They are said to be focusing on future expansion, construction and dredging operations which could all have a potential environmental impact, before giving blanket approval.
Indian ports are currently waiting on approval for new projects, for example, the Cochin Port Trust is waiting on approvals for a new coal terminal, warehousing zone and ship repair yard.
This news follows the decision to allow Adani Ports and Special Economic Zone (APSEZ) environment and coastal regulation zone clearance for its 8,481 hectares special economic zone in Mundra.
The clearance will now allow APSEZ, which operates India’s only port-based SEZ, to set up a mega desalination plant, an effluent treatment plant and intake of sea water, all of which constitute primary infrastructure to be provided for companies setting up business units in the special economic zone.
Special Economic Zones are treated as deemed foreign territories from perspective of several economic laws. Industrial units in the SEZ benefit from complete waiver on import duty, excise duty and service tax for capital goods or raw materials procured. They have been backed by the Indian government because they promote FDI as well as promoting export led growth.
Located close to the major towns of Bhuj and Gandhidham, the SEZ will host industries which will generate additional cargo volumes for the Mundra Port. The SEZ also includes Mundra port, one of India’s top commercial ports, handling cargo volumes of 100 million tonnes.