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CHANDRANATH DEY
1.
Kolkata has grown from a small British trading settlement to one of the largest metropolitan area across the globe. At present Kolkata Metropolitan Area (KMA) is the second largest in India. Once the capital of British India, it still retains its primacy in providing goods and services to its hinterland covering the entire eastern and northeastern India. In the last 300 years, functions of his city have experienced tremendous horizontal and vertical expansion. The CBD of Kolkata comprises mainly of commercial activities (both retail and wholesale), public and semi-public offices and institutions along with high density residential uses. Over a period of time, to reduce the concentration of urban activities and consequential congestion in the central area of Kolkata, extensive decentralization of urban functions has been carried out. New growth nodes within the city as well as outside have been identified and promoted. However, the major wholesale commercial hub catering to the entire metropolitan area is still constricted to the Barrabazar area (BB) inside the CBD. One fifth of all the goods vehicle entering and exiting the KMA are destined to BB (WB Transport Department report, 1999). The spatial growth option is limited in BB leading to
INTRODUCTION
overcrowding of wholesale commercial activities. Warehousing and cold storage facilities are also inadequate. Vehicular carriageway of busy urban arterials is used as truck parking and loading and unloading spaces are adversely affecting the Level of service on these roads. Besides this, the wholesale market operations for perishable goods make BB one of the most polluted areas due to lack of effective solid waste management system.
Proposals have been drafted since 1978 to shift the wholesale trading activity from BB to the outskirts of the city with adequate warehousing and truck terminal facilities along with other ancillary amenities. This is aimed at decongesting the central area of Kolkata to increase the operational efficiency of wholesale operations (CES Report, 1978). Lately, Kolkata Metropolitan Development Authority (KMDA) has taken some initiatives to improve the overall conditions of BB. Howrah Truck Terminal and Dhulagarh Truck Terminal were inaugurated in 2001-2003. Located in the outskirts these facilities are aimed to rid the city of heavy volume of goods vehicles. But much success could not be achieved. Recently, KMDA proposed the upgradation of the existing Howrah Truck Terminal situated along the Kona Expressway (NH-117) (see Fig.1) to Kolkata Logistic Hub (KLH). This upgraded facility will consist of a truck parking facility clubbed with wholesale and retail trading
platforms along with other ancillary activities. It has an added goal of creating an enabling atmosphere for wholesale and retail trade in the periphery of the Metro Core. This facility aims to relocate the existing wholesale markets of BB partially or entirely. Several studies were conducted to outline the overall financial feasibility of the project, but no analysis was carried out to examine the impact of the proposed transfer on BB as well as in areas Category Group A Group B Type of goods
near KLH. This paper aims to analyze the impact of the proposed transfer of wholesale functions on the existing transportation system, socioeconomic setup, local environment and local economy, both qualitatively and quantitatively. 2. BARRA BAZAR CLUSTER (BB) MARKET
It is tautological to mention that the wholesale commercial activity in BB consists of clusters, which are functionally independent and the Area in BB(Acre) Goods traded
Edible and Perishable Edible and non-perishable (having l arger shelf life compared to Group A) Non-edible and non-perishable
120.84
Group C
308.24
Grocery Textile Tea Kerosine / Petrol / LPG.etc Building Material Iron and Steel Timber / Furniture Plastic Goods Industrial Goods Miscellaneous
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rationale to relocate these clusters should be guided by the impact of the proposed transfer for each of these independent clusters. The wholesale markets in BB can be broadly categorized into three convenient groups based on commodity shelf life as shown in Table 1. Fig. 2 shows the spatial location of these wholesale market clusters in BB. Preliminary investigation of the area requirements in the existing wholesale market indicates that it might not be possible to relocate the wholesale operations to KLH in their entirety, but has to be carried out in parts. The framework of the study concentrates on comparative analysis of probable impacts due to relocation for each of the market clusters identified and selection of the most suitable one. Analysis of impacts focuses on four major aspects namely, transportation system, socioeconomic setup, local environment and local economy. The analysis of the probable impacts will be done keeping in mind a specific time frame of year 2015. 3. IMPACT ANALYSIS 3.1 Impact on Transportation System
relocation did arise from transportation point of view. Impact analysis will deliberate on four key aspects, namely: Impact on the supply network of goods movement; Impact on the distribution network of goods movement; Impact due to on-street parking of goods vehicles; and Impact of goods traffic on existing road network (in BB and KLH).
