The plan for India’s new mega-container terminal

The concession agreement signed with the Deendayal Port Authority, will see the operator develop, operate and maintain a new 2.19 million teu per annum mega-container terminal at Kandla on India’s western coast.

”The Tuna-Tekra mega- terminal will be one of the largest container terminals to be set up in the country. It will help increase the productivity and cargo handling capacity of the port,” said S.K. Mehta Chairman, Deendayal Port Authority.

”As one of India’s busiest ports, we are committed to enhancing our capacity to serve the nation and businesses by reducing congestion and driving trade efficiencies.”

Mega project

Back in January, the Deendayal Port Authority awarded the concession to develop the mega-container terminal to Hindustan Infralog Private Limited – a joint venture between DP World and National Investment and Infrastructure Fund, India’s collaborative investment platform anchored by the Government of India.

This concession is on a Build-Operate-Transfer (BOT) basis for a period of 30 years with the option to extend for another 20 years.

The project involves the construction of a mega-container terminal at Tuna-Tekra near the existing Deendayal Port, through a Public Private Partnership (PPP).

Once complete in 2027, the 2.19 million teu per year terminal will have state of the art equipment and a 1,100m berth capable of handling next-generation vessels carrying more than 18,000 teu. As part of this concession agreement the berth can be further extended to 1,375m.

The terminal will connect to the hinterland through the network of roads, highways, railways and dedicated freight corridors, supporting the growing demand for logistics solutions from across the country, connecting businesses in the regions to global markets.

The Indian Railways have recently approved the quadrupling of Samakhiali – Gandhidham line, which will be a big boost for the new container terminal.

In addition, the port authority is also in discussion to implement various other initiatives to enhance connectivity of Kandla and Tuna Tekra along with Ministry of Road Transport and Highways and Indian Railways.

DP World already operates five container terminals in India – two in Mumbai, one each in Mundra, Cochin and Chennai – with a combined capacity of approximately 6 million teu. With the addition of Tuna Tekra, DP World will have a combined capacity of 8.19 million teu.