This paper analyzes the impact of globalization on the performance and efficiency of the major ports in India on various parameters, such as capacity utilization, time and financial efficiency, containerization, transshipment, logistics costs, and managing human resources. The paper infers that there is improvization in capacity utilization, reduction in handling costs, and improvements in operational and financial managements despite constraints on adequate capacity expansion and broad structural reforms, especially in the issues of governance. However, much needs to be done to enhance the crucial performance parameters, such as containerization, transshipment and labor efficiency (which are possibly constrained by outdated equipments), training, equipment handling levels, and labor efficiency.

The economic liberalization initiated in the mid-1990s had chosen the export-led growth model to integrate the Indian economy with the global economy. This required policy initiatives to bring about the structural changes in the various sectors of the economy with special attention to infrastructure to enhance the efficiency and productivity. One of the stumbling blocks on the path of the export-led growth is the performance of ports. On India's 6,000 km long coastline, there are 12 major ports and 181 minor/intermediate ports, and they account for 75% of the total seaborne cargo movement in the country. Through an amendment to the Indian Ports Act, 1908, it was proposed that all assets and liabilities of the board of trustees, except land and waterfront, would be transferred to the successor company.

The land and waterfront would be vested with the central government and given on lease to the successor companies. The government would not go for privatization of major ports, but instead would suggest corporatization. This indicates that the existing institutional arrangements and the methods of conducting business are going to be restructured. Hence, the policy would impact the entire dynamics of the business that includes the business interest ranging from shipping lines to port authorities, individual terminal operators to freight forwarders, and inland logistic agencies to exporters and importers. This paper studies the performance and competitiveness of the major ports that would reflect the impact of external and internal changes in the economic environment.

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