Goods from various parts of the state as well as the country enter BB, where wholesale trading of these goods takes place. Relocation of wholesale trading from BB to KLH will result in change in supply network leading to higher and lower vehicle-kilometer of the goods vehicles. This opportunity cost is nothing but the impact of relocation on the supply network. Goods vehicles destined to BB are found to enter through five major entry points (EP) as identified in Fig. 3. These entry points have been chosen in
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Impact on transportation system is the most important among all aspects as the whole idea of
Table 2. Major Entry Points (EP) of goods vehicles to BB Name of the link
Budge-Budge Rd. & Diamond Harbour Rd. B.T. Road & Kalyani Expressway Total no. of good vehicles/day entering BB
178
302
217
1384
such a way that they continue to serve as entry points even after the relocation (WB Transport Department report, 1999; also refer to Table 2). Goods from Mumbai, Delhi and central India enter mostly through EP1, whereas southbound vehicles enter through EP2. Vehicles from northeastern parts of the country enter through EP3, EP4 or the Kalyani Expressway node, connects BB with the northern part of West Bengal, whereas EP5 connects to Northern India via NH-2. Commodity wise classification of goods vehicles entering BB is shown in Fig. 4. The distance Fig. 3. Entry Points (EP) to Barrabazar(BB)
detour that has to be incurred if the wholesale operations are being shifted to KLH from BB is represented in Fig.5. The detour is derived by observing the revealed preference for routing of goods vehicles. The detour is maximum for the vehicles entering through EP-3, whereas for EP1, the distance is reduced by 8.5 km. Extra vehicle kilometer per day incurred due to relocation of each of the market clusters is shown in Fig .6. Extra cost to be borne for transfer of market clusters from BB to KLH is computed by multiplying the extra vehicle kilometer with the aggregated Vehicle Operating Cost (VOC/km). Aggregated VOC / km is obtained by considering the modal split of the goods vehicles in supply network and the vehicle operating cost for different modes (IRC Fig. 5. Distance detour for supply vehicles
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Zone Location 1 2 3 4 5 6 7 8 9 10 11 12 13 14 16 18
Shova Bazar - Jorosanko Zone Burra Bazar Zone Taltala-Beniapukur Zone Sealdah - Gobra Zone Belgachia Zone
Table 3. Social Cost (SC) of relocation on Supply Network. Veh/ day 582 373 1384 429 Veh-Km day 1857 1181 2573 5611 SC/year (Cr.) 0.759 0.483 1.051 2.293
175 59
79
166 44 43
40
Report, 1993). The aggregated VOC / km for the goods vehicles in the supply network is found to be Rs. 11.35 / km (Roughness co-efficient = 5000). Bituminous road Rise and Fall = 0 (Plain land)]. The total cost incurred, can be suitably termed as opportunity cost or Social Cost (SC) of the proposed transfer on supply network (see Table 3). 3.1.2 Impact on Distribution Network Movement of goods to the retailers and smaller distributors from BB constitutes its distribution network. Relocation of wholesale trading from BB to KLH will result in change in distribution network leading to higher and lower vehicle-kilometer of the goods vehicles. This opportunity cost is the impact of relocation on the distribution network. The distribution catchment of BB is primarily confined to Kolkata and Howrah Municipal Corporation. For the convenience of the study, this distribution catchment is further divided into eighteen zones mostly based on administrative divisions. Table 4 represents the volume of goods vehicles from BB / day to all these eighteen zones within the distribution catchment (WB Transport Department report, 1999). Commodity wise
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15 17
77 35
1287
87
54
90
distribution of goods vehicles from BB to its distribution catchment is represented in Fig. 7. Impact on the distribution network can be illustrated by the desire line diagram before and after the relocation (see Fig. 8). The distance detour that has to be incurred by each of the zones in the distribution catchment due to the proposed transfer is shown in Fig. 9. Extra vehicle
kilometer / day for market clusters is represented in Fig. 10. The opportunity cost or the Social Cost Fig. 10. Extra vehicle kilometer for distribution network/day
(SC) of relocation on the distribution network is computed by multiplying the extra vehicle kilometer with the aggregated vehicle operating Table 5. Social Cost (SC) of relocation on Distribution Network Veh/ day 459 374 454 Veh-Km day 3374 3014 3550 9938 SC/year (Cr.) 1.251 1.473 4.124 1.4
Group B
Group C
1287
