Sarbananda Sonowal Announces ₹57,000 Crore Capacity Expansion at Kandla Port

The new terminal’s proximity to the navigation channel will reduce dredging requirements, making it more feasible to dock larger vessels.

The Union Minister of Ports, Shipping & Waterways, Shri Sarbananda Sonowal, today unveiled major initiatives to enhance the capacity of Kandla Port with investments exceeding ₹57,000 crores. The announcements include the establishment of a state-of-the-art Mega Shipbuilding Project worth ₹30,000 crores and the development of a new cargo terminal outside Kandla Creek, valued at ₹27,000 crores. These initiatives align with the vision of Prime Minister Narendra Modi’s "Make in India, Make for the World," aimed at bolstering India’s manufacturing and trade capabilities.

Mega Shipbuilding Project at Kandla Port

The proposed Mega Shipbuilding Facility at Kandla Port will develop technical capabilities in India to manufacture large Very Large Crude Carrier (VLCC) vessels, with capacities of up to 3,20,000 tonnes DWT. The new facility, spread over more than 8,000 acres, will enable the production of 32 new ships and repair of 50 old ships annually. The facility will include critical infrastructure such as a Marina, Fishing Harbour, Townships, and a Marine Industrial Cluster. This project is expected to significantly benefit the region by creating extensive employment opportunities, particularly in ancillary manufacturing and assembly sectors.

Union Minister Shri Sarbananda Sonowal expressed his enthusiasm, stating, “This investment aligns with Prime Minister Modi’s vision of building capacities in India, making it a global platform for production. The shipbuilding facility at Kandla is a crucial step towards realizing the ‘Make in India, Make for the World’ dream.”

New Cargo Terminal to Boost Capacity

Another critical component of the Kandla Port’s expansion is the development of a new cargo terminal located outside the Kandla Creek at Tuna. With an investment of ₹27,000 crores, the new terminal will add 135 million tonnes per annum (MTPA) to Kandla Port’s existing capacity. The terminal will handle all existing dry bulk cargo with advanced cargo handling systems and improved evacuation infrastructure. Additionally, the reorganization will enable Kandla Port to focus on handling liquid cargo more efficiently by converting existing dry bulk jetties into liquid jetties.

The new terminal’s proximity to the navigation channel will reduce dredging requirements, making it more feasible to dock larger vessels. This development aims to significantly improve the waiting times and turnaround times for liquid tanker vessels, enhancing the overall efficiency of Kandla Port.

Restructuring and Future Prospects of Kandla Port

Shri Sarbananda Sonowal further emphasized the vital role of ports in India’s economic growth, noting that enhancing port infrastructure is essential to meet the country’s expanding ambitions. “Ports are key economic hubs, and by enhancing capacity, we are ensuring that they support India’s journey towards becoming an Atmanirbhar Bharat by 2047,” he stated.

Additional Infrastructure Projects at Kandla Port

In addition to the Mega Shipbuilding and Cargo Terminal Projects, the Deendayal Port Authority (DPA) is actively working on several other projects to expand Kandla Port’s capacity. Among these projects are:

• Mega Cargo Terminal at Tuna Tekra: A new terminal being developed under Public-Private Partnership (PPP) mode, which will have a capacity of 2.19 million Twenty-foot Equivalent Units (TEU).
• Multi Cargo Terminal at Tuna Tekra: This project is under consideration and will add an additional 18.33 MTPA capacity to Kandla Port.
• Three New Oil Jetties: These will enhance liquid cargo handling capacity by 10 MTPA.
• Single Buoy Mooring (SBM) and Product Jetties at Vadinar: These projects will boost liquid cargo capacity by an additional 24.5 MTPA.
• Ship Repair Facility at Vadinar: A new ship repair facility, capable of servicing up to 32 vessels per year, is also in the planning stages.

Conclusion: Strengthening India's Maritime Sector

Shri Sonowal’s announcements mark a significant leap in modernizing India’s port infrastructure, particularly Kandla Port, which is poised to become a critical hub in global trade. The expansive investments in shipbuilding, cargo terminals, and port infrastructure will not only enhance capacity but also drive India’s ambition to position itself as a manufacturing and shipping powerhouse, aligned with Prime Minister Narendra Modi's vision of making India a global manufacturing hub under the "Make in India" initiative.