Union Minister for Ports, Shipping and Waterways and AYUSH Sarbananda Sonowal today approved the project to develop No. 09 Oil Jetty at Port of Deendayal, Kandla to handle all types of liquid cargo in Kandla on BOT basis in PPP mode.
The estimated project cost for the development of this oil jetty is Rs. 123.40 crore if the project is to be implemented in PPP mode and the concessionaire is to arrange the financing of the project. While the construction period is estimated at 24 months, the concession period is 30 years. The project will follow a revenue sharing model of royalty per tonne.
Expressing his delight, Shri Sarbananda Sonowal said, “Our Prime Minister Narendra Modi once said that the port of Kandla has the potential to give a new direction to the country’s economy and accordingly this project will be another milestone on that path , as this jetty will further improve port capacity along with boosting overall economic growth for its entire hinterland.
The proposed project aims to increase the port’s cargo handling capacity, which should lead to a reduction in the turnaround time of liquid vessels. This project will increase Deendayal Port’s revenue by collecting royalties from the concessionaire. Considering the vast hinterland that depends on Deendayal Port for maritime trade and the current congestion situation in Deendayal Port’s existing liquid handling facilities, capacity expansions in the port are of paramount importance to serve the region’s economy and in turn contribute to the region’s development at economy of the whole country in the best possible way.
Ports play an important role in promoting trade and economic growth in the country. The expansion, modernization, development and modernization of port infrastructure in the country is an ongoing process, which includes the construction of new jetties, berths and terminals, mechanization of existing berths and terminals, etc., and the improvement of the skills of the ports’ personnel. The Department of Ports, Shipping and Waterways (MoPSW) focuses on improving the efficiency of ports and upgrading them to international standards.
In fiscal year 2023, Deendayal Port, Kandla handled 137.56 tons of cargo, representing an 8.23 percent growth from the 127.10 tons in the previous year. through pipeline. By 2030, the port is expected to grow at an annual rate of 10 percent and double its cargo to 267 tons.
It should be noted that as part of its commitment to port sector development in India, the Ministry of Ports, Shipping and Waterways has identified 74 projects worth Rs 57,000 crore under the Sagarmala program in the state of Gujarat. Of these, 15 projects valued at Rs 9,000 crore have been completed; 33 projects valued at more than Rs 25,000 crore are under implementation and 26 projects valued at Rs 22,700 crore are under development. Central ministries, major ports, state maritime authorities and other government agencies implement these projects.