costs. Considering the modal split of the goods vehicles in the distribution network, the aggregated VOC is found to be Rs. 11.53 / km (see Table 5). 3.1.3 Impact on On-street Parking Lack of parking facilities as well as loading and unloading spaces have led to extensive on-street parking of goods vehicles in BB. Truck parking along single or both sides of the carriageway reduces the capacity of these roads. Roads passing through the BB are vital to traffic circulation in the central area of Kolkata (Parking Survey Report of KMDA, 1995). In Fig. 11 the roads abutting the three market clusters are identified. With the transfer of the wholesale market to KLH, these roads can be freed from on-street parking. Elimination of on-street parking will free the carriageway occupied and augment the capacity of these roads leading to
increased travel speed and volume. The computation of the opportunity cost or the Social Benefit (SB) can be estimated from aggregated commuter travel time savings (see Table 6). The social benefit is calculated with the help of the Speed-Flow equations prescribed by IRC manual (SP 30) of 1993, Capacity Restraint Equation adopted by Bureau of Public Roads, Traffic assignment manual (1964), and Social CostBenefit functions derived by Mazumder et al (2004). 3.1.4 Impact of goods traffic on existing road network
elocation of wholesale operations from BB will reduce the volume of goods vehicles in the CBD area. Currently temporal restriction is imposed on goods vehicles from entering the city core from morning to evening hours during peak city traffic operations. As a result, the proposed transfer will
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Market Cluster
Name of the Road Strand Bank Rd. Strand Rd.(N) Strand Rd. (S)
A A A A A A B B B B B B C C C C C C C C C
7.0
7.4
42
6.7
52
1.61 1068
11.4
56 80
41
1.62 1092
50 53
6.1
5.9
46
1.15 1080 1
59 56
76
9.9
67
0.3 0.4
1050
5.5
3491
7.2
1589
49.2
30.7 33.1
9311.8
Vivekananda Road
4.3
8.5
88
3.9 7.8
5.1
53
0.27 1194
91
63 47
1.15 1080
6.2
1.02 1092
9.9
1554
9.5
3491 496
31.2
Amratola St - Mallick St
Total Social Benefit / hour = Rs. 138,644.00 = Rs. 19.96 Cr / year wholesale market area in BB comprising of 15 wards is only 2 percent KMC area but it accommodates almost 9 percent population (see Table 7). A comparative analysis of the household Table 7. Comparative Socio-economic Profile
Area BB(15 wards) Population HH size Sex Total ratio worker
5.2
69
10.1 1436
12.0 3454
8.7
1448
49.2
2090.0 4243.4
28.6 32.9
32.7
9311.8
49.4
not significantly enhance the level of service in the existing roads in the CBD. On the contrary, the relocation will increase the goods traffic volume in the approach roads to KLH. Kona Expressway (NH-117) being a major access artery to KLH, its existing traffic volume is expected to experience a growth of around 25 percent after the proposed transfer. 3.2 Appraising the existing socio-economic profile in BB will help analyze the impact of relocation. The
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3,94,654
59
75
0.44 1074
0.54 1074
10.1 3487
8.7
9.1
48.7 49.0
3359.1
10934.5
3521
49.1
3695.1
10.1 1436
49.2
3827.5
11473.6
32.9
3470.3
2045.4
0.58 1002
0.54 1164
7.8
3500
49.2 49.3
49.1
12372.6 13844.0
3553
12.4 1401
3576
48.7
48.8
3577.0
33.4
6651.1
6021.9
1552.4
7.0
7.7
42
51
1.61 1068
1.02 1050
10.3 3483
10.8 3472
49.2
49.3
7167.4
12203.1
KMC
Cumulative % of monthly Income
Barra Bazar
Cumulative % of monthly Income
Cumulative % of households
Cumulative % of households
size, sex-ratio and percentage of total workers in the BB and KMC provides important insights into the prevailing socio-economic conditions (Census of India, 2001). The household size in BB is significantly higher with lesser number of females and low dependency ratio. Demographic profile indicates that huge migration of low waged male labor force from the neighboring states, especially Bihar has taken place in BB. These people have mostly engaged in wholesale trading activity. Predominance of households, formed with working men sharing a kitchen can be attributed to the above facts. Distribution of monthly household income in BB reveals greater degree of skewness compared to KMC (Socio-economic Profile, 1996-97; Chesterton Meghraj, 2004). Excessive skewness in income distribution indicates the existence of schism in the social structure that is low waged migratory labor population vis--vis the highincome business/salaried group (see Fig. 12). Relocation of wholesale trading operations from BB area will invariably lead to shift of this migrant labor population due to transfer of employment base. 3.3 In the Perspective Plan of KMA Vision 2025, BB has been categorized as highly sensitive zone from the environmental point of view (Fig. 13).
