In a bid to unlock the commercial potential of its minor ports, the Tamil Nadu government has signed a memorandum of understanding (MoU) with Mahathi Cuddalore Port and Maritime Pvt Ltd to operate the Cuddalore port under a public-private partnership (PPP) model.

The agreement was formalised on Saturday at the state secretariat in the presence of Chief Minister MK Stalin, marking a significant milestone in Tamil Nadu’s strategy to expand maritime infrastructure and encourage private sector involvement in port operations.

The port operator was selected through a competitive process following an expression of interest issued by the Tamil Nadu Maritime Board inviting private firms to operate the port. Hyderabad-based Mahathi Infra Services Pvt Ltd was chosen as the preferred bidder and has incorporated a special purpose vehicle (SPV) — Mahathi Cuddalore Port and Maritime Pvt Ltd — to implement the project.

The operationalisation of Cuddalore Port is expected to strengthen the state’s coastal cargo handling capacity and enhance multimodal connectivity in the central coastal region.

Senior officials present at the ceremony included Finance Minister Thangam Thennarasu, Public Works and Ports Minister EV Velu, Chief Secretary N Muruganandam, and Public Works and Ports Secretary J Radhakrishnan.

Although details on investment terms and operational timelines remain undisclosed, sources suggest the project aims to attract private capital and ease fiscal pressure on port development.

This MoU aligns with Tamil Nadu’s wider efforts to improve logistics and port-linked infrastructure, positioning the state as a key gateway for industrial exports and coastal shipping along India’s eastern seaboard.