The VOC Port Authority’s ambitious Rs 70.56 billion outer harbour project has encountered another significant setback, with its second tender cancelled due to the absence of qualified bidders. Sources confirmed that the tender has been withdrawn from the active bid list, and the authority may now consider restructuring the project.

This marks the second failed attempt to initiate the large-scale development at Thoothukudi port. The Request for Proposal (RFP) was reissued in December 2024, following the cancellation of the initial round, which attracted just two applications—from Vedanta and Premier Science and Technology—both of whom were later disqualified.

In a bid to broaden participation, the eligibility criteria were relaxed for the second tender. However, the project once again failed to receive the necessary response from prospective developers.

The outer harbour project is a critical part of VOC Port’s expansion plans. It entails extensive dredging and construction of a breakwater on a Design, Build, Finance, Operate, and Transfer (DBFOT) model. The proposed facility is designed to handle up to 4 million TEUs (twenty-foot equivalent units) annually, with implementation scheduled in two distinct phases.

With the latest cancellation, the future of this strategic infrastructure initiative remains uncertain, as authorities weigh alternative approaches to attract interest and move the project forward.