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Ineffective management of solid waste generated in BB is one of the prime factors responsible for deterioration of the local environment. Almost one fourth of the total solid waste in KMC is generated from this area (ADB Report, 2000). Composition of the solid waste generated indicates presence of high organic content mostly from Cluster A markets (fruits, vegetables and other perishable commodities). Foul smell due to rapid decomposition of organic content, littering of waste by scavenging birds and animals along with improper collection, storage, transfer mechanism creates unhygienic and polluted environment. Transportation of the solid waste generated also pose severe environmental threat as it has to pass through high density residential areas. Vision 2025 for KMA has identified few potential solid waste disposal sites in KMA for the coming years. Ababa appears to be closest disposal site for KLH. Relocation of the wholesale operations to KLH from BB will lead to reduction of hauling costs along with the diminished threat on pass through areas, mostly non-residential areas (Fig. 14) The Air Pollution Index (API) of BB is in the range of 130 140 compared to the National API standard of 50 70 (Vision 2025, 2005) vehicular emissions being identified as the prime source. Interference to vehicular traffic is very high in BB, mostly due to on-street parking as well as loading and unloading operations. Frequent acceleration and deceleration as well as stoppage of vehicles has led to higher vehicular emissions. 3.4 Analysis of rental value and gross income of the existing land uses in BB area indicate presence of gross discrepancy between them. The ratio of income generation and the rental value per unit area is observed to be much higher than that compared to other developed areas of the city, Residential Impact on Local Economy
especially the newer parts of the CBD. Rental value in some premises in BB can be as low as Rs. 2-4/ sft/month. Low rental value is one of the major motivations of the wholesale traders for not willing to shift from these areas. Perhaps, for this reason the existing land uses in the BB area is not commensurate to its economic potential. Moreover, the presence of slums and squatters accommodating the labor force involved in wholesale activities further reduce the real estate market value. Rental and capital value of property Office Retail / Wholesale
Table 8. Capital and Rental Value of Property in Old and New parts of CBD
BB Area
Capital value Rental value Capital value Rental value Capital value Rental value [Rs / sft] [Rs / sft / mon] [Rs / sft] [Rs / sft / mon] [Rs / sft] [Rs / sft / mon] 2500-3000 N.A. 10-15 N.A. 3500-4000
45
New CBD
N.A.
35 40
N.A.
4500-5500
7000-8000
40 60
80 90
Supply Social Cost / year [Rs. in Cr.] IMPACT on Distribution Network Distribution Social Cost / year [Rs. in Cr.] IMPACT due to on-street parking Social Benefit / year [Rs. in Cr] IMPACT on existing roads Solid Waste(SW)
Organic Content of SW
Reduction in Collection and Hauling Cost of SW Reduction in Vehicular emission Shift of Labour force Percentage involved in Whole Sale trade in BB Real estate value addition in BB area Economic opportunity creation in KLH Area available in KLH (Acres)
High
High
Moderate
LE
Moderate
21.02 High
SE
102.89
108
79.37
: SE = Socio-economic Setup, LE = Local Economy, WS = Wholesale, SW = Solid waste, BB = Barra Bazar, KLH = Kolkata Logistic Hub Source : As per standards adopted in Delhi Master plan.
in the BB and newer areas of CBD is shown in Table 8 to illustrate the fact discussed above (Chesterton Meghraj, 2004). Relocation of the whole sale trading operations will open up possibilities of land use conversions in BB. Real estate market forces can play freely towards optimum allocation of activities thereby, enhancing the chances of revitalization in this part of CBD. On the other hand, proposed transshipment operation in KLH and development of surrogate industries around, which will create employment opportunities and boost the local economy.
A summary of the impacts because of the proposed relocation of wholesale trading operations for each market type is presented in the Table 9. Comparative study of the impacts for each of the market clusters indicate that relocation of Group A market cluster is socially most beneficial. On the other hand, the area allocated for the KLH indicates the possibility of relocation for any one of the market cluster.
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A brief look at the willingness to shift (see Fig. 15) study conducted in BB reflects that wholesale trading operators related to perishable commodities i.e. Group A market are more willing to shift compared to others. The prime reason for the keenness is unavailability of cold storage facilities in BB, due to which almost 20 percent of perishable goods degrade. Appropriate infrastructure with all the ancillary facilities in KLH will address this problem. Hence, relocation of Group A market cluster seems to the socially most beneficial, technically feasible and politically plausible option. 4. To reap the benefits of relocation in entirety, there is a need to adopt certain policy recommendations aimed at BB as well as KLH. 4.1 Complete restriction on on-street parking as well as on-street loading and unloading on the Recommendations for BB RECOMMENDATIONS
roads abutting Group A market cluster is necessary to eliminate the spill-over parking demand from Group B and C market clusters.
