Kochi: The Cochin Port Authority is embarking on an ambitious plan to develop the cruise tourism ecosystem in and around Kerala’s all-weather natural port in Kochi. The central government establishment, as a first step towards its proposed plan for massive development in the sector, has invited an Expression of Interest (EoI) for the development, operation and management of the existing Sagarika Cruise Terminal and the development of surrounding land for tourism and hospitality activities.
The EoI for development in Public-Private-Partnership(PPP) or Land Lease Model’ has been invited from “investors or experienced resourceful firms with proven technical and financial capabilities with experience in operation and management of cruise terminals/airport terminal/cruise lines/cruise vessel agent and/or experience in development and management of infrastructure and/or activities related to tourism,” the document said.
The potential investor can also have business tie-ups with ports, shipping lines, vessel agents or logistics businesses which will help in bringing cruise traffic to the Cochin Port.
The principal objective of the project is the promotion of cruise tourism through Cochin Port by creating world-class infrastructure and amenities, according to the invitation for EoI issued on April 11.
“Projects like establishing hotels, exhibition/convention centres, recreational facilities, performing art forms, ayurvedic wellness/health spas, or any other business/facilities that bring cruise passengers /
tourists to Cochin Port and those which add to enhancing the promotion of Cochin Port as an iconic tourism destination will be entertained,” according to the document. The last date for submitting the EOI is May 31, 2023. The EOIs will be opened on June 1, 2023.
The Port Authority will be preparing the tender document for the proposed project based on the EoIs received.
The total area envisaged for the project is approximately 5.57 ha, which includes 0.98 ha (2.43 acres) of Sagarika Terminal and adjoining areas inside the Customs Bonded area, and 3.80ha (9.38 acres) of area outside the Customs Bonded area which includes 1.01ha of parking area, 0.289ha of Kochi Haat developed with the financial assistance from Union Ministry of Tourism. In addition to this, an area of 0.79 ha (1.96 acres) of land is also available for future development which can be debonded and considered for the project.
The proposed project will have two revenue sources -- income generated on account of handling the cruise passengers in the form of head tax and the money generated by providing ancillary services. At present, the head tax is $6 per passenger.
The Sagarika Cruise Terminal, situated on the Ernakulam Wharf of Cochin Port, was inaugurated in 2021 by Prime Minister Narendra Modi. Since then, the Port Authority has been managing the terminal on its own. The establishment is now looking forward to bringing private players on board for infrastructure development realising the potential of cruise tourism in the state known for its scenic beauty.
“Even though Kochi is a preferred location for cruise tourism, we have some infrastructure-related limitations. If the infrastructure is improved, then naturally more cruise ships will be directed to the port and there will be an increase in tourist footfall. We have sufficient land for development. Now there is no business happening on the Willingdon Island. It can be developed as a major tourism destination,” a Port official told Onmanorama.
He said the proposed development project is targeted at cruise tourists as well as crew members of the vessels. “If we can offer more facilities at the terminal itself, it will help us cater to the needs of the passengers who may not be interested to go out and explore the land. Also, there are 500-600 crew members on each foreign cruise ship. Many of them may not be interested to go out. If we can have the facilities for them in and around the terminal, it will have a huge potential,” the official said.
The Cochin Port handled 36,403 passengers in the 2022-23 fiscal from 31 cruise vessels. The figures showed a huge jump from the previous fiscal – 14,004 passengers from just nine ships. However, the 2022-23 figures showed a sizable dip from the pre-pandemic numbers (67,907 passengers from 44 ships in 2019-20). Asked about the dip, the official explained that the industry was only recovering from the Covid-induced uncertainties. “The dip happened because tours are planned for two to three years. The industry has been recovering from the pandemic uncertainties gradually. Next year, we hope that the numbers will be higher,” the official said.
