The Indian government has approved the development of two deep-water marine terminal projects at the major west coast harbor Kandla Port (Deendayal Port). The plan consists of a container terminal and a multipurpose cargo facility, estimated to cost US$550 million and US$272 million, respectively. Of the projected investments, the port authority will spend US$36 million and US$64 million, respectively, towards dredging of the common user access channel and construction of common road infrastructure.
The projects will be developed on a build-operate-transfer (BOT) model at a new site known as Tuna Tekra, about 15 miles from Kandla.
The Ministry noted: “From 2025, a net gap of 1.88 million TEUs shall be available which can be catered by the development of a state-of-the-art container terminal at Tuna-Tekra and will give it a strategic advantage as it will be the closed container terminal serving the vast hinterland of northern part of India (Jammu and Kashmir, Uttar Pradesh, Madhya Pradesh and Rajasthan). In addition to increasing the business potential of Kandla, the project will boost the economy and generate employment.”
The ministry also sees significant growth potential for the proposed multipurpose terminal.
