?If Indian ports creates history, then we create ports?, is the tag line for the Dredging Corporation of India (DCI). True to its rhetoric, the Vizag-headquartered DCI has virtually become the lifeline of India?s ports, fishing harbours and naval bases. The premier dredging company caters to the capital and maintenance dredging needs of the country?s major ports. Incorporated in March 1976, DCI has become a mini-ratna category-I in 1999. When Captain DK Mohanty took over as chairman-cum-managing director in November 2011, DCI?s financial health was pretty precarious. Under him DCI recovered, and the company has started paying dividends again after a two-year gap. In an interview with FE?s Dilip Bisoi, Captain Mohanty talks about the company?s performance and future plans. Excerpts:

You have nursed DCI back to health. What is your vision for the company?

Our aim is to make DCI a global player. We are now exploring the possibility of entering into joint ventures and special purpose

vehicles with suitable partners both in India and abroad, to gain access to foreign markets and enhance the technical skills of our personnel.

What are the projects in your hands?

We are executing dredging contracts at Kolkata/Haldia, Ennore, Cochin and Kandla ports, besides an overseas assignment. We have taken up two jobs from the Kolkata Port Trust. The maintenance dredging in the approach channels of Haldia and Kolkata is done for R358 crore per year. The project would be completed in 2015. The other one is for a five-year contract for maintenance dredging in the vicinity of Haldia Oil Jetties and adjoining waterways of HDC at the rate of R17 crore per annum. We are going to complete the Cochin Port Trust?s three-year contract for maintenance of channels and basins at the Cochin Port this fiscal. The total cost of the job is R319.50 crore. The Kandla Port Trust has awarded us a R295-crore job for dredging in its navigational channel. The project, awarded in January 2013, would be completed in two years.

DCI has bagged a R11.32-crore foreign contract in the current fiscal. It has taken up dredging work at Kankesanthuria (KKS) Harbour in Sri Lanka. During 2012-13, DCI has completed capital dredging works of Pradip Port for handling 1,25,000 dwt vessels. DCI has also completed the dredging works of the container terminal of Cochin Port to make the International Container Transhipment Terminal(ICTT), Vallarpadam, fully operational.

How is the financial performance of the company?

The company?s financial performance has shown a marked improvement, with the turnover reaching R638 crore in 2012-13 from R498 crore in the previous year. The profit after tax for 2012-13 was R21 crore as against R13 crore in the previous year. In the first quarter of 2013-14, DCI posted a net profit of R10.06 crore from a turnover of R176.47 crore as compared to R6.68-crore and R129.27 crore, respectively, in the same period of the previous year. After a gap of two years, the DCI has paid a dividend at the rate of 20% for the year 2012-13. The DCI share is being traded at around R175 and is listed on the BSE,NSE, CSE and DSE. DCI has a total equity share capital of R28 crore. Following the offloading of government stakes of 1.44% in 1992 and 20% in 2004, the government holding has reduced to 78.56% and the total number of shareholders has become 50,000.

How well-equipped are you to face the emerging challenges?

DCI has at present 11 Trailer Suction Hopper Dredgers, three Cutter Suction Dredgers, one Back Hoe Dredger apart from three Survey Lunces and other ancillary equipment. We are now going in a big way for capacity expansion programmes. On the shipping ministry?s direction, DCI has been expanding its capacity to meet the emerging needs of the Indian ports. DCI is in the process of procuring three new Trailer Suction Hopper Dredger of 5500 cu.m capacity each at a total indicative price of 250 million euros. The contract for the first two dredgers has been signed. During the 12th Plan period, the company is planning to go for further capacity expansion with a capital outlay of R1,972 crore. The capex plans included placing order for two more 9,000 cu.m capacity dredgers. With the capacity additions and augmentation, DCI will be able to take up 80% of the annual maintenance dredging works of Indian ports.