4.2
Conversion of land uses from wholesale to retail commercial, office functions as well as high value residential activities is anticipated after relocation. Wholesale trading activities in future need to be curbed through statutory means for limiting the spread of Group B and C markets after relocation. The civic authorities concerned should take this aspect in consideration while pursuing future development initiatives in this area. Table 10. Traffic projections for Kona Expressway (NH-117) near KLH:
Kona Expressway (NH-117) being the main access artery to the KLH, needs capacity augmentation to accommodate the future growth of traffic. Traffic volume in this link is expected to experience high growth due to rise in regional traffic as well as local traffic (Proposed Kolkata West International City in vicinity). The proposed capacity augmentation along with a tentative phasing schedule is indicated in Table 10.
Proposed Capacity
Ingress / egress of goods traffic volume (mostly multi-axle trucks and trailers) to / from KLH to NH-117 warrants geometrical solution (preferably Trumpet Intersection) to reduce the vehicular interference on the link traffic flow.
164553
14810
In future, there is a need to upgrade KLH into a multi-modal transshipment hub (both rail and road). Proximity to Santragachi Rail Yard facilities provides KLH a comparative advantage towards meeting this end. Logistic hub operations in KLH will create opportunities for development of surrogate
Year
Table 11: Area requirements in Kolkata Logistic Hub Projection of goods vehicles (Gr-A) (8% pa) 1041 1416 2081 Area requirement (Acres) 102.89 139.96 205.69
11). It is preferable to acquire the land in advance to obviate the speculative rise in land price.
industries in vicinity. Adequate land around KLH needs to be earmarked immediately for this purpose to thwart the speculative rises in land prices. KLH will lead to shift of huge labor force mostly belonging to low wage class. Experience in BB shows that this type of workforce prefers residential accommodation in proximity to work place (within walking distance) leading to development of slums and squatters. Interventions, if not adopted timely, will lead to similar situations in KLH. Adequate amount of area with provision of basic services should be developed for housing this workforce. Based on the accepted norms of EWS housing, 60 acres of land needs to be reserved for this purpose near KLH.
There is also a need to upgrade the truck terminal facilities in Dhulagarh into a logistic hub to facilitate the future relocation of Group B and Group C markets. Due to the location proximity Dhulagarh truck terminal facilities and KLH can mutually benefit through adopting co-operative competition strategies. CONCLUSIONS
5.
To reap the benefints of re-location in entirety, the policy recommendations given in Section 4 above for Barra Bazar and Kolkata Logistic Hub would go a long way and if not adopted would lead to slums and squatters.
REFERENCES Asian Development Bank (2000) Calcutta Environmental Improvement Program, Final Report, KMC, Kolkata.
Bureau of Public Roads (1964) Traffic Assignment Manual, U.S. Department of Commerce. CES Private Limited India (1978) Truck Terminal cum Wholesale Trading Centre at Kona, Draft Report, KMDA, Kolkata.
As Group A markets consists of perishable commodities, adoption of effective Solid Waste Management System will be a prerequisite to maintain a clean and hygienic working condition in KLH. Abada seems to the obvious choice as solid waste disposal site due to its proximity. Suitable collection, storage, transfers and hauling mechanism appropriate to the waste composition, needs to be adopted. Vermi-composting for the organic waste and Sanitary land filling for the residual waste seems to be the most desirable mechanism for treatment and disposal.
Chatterjee, N., Bhattacharya, N. and Halder. A. (1999) Socioeconomic Profile of Households in Kolkata Metropolitan Area 1996-1997, Study Report, KMDA, Kolkata.
Chesterton Meghraj Property Consultants Private Limited (2003) Truck Terminal Centre at Kona, Howrah on PPP Basis A Report, KMDA, Kolkata. Indian Road Congress (1993) Manual on Economic Evaluation of Highway Projects in India, Special publication 30.
Kolkata Metropolitan Development Authority (2003) Perspective Plan of Kolkata Metropolitan Area Vision 2025, KMDA, Kolkata.
To meet the future growth requirements for the Group A market to be relocated in KLH, additional land needs to be annexed (Standard referred: Delhi Master Plan, 2001) (Refer Table
Transportation and Traffic Engineering Directorate (1999) Origin and Destination of Goods vehicles entering and leaving Kolkata Metropolitan Area, Government of West Bengal, Kolkata. WBTIDC (2001) Dhulagarh Truck Terminal, Draft Report, KMDA, Kolkata.
Traffic and Transportation Circle (1995) Truck Parking Survey on selected roads in Wholesale Trading area in CBD Kolkata, KMDA, Kolkata.
Mazumder, T.N. (2004) Methodology for Assessing the Social Cost of On-street Parking and its Implications A case study of Kolkata, Unpublished Doctoral Thesis, Indian Institute of Technology, Kharagpur.
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