Mumbai, 18 July 2022

 

Deendayal Port Authority (DPA) is set to develop two Mega Cargo Handling Terminals on a Build-Operate-Transfer (BOT) basis under Public-Private Partnership (PPP) Mode at an estimated cost of Rs. 5,963 crores. The Authority has also decided to develop a Container Terminal and a Multipurpose Cargo Berth at Tuna-Tekra in the Kutch District, to cater to the future requirement of the hinterland and further benefit the downstream industries around the Gujarat and allied states.

Briefing about the projects at a press conference in Mumbai, Chairperson, Deendayal Port Authority, S. K. Mehta, said that the two Mega cargo handling projects will decongest the port and reduce waiting time for handling containers and cargo. “The two projects have the capacity to change the economic strata of the Western region,” he added.

Speaking about the benefits the projects, the Chairman mentioned, “Container has been a weak link for the Kandla Port which is known for its bulk handling capacity. We are witnessing an increase in traffic. The projects can make Kandla one of the mega ports in the country.” The Chairperson also pointed out that the strategic location, business friendly attitude, infrastructure facilities and low cost make Kanda one of the busiest ports.

Extending his invitation to investors, the chairman mentioned “Considering the immense opportunities available for growth, I invite the business fraternity here and the interested entrepreneurs who are keenly involved in the Maritime Sector, to participate in the tender for the two Mega Projects and join hands with DPA in the mutual interest for the overall benefit of the trade and nation at large.”

The Chairman also briefed about DPA’s focus areas including cargo and productivity improvement, landlord port development, port-led industrialization, coastal shipping and Ro-Ro, Ro-pax expansion, Improvement in ease of doing business and cost of doing business and Green, Sustainable and Safe Port development.

Container Terminal plans to handle next-generation vessels/deeper draught vessels up to 6,000 TEUs (Twenty-foot Equivalent Unit) to 21,000 TEUs with a draught of 14m to 18m, respectively. The Estimated Cost and Optimal handling Capacity of the Terminal is Rs. 4243.64 Crores and 2.19 million TEU, respectively. Once operational, the terminal will be well equipped to tap into the container market growth in the region with better infrastructure and a state-of-art world-class container facility.

Multipurpose Cargo Berth plans to handle vessels up to 1,00,000 DWT to 2,10,000 with Vessels of Draught of 15m to 18m. The proposed facility shall be used for handling Multipurpose cargo, viz., food grains, fertilizers, coal, ores and minerals, steel cargo etc. The Estimated Cost & Optimal handling Capacity of the Terminal is Rs. 1719.22 Crores and 18.33 MMTPA, respectively. Once fully operational, the port is envisaged to shift the existing handling of Coal from Kandla to Tuna-Tekra and cater to the future growth in Multipurpose Cargo (other than container/liquid) traffic.

Deendayal Port Authority will develop these projects on a PPP model with a Concession Period of 30 years which and renewed/extended for another 20 years. The projects offer flexibility to construct, handle more than the estimated capacity and provision for change of scope. The Concessionaire can fix tariffs based on market conditions. The License Fee will be Re. 1/ payable from the date of award of concession.

The projects provide commercial flexibility as there will be excellent Road Connectivity up to Backup Area (to be constructed and maintained by DPA) with Railway Line up to the take-off point. Additionally, it provides a common access channel dredged for design vessel of 14m Draft for CT & 15m for MCB. The berthing-deberthing and pilotage of a ship & approval of the Collector of Customs for commercial operation will be the obligation of DPA. DPA handled 127.1 Million Metric Ton of cargo with an impressive growth rate of 8.11 % in the previous year. With the capacity addition through these mega projects, DPA will be able to fulfill its vision of handling more than 200 Million Metric Ton per annum by 2030 and place itself as the number one port in cargo handling.

 

About Deendayal Port Authority:

Deendayal Port's journey began in 1931 with the construction of RCC Jetty by Maharao Khengarji. Kandla, also known as the Deendayal Port Authority (Gujarati: કંડલા), is a seaport in the Kutch District of Gujarat state in western India, near the city of Gandhidham.

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PIB Mumbai | JPS/DL/CP/DR

 

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