Staggering 265-fold hike in labour levy at ports killing coastal shipping

The notional charge is being imposed by major ports even though they are now mechanised, and don't need labour to load and unload cargo

The government's practice of continuing to charge notional labour cess on coastal cargo operations, despite the fact that most ports are now mechanised and do not require manpower for loading and unloading, is taking a toll on the country's coastal shipping operators. Many are losing business to rail and road transport, and to ports run by the private sector.
 
In some cases, the levy for a single labour job is as high as 265 times the total labour cost. Some ports have reduced it to 150 times, but others like Kolkata, Cochin and Mumbai continue to charge the cess