News Brief

Gujarat's Kandla Port To Undergo Major Capacity Expansion With Rs 57,000 Crore Investment

Arjun Brij

Jan 08, 2025, 12:33 PM | Updated 12:33 PM IST


Kandla in Gujarat
Kandla in Gujarat

Union Minister of Ports, Shipping and Waterways, Sarbananda Sonowal, on Tuesday (7 January) announced projects worth over Rs 57,000 crore to enhance the capacity and efficiency of Kandla Port in Gujarat.

The initiatives include the construction of a Mega Shipbuilding Project and a new cargo terminal outside Kandla Creek.

The Mega Shipbuilding Project, with an investment of Rs 30,000 crore, aims to develop technical capabilities to manufacture Very Large Crude Carriers (VLCCs) or similar vessels with up to 3,20,000 tonnes DWT.

Spread over 8,000 acres, the facility will produce 32 new ships and repair 50 annually. It will also feature components like a marina, fishing harbour, townships, and a marine industrial cluster, unlocking significant trade and employment opportunities.

Sonowal highlighted the project’s alignment with Prime Minister Narendra Modi’s vision of "Make in India, Make for the World."

He said, "We are excited at the possibilities that this new investment is likely to bring towards contributing meaningfully towards Viksit Bharat. Under the dynamic leadership of Prime Minister Narendra Modi ji, we are working towards building capacities in our country which will not only propel the growth proposition but also allow it to become a platform of production for the world at large."

The second major initiative involves developing a state-of-the-art cargo terminal outside Kandla Creek near Tuna at an investment of Rs 27,000 crore.

This terminal will add 135 MTPA to Kandla Port’s capacity and handle dry bulk cargo with advanced equipment and efficient evacuation systems. The existing port will be repurposed to handle liquid cargo, improving turnaround times and reducing waiting periods for liquid tankers.

“Enhancing capacity in port infrastructure is essential to meet our expanding ambitions,” Sonowal said.

“The new facility at Kandla Port will not only significantly augment its operations but also enhance efficiency through the segregation of dry and liquid cargo," he added.

Additionally, the Deendayal Port Authority is pursuing other projects, including a mega cargo terminal at Tuna Tekra, new oil jetties, and a ship repair facility at Vadinar, collectively aimed at further increasing the port’s capacity and efficiency.

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Arjun Brij is an Editorial Associate at Swarajya. He tweets at @arjun_brij


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