Respected Thiru. Karunanidhi, Respected Soniaji, My Colleagues, Ladies & Gentlemen.

It gives me immense pleasure to be here to launch the commencement of work on the Sethusamudram Ship Channel Project. This is the fullfillment of a sacred assurance we gave the people of our country, especially the people of Tamil Nadu, through the National Common Minimum Programme.

The last time I visited Tamil Nadu it was to offer my sympathy and help in your hour of need when the Tsunami struck the coast. At that time I joined you in mourning the destruction that the sea and wrought upon us. Today I come to celebrate the bounty that the sea has brought to the people of this region for centuries. A Tsunami may occur once in a thousand years, but the waves from the seas reach us every minute of the day and night bringing trade, commence, wealth, opportunity, visitors and the livelihood of the coastal communities.

The Sethusamudram Project will increase the prospect for generating income and employment from the economy of the sea. It is a historic day for the country. An idea first conveived in 1860, almost one and half centuries ago, is now being implemented. I congratulate our respected leaders Thiru. Karunanidhi and Thirumathi Sonia Gandhi, the Shipping Minister, Thiru. T.R. Baalu, the engineers and the officials associated with this project for their role in realizing this dream. I greet the people of Tamil Nadu on this momentous occasion. The Sethusamudram Project is one of the most ambitious dredging projects to be ever conceived in the Indian Port Sector. However, given the environmentally sensitive nature of the marine biosphere reserve in this region. I urge the project authorities to be mindful and respectful of nature and the maritime environment of the channel. Man has no right to destroy our natural heritage. Nor can we be unmindful of posterity. Posterity is, after all our own children and grand children.

I am sure that the completion of this project would lead to all round development of the coastal areas of Tamil Nadu and the Coromandel Coast. It will rejuvenate the ports and harbours, reduce the cost of maritime transportation, promote the movement of cargo along the coast. The coastal communities of peninsular India - from Gujarat to Konkan to Malabar to the Coromandel and Bengal coasts - have sailed forth for centuries as traders and workers.

India, with its long coastline and the central location in the Indian Ocean has had its place amongs the most formidable maritime nations in the past. Indian Merchants from the ancient port towns all along the peninsula have sailed to distant lands. Indian boats and ships have sailed to Java, Samatra and Viet Nam; to Persia and Africa ; and to the many islands of the Indian Ocean. They have traded in spices, silk and other exotic commodities. The Indian Port cities were known to be bustling centers of maritime trade and commerce in the ancient and medieval period. A domestic shipping industry thrived under this stimulus.

All great nations and economics of the world have had a vibrant and prosperous maritime economy. Ship building, ports, global trade, Each of these elements generates incomes, employment, new opportunities and new challenges. Maritime trade is a complex matrix of various players - shipping lines, port authorities, terminal operators, freight forwarders, inland transporters, all catering to transportation of goods through sea-transport. In this matrix, Ports are the pivot as central node for modal exchange of cargo as well as hub of the port community. In more recent decades our maritime economy has not developed as much as it should have. Our Government is paying special attention to the development of our ports and to maritime trade. I am happy to say that the introduction of tonnage tax by our Government has helped to provide a level playing field to Indian shipping companies visa-vis foreign flagged vessels. This has resulted in about 15% increase in the gross tonnage of our shipping.

Indian ports should assume a more proactive role as facilitator of trade along with a range of value added services. In the 10th Five Year Plan we have set new and higher targets for enhancement of port capacity. We want to encourage new investment in port development through a partnership between the public and private sectors. I am delighted to learn that Indian Ports have been able to attract the world's leading Port and Terminal operators as private sector partners. We welcome both public and private investment, both domestic and foreign investment, in this sector. Through the Public-Private Partnership route we would also like to encourage Indian Entrepreneurs' participation in the terminal operations through suitable policy support.

Today India once again reconnects with the world around us. We are again reviving our economic and cultural links with our wider Asian neighbours - from the Far East to Central Asia. In this new adventure of enterprise and creativity, the Sethusamudram Project is an important link. I hope it will encourage a revival of this great and glorious maritime tradition.

Tamilnadu and the people of this region have been an integral part of this great maritime history of our country. Tamil literature abounds with references to trade with Rome and Greece among other countries. The great Tamil Kings Cheras, Cholas and Pandayas carefully nurtured the port cities of Korkai, Musiri, Thondi, Poompuhar, Vanchi etc. The great expeditions taken from these port cities have spread Indian culture far and wide. They have taken the Tamil language, an ancient and classical language along with Sanskrit, to distant lands. Our Government is proud of the fact that we have restored to Tamil its ancient glory by recognizing it as a Classical Language of great antiquity on par with Sanskrit. We are committed to the full development of this great language of a great people. I salute my brothers and sisters of Tamil Nadu.

I have repeatedly said that our country needs world class infrastructure. We need the best, and cannot be satisfied with the second best. Our roads, our telecom and power supply systems, our railways and ports, our schools and hospitals. The people of India deserve the best. They have waited far too long for this. We have set for ourselves a growth target of 7% to 8% over the next decade, compared to about 6$ we have achieved over the past decade. The key to this growth acceleration is greater investment. Infrastructure development not only provides enabling environment fro growth of trade and industry but by itself fuels the growth. The march to such an economic strength would definitely require a state of the art maritime infrastructure, which is efficient, professionally managed to sub-serve the economic interests of the nation. I see Seethusamudram Project as a step forward in strengthening the maritime infrastructure.

Friends, Tamil Nadu has been at the forefront of our National Development. Your state is one of the most industrially developed states. To give further boost to the industrialization of Tamil Nadu our Government has taken several steps to boost the textiles, leather, sugar and automobiles industries. I am happy to announce that we have decided to help in creating a world class automobile testing facility in Chennai. This will be a major project that will attract huge investment both directly and indirectly. It will give a boost to Tamil Nadu's already developed automotive sector. Your name in the world auto industry is being written in gold not just by companies like TVS and Hyundai, but also by drivers like Narain Karthikeyan!.

Friends, the sea provides livelihood to multitude of fishermen and their families. I urge the project authorities to be sensitive towards their needs and concerns while implementing the project. The community development work should be undertaken along with the development of fishing harbours for the benefit of the local community.

I hope this project will also benefit our neighbours in the Indian Ocean region. Their prosperity is our prosperity. Their welfare is our welfare. This has been the way we in India have lived with our neighbours, since the beginning of our civilization. This channel must be a bridge not a divide. I have great pleasure in inaugurating the project works of the Sethusamudram Navigation Channel. I greet the people of Tamil Nadu, Kerala, Andhra Pradesh and this entire region. May the sea bring prosperity to all.

Jai Hind.