KANDLA, Aug 26: A concession agreement signed between Deendayal Port Authority and DP World in
the presence of Sarbananda Sonowal, union minister for ports, shipping & waterways and AYUSH, HE
Sultan Ahmed Bin Sulayem, group chairman and CEO, DP World; Rizwan Soomar, DP World, CEO & MD,
Middle East, North Africa and India, Sanjay Mehta, IFS, chairperson and other senior officials of the
ministry in New Delhi.
This state-of-the-art container terminal at Tuna-Tekrawill cater to future trade demand from Northern,
Western and Central India, connecting the regions to global markets.
The project involves the construction of a mega-container terminal at Tuna-Tekra near the existing
Deendayal Port, at a cost of Rs 4,243.64 crores ($510 million) through a Public Private Partnership (PPP).
Once completed the terminal will have an annual capacity of 2.19 million TEUs, and will include a
1,100m berth capable of handling next-generation vessels carrying more than 18,000 TEUs.
The Container Terminal is expected to transform the economic landscape of Kutch, with creation of
several ancillary services like warehousing, etc. and also result in creation of direct and indirect
employment opportunities to hundreds of people.
In addition to increasing the business potential of Kandla, the project will boost the economy and
generate employment. The container terminal will be fully compliant with the green port guidelines
ensuring sustainability in port operations by adopting best practices of port environment management
contributing towards the long-term sustainability goals set out by the Government of India.
This concession agreement is a part of the union minister Sarbananda Sonowal’s mega target of
identifying investment opportunities of more than 10 lakh crores in Indian Maritime Sector for the
upcoming Global Maritime Summit 2023 from 17th-19th October 2023 at Bharat Mandapam, Pragati
Maidan, New Delhi which is being organised by MoPSW.
This Summit will showcase global best practices, foster investment partnerships and chart a new and
bright course for our collective future.
The GMIS 2023 will also provide a stage to more than 60 countries, exhibitors and investors from various
domains of the maritime sector.
During the event, Sonowal said, ‘The project for which agreement has been signed on Saturday was
approved on PPP model by the Cabinet Committee on Economic Affairs chaired by our visionary Prime
Minister Narendra Modi ji in October 2022. This project would give impetus to India’s containerisation
growth’.
‘This project is aligned with our Prime Minister’s Amrit Kaal Vision 2047 and would quadruple port
handling capacity and develop multimodal logistics infrastructure to promote economic growth. The
project is expected to add operational efficiency to the Port in terms of reduced congestion at Kandla
creek, enhanced ability to handle deep draft vessels, reduction of turnaround time to 0.5-1 day and
driving Port towards becoming a Mega Port’, he added.
The project will entail the following benefits:
Due to its strategic location the Container Terminal will help in decreasing the cost of container logistics
in the country; With deep draft and latest handling technology, the Container Terminal is expected to
set up a new benchmark in productivity and ease-of-doing-business; the Container Terminal is expected
to transform the economic landscape of Kutch, with creation of several ancillary services (warehousing
etc.) and direct and indirect employment opportunities to millions of people; the Container Terminal is
also likely to give a major fillip to infrastructure development in Gujarat with major investments needed
from NHAI, and Railways. These are likely to help the development of other parts of the state as well,
apart from Kutch; the terminal will be well-connected to major road and rail networks, facilitating
efficient transportation of cargo to various parts of the country. This connectivity is expected to reduce
logistics costs and increase the competitiveness of Indian exports; environmental considerations will be
at the forefront of the terminal's design. Implementing eco-friendly practices, the terminal aims to
minimize its carbon footprint, setting an example for sustainable port operations. the development of
the terminal will create a significant number of direct and indirect job opportunities, contributing to
local employment and socio-economic development.
