DP World & Kandla Port ink Rs 42 bn terminal deal

28 Aug 2023 CW Team

The project is a public-private partnership initiative, and the tender for it was floated the previous year. The project is expected to start its operations by early 2027. Once it is finished, the terminal will have a berth spanning 1,100 metres, and it will be able to handle next-generation vessels that have the capacity to carry more than 18,000 containers.

The annual capacity of the terminal will exceed 2 million twenty-foot-equivalent units (TEUs).

The primary aim of this new terminal is to meet the future requirements of the hinterland in the northern, western, and central regions of India. According to the shipping ministry, it is believed that this terminal will further enhance trade by linking businesses from these areas to international markets.

The government sees the strategic location of the terminal as a way to help reduce container logistics costs within the country. The agreement's duration covers a span of 30 years and can potentially be extended for an additional 20 years.

Sarbananda Sonowal, who is the Union minister for ports, shipping, and waterways, mentioned, "Once the terminal becomes operational, it will have a significant role in the government's ambitious goal of making India a hub for exports. Additionally, it will contribute to generating direct and indirect employment in various sectors such as transportation, distribution, and the supply chain."

Also read:
BOC aviation supports IndiGo's growth with Airbus aircraft financing
https://www.constructionworld.in/transport-infrastructure/aviation-and-airport-infra/boc-aviation-supports-indigo-s-growth-with-airbus-aircraft-financing/43623
Air India express aims for second place with 50 Boeing 737 max planes
https://www.constructionworld.in/transport-infrastructure/aviation-and-airport-infra/air-india-express-aims-for-second-place-with-50-boeing-737-max-planes/43622

Global shipping firm DP World has entered into a concession agreement with the Deendayal Port Authority (Kandla Port). The agreement is for the development of a container terminal in Tuna Tekra, which is a satellite facility. The estimated investment for this project amounts to Rs 42.43 billion. The project is a public-private partnership initiative, and the tender for it was floated the previous year. The project is expected to start its operations by early 2027. Once it is finished, the terminal will have a berth spanning 1,100 metres, and it will be able to handle next-generation vessels that have the capacity to carry more than 18,000 containers. The annual capacity of the terminal will exceed 2 million twenty-foot-equivalent units (TEUs). The primary aim of this new terminal is to meet the future requirements of the hinterland in the northern, western, and central regions of India. According to the shipping ministry, it is believed that this terminal will further enhance trade by linking businesses from these areas to international markets. The government sees the strategic location of the terminal as a way to help reduce container logistics costs within the country. The agreement's duration covers a span of 30 years and can potentially be extended for an additional 20 years. Sarbananda Sonowal, who is the Union minister for ports, shipping, and waterways, mentioned, Once the terminal becomes operational, it will have a significant role in the government's ambitious goal of making India a hub for exports. Additionally, it will contribute to generating direct and indirect employment in various sectors such as transportation, distribution, and the supply chain. Also read: BOC aviation supports IndiGo's growth with Airbus aircraft financing https://www.constructionworld.in/transport-infrastructure/aviation-and-airport-infra/boc-aviation-supports-indigo-s-growth-with-airbus-aircraft-financing/43623 Air India express aims for second place with 50 Boeing 737 max planes https://www.constructionworld.in/transport-infrastructure/aviation-and-airport-infra/air-india-express-aims-for-second-place-with-50-boeing-737-max-planes/43622

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