AIADMK calls for renegotiation of Karaikal Port terms

The AIADMK party is calling on the government to change the agreement with the new owner of Karaikal Port. Secretary A. Anbalagan says that under the current terms, the government is losing significant revenue. He explained that the previous operator had a lease on 598 acres of government land. However, the terms are now outdated and result in a loss of about ₹50 crore each month, leading to an annual loss of ₹600 crore. Karaikal Port was previously managed by the Marg Group but was taken over by Adani Ports and SEZ Limited in 2023 after the developer went bankrupt. Anbalagan pointed out that the deal made in 2009 was already too favorable to the private operator. At present, the government receives only ₹9,000 per acre each year and 2.6% of the port's gross income as concession fees. This totals just ₹52 lakh in lease payments yearly, in addition to ₹11 crore from revenue sharing. Anbalagan criticized the government for not updating the agreement after the ownership change. He emphasized that the outdated lease and revenue terms are causing heavy financial losses for the state. He also highlighted that Puducherry does not benefit from central taxes related to the port, which could be worth about ₹500 crore annually. Anbalagan urged the Lieutenant Governor and Chief Minister to quickly revise the agreement to reflect current market conditions, suggesting that better terms could yield ₹600 crore or more each year.