Enayam Port

Tamil Research Institute
RAPID TECHNO-ECONOMIC FEASIBILITY REPORT FOR
DEVELOPMENT OF COLACHEL PORT AT TAMILNADU
FINAL REPORT
acquire new skills, and increase commercial activity during the construction and operation of the Port In the way
that a higher technical complexity will demand a higher proportion of skilled labor, this factor plays a negative
role for local employment.
Project construction will create employment opportunity and leads to increases in income of the surrounding
community. Workers in these camps create demand and therefore market for food and other services. These
camps also require sanitation, which in most cases involve pit latrines. If care is not taken, there is danger of
seepage and contamination of ground water resources and water courses, where the latrines are sited near
these. The roof catchment of the camp buildings can also cause further soil erosion.
The construction activity – during the construction phase, will ensure that the many local people employed, are
paid wages – this greatly enhancing direct income earning capacities for the communities, who would have
otherwise relied only on low income-earning fishing and agriculture. Wages earned by the local people working
in the construction activities will circulate in the local economy – this resulting in greater investments in productive
endeavours and hence, contributing significantly to the growth of the local economy.
Indirectly therefore, the Project will contribute greatly to the rise in the income levels of the local communities –
and hence to poverty reduction. During the operational stage, the envisaged development of the port itself and
other business enterprises that will be established as direct linkages to the new Port projects, will be a sustained
source of income to the local communities. In a more longer term, this will result in the improved living conditions
and prosperity of the local people, the reduction of the current high levels of poverty and in general, to the
significant development of the region.
5.4.1.2. Influx of Immigrants
During the construction phase of the Project: it is expected that there will be a large influx of immigrants into the
area, e.g. Project staff; those seeking skilled and unskilled jobs; itinerant traders; and a motley of those providing
various kinds of services..This will of course at once swell the population of the Project activity sites – probably
making the immigrants temporarily to outnumber the local inhabitants.
However Workers camps might also have adverse impacts in terms of labour influx in the area, which might
further increase the pressure on the existing resources/infrastructure. At the same time, the positive impacts of the
Project are expected to create more employment opportunities where fishermen might have a chance to acquire
new skills, and increase commercial activity during the construction and operation of the Port.
Despite once in the operation phase, most of the immigrants will leave and the population will stabilize. a
sizeable number is expected to remain – to be engaged in the vibrant economic activities created by the Project
linkages. And this is likely to alter the demographic patterns of the local communities in the long run. In the long
term, i.e. during the operation phase of the project, this may create a sense of resentment by the locals against
the immigrants, thus jeopardizing the social cohesion among the area communities.
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