Kandla Port, one of India’s key maritime gateways, is set to undergo a transformative infrastructure upgrade with an investment exceeding ₹57,000 crore, as announced by the Deendayal Port Authority (DPA).
This ambitious project aims to significantly enhance cargo capacity, foster a state-of-the-art shipbuilding ecosystem, and position Kandla as a pivotal global maritime hub. The announcement coincided with the port’s historic milestone of handling 150.16 million metric tonnes (MMT) of cargo in the fiscal year 2024-25 a record that underscores the port’s growing importance in India’s maritime landscape. This growth trajectory reflects not only the port’s operational efficiency but also the strategic partnerships and infrastructural advancements driving its success.
The centerpiece of the development is a ₹30,000 crore mega shipbuilding complex, designed to construct large vessels, including Very Large Crude Carriers (VLCCs). Spanning over 6,000 acres, this facility will house a marina, a fishing harbour, integrated townships, and a marine industrial cluster, making it one of Asia’s most comprehensive shipbuilding hubs. It is expected to produce 32 new ships and repair 50 older vessels annually, significantly boosting India’s maritime manufacturing capabilities. In addition to shipbuilding, the project includes the development of a new port outside the Kandla Creek, leveraging a 6 km waterfront. This expansion aims to modernise cargo handling with advanced equipment and efficient evacuation systems, converting existing jetties into liquid cargo terminals. This will reduce waiting times for liquid tanker vessels, enhance turnaround efficiency, and streamline the logistics chain.
To further bolster liquid cargo handling capacity, three new oil jetties will be constructed, adding 10 million tonnes per annum (MTPA) capacity. Additionally, a Single Buoy Mooring (SBM) and two product jetties are planned at Vadinar, which will enhance the handling capacity by approximately 25 MTPA. These expansions are poised to strengthen Kandla’s position as a critical node in global oil and gas trade. The DPA’s strategic vision aligns with the “Viksit Bharat 2047” goal, reflecting India’s commitment to becoming a developed nation by centenary. A key focus of the development is the adoption of sustainable practices, particularly through the integration of green hydrogen technologies. This includes the establishment of India’s first indigenous electrolysers for a 1-Megawatt Green Hydrogen Plant at Kandla, with plans to scale up to 10 MW. This initiative is part of the Government of India’s Green Hydrogen Mission, aiming to reduce the carbon footprint of port operations and promote renewable energy in the maritime sector.
In parallel, the DPA is implementing operational efficiency measures, including the ambitious goal of ‘Berthing on Arrival.’ This strategy aims to eliminate vessel waiting times upon arrival, thus increasing productivity, reducing vessel turnaround times, and enhancing cargo evacuation efficiency. Experts in maritime infrastructure view this overhaul as a pivotal step towards modernising India’s port ecosystem. The combination of cutting-edge shipbuilding facilities, green energy integration, and streamlined logistics is expected to attract both domestic and international investments, fostering economic growth and job creation in the region. Moreover, the DPA’s focus on sustