Cabinet Approves Development Of Vadhavan Port At Rs 76,200 Crore

The Union Cabinet has approved the setting up of a major port at Vadhavan near Dahanu in Maharastra. Vadhavan Port Project (VPPL), an SPV formed by Jawaharlal Nehru Port Authority (JNPA) and Maharashtra Maritime Board (MMB) with a shareholding of 74 per cent and 26 per cent, respectively, will be constructing the port. The project will be developed as an all-weather greenfield deep draft major port in Vadhavan, Palghar District, Maharashtra.

The total project cost is Rs 76,220 Crore, including the land acquisition component, development of core infrastructure, terminals and other commercial infrastructure in public-private partnership (PPP) mode.

The cabinet has also approved the establishment of road connectivity between the port and national highways via Ministry of Road Transport and Highways and rail linkage to the existing rail network and the upcoming dedicated rail freight corridor by Ministry of Railways.

The port will comprise nine container terminals, each 1000 meters long, four multipurpose berths, including the coastal berth, four liquid cargo berths, a Ro-Ro berth and a Coast Guard berth.

The project will involve reclamation of 1,448 hectares of area in the sea and the construction of 10.14 km offshore breakwater and container or cargo storage areas. A cumulative capacity of 298 million metric tons (MMT) per annum, including around 23.2 million TEUs (Twenty-foot equivalents) of container handling capacity will be created by the project.

The capacities created will also aid Exim trade flow through India Middle East Europe Economic Corridor (IMEEC) and International North South Transportation Corridor (INSTC). The maritime terminal facilities aim to promote PPP and leverage efficiencies and modern technologies to create a state-of-the-art terminals capable of handling mainline mega vessels plying on international shipping lines between the Far East, Europe, the Middle East, Africa and the Americas. On completion, the Vadhavan port is expected to be one of the top ten ports of the world.

The project will add to further economic activity, aligned with the objectives of PM Gati Shakti program. It will contribute to the local economy by creating direct and indirect employment opportunities for around 12 lakh individuals.