dependence on foreign shipping lines is laudable, the financial burden of achieving this objective should not be unfairly transferred to already-stressed Major Port Authorities, the Union said. Further, major Port Authorities like Chennai, Cochin, Mormugao, Kolkata, and Mumbai are already struggling with severe financial constraints due to huge pension liabilities. ChPA alone has to safeguard the interests of nearly 2,500 serving employees and about 15,000 pensioners, Rao said. Compelling ChPA to invest 5 per cent equity in BCL will adversely affect its financial viability and may push the Port back into a cycle of fiscal stress, thereby rendering the survival and welfare of employees and pensioners extremely uncertain. The appropriate course to fund BCL would be through direct budgetary support, or route investments through financially capable CPSEs and dedicated maritime finance institutions, he added. SCI and CONCOR are Navratna CPSEs with relatively strong balance sheets. Sagarmala Finance Corporation has been specifically created to finance maritime projects. However, in contrast, Chennai Port Authority is not financially positioned to absorb fresh equity risks unrelated to core port operations, said Rao. “We strongly urge that the Ministry of Ports, Shipping & Waterways be requested to desist from compelling Chennai Port Authority to invest any equity in Bharat Container Line, and to safeguard the financial stability of the Port along with the interests of its employees and pensioners,” said Rao. Published on February 5, 2026