Deendayal Port Authority to Further Strengthen its Position as the Number 1 Cargo Handling Major Port

Plans to increase handling capacity through projects worth Rs. 5963 crores

MUMBAI, India, July 18, 2022 /PRNewswire/ -- Deendayal Port Authority, the No. 1 Major Port in India located in Kutch District of Gujarat state in western India, to enhance its status as the country's number 1 cargo handling port, is set to develop two Mega Cargo Handling Terminals on a BOT basis under PPP Mode at an estimated cost of Rs. 5963 crores. To cater to the future requirement of the hinterland and further benefit the downstream industries around the Gujarat and allied states, the Authority has decided to develop a Container Terminal and a Multipurpose Cargo Berth at Tuna-Tekra in the Kutch District.

The Container terminal plans to handle next-generation vessels/deeper draught vessels up to 6000 TEUs to 21000 TEUs with a draught of 14m to 18m, respectively. The Estimated Cost & 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. Furthermore, the 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.

While addressing the conference, Shri S. K. Mehta, IFS, Chairperson, Deendayal Port Authority, said, "At Deendayal Port, we are focusing on six major strategic areas which include 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. To further aid the handling capacity, these two Mega cargo handling projects will decongest the port and reduce waiting time for handling containers and cargo. 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 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. Located on the Gulf of Kutch, it is one of the major ports on the west coast. Kandla Port was constructed in the 1950s as the chief seaport serving western India after the partition of India. After partition, Deendayal Port's success story has continued, and it rose to the No. 1 Major Port in India in the year 2007-08 and since then retained the position for 15 consecutive years. On 31.03.2016, Deendayal Port created history by handling 100 MMT cargos in a year - the first Major Port to achieve the milestone. The Port handles all major types of cargo from bulk and break bulk to liquid and container.