Kerala Govt is the biggest hindrance. Vizhinjam needs the competitive thrust that Colachel will provide. It helps that both share an excellent deepwater location, logistics infra, coastal security and skilled manpower.

Commentary
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Transhipment port sector which Vizhinjam hopes to join has strong, established players. The infusion of strategic Chinese capital, in Sri Lanka (Colombo & Hambantota) and Pakistan (Gwadar) makes it even harder for a new port. Colachel, backed as it is by Centre's finances and TN's ambitions, has a chance to gain a major chunk of India bound container transhipment business. Whereas Vizhinjam on its own, has a lesser chance, despite having shrewd management expertise.

Kerala Govt and the culture of industrial strife are the biggest hindrances to Vizhinjam. Competition from a close rival Colachel will be welcomed if it nudges Kerala Govt to negate the bad influence of unions, politics and policies.

It helps that both Colachel and Vizhinjam share deep waters and strategic shipping location, logistics & support infra, coastal security and skilled manpower. Each port must develop portside industries. Colachel will do this at planning, while Vizhinjam will depend on compulsions of politics rather than economics. Even then, the distance between the two ports makes any industrialization in one port beneficial to the other.

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