Tuesday 23 Apr 2024

I need to save myself

Q&A with William D’Costa, Secretary, Barge Owners Association

Team Goan | JANUARY 26, 2013, 10:50 AM IST

The Goan: The barge building industry was geared towards themining industry, now with the ban how is it coping?

William D’Costa:  Theban on mining has brought the building of barges to a halt in the state. Theseworkshops gave direct employment to 8000 people and approximately another10,000 people indirectly in the ancillary industry. We are now looking out ofthe state for business. There is some work with Jindal and Co for the transportof coal for NTPC  in Farraka . Inaddition some barge owners from the state have started plying in Gujarat thoughit should be said the rates are not very good. However a barge that moves isbetter than a barge that is stationary and eating money. With orders havingdried up, large scale retrenchment has become the order of the day.

TG:  What are theoutstandings in the market? 

WDC:  What is alsoworrying for the industry is the outstandings. Out of the 72 facilities in thestate that manufacture barges, 16 of the major ones have not received paymentto the tune of Rs. 3 to 5 crore. For the organisations, it is estimated thatpayments anywhere between Rs.50 lacs to 70 lacs have not been received. I havework at my ship building facility for another 15 days which means that I willhave to retrench even more people. I had to remove six hundred people from myfacility. This is the norm in the industry.

TG:  Is the industrylooking at building other kinds of vessels?

WDC: Well a start has already been made. Chowgule and Co Ltdconstruct coastal vessels for Europe. VS Dempo construct supply vessels as wellas barges. The Mandovi dry docks construct supply vessels, tugs and barges. GoaOre carriers focus on repairs, coastal ships and barges. The Timblo dry docksbuilds coastal vessels, pontoons and barges. Vijai Marine Services focus ondredgers, hopper bays and barges. So people have made the move.

TG:  What is yourcourse of action for the next ten years?

WDC: We have no vision for the next five or ten years. I amabsolutely pessimistic about the future. I have now come down to staff astrength of 250 people. If the situation does not improve or we don’t receiveany clarity, I will have to shut down my business. The government has to stepin and help us with sops. Understand this, we use electricity which is a vitalpart of our business. Despite no work we are still paying high electricitybills which adds to our outstandings. Goa has 80% of the inland transportbusiness in the country which gives you an idea of the problems we are facing.Distress sales are frequent now. My immediate concern is to save myself.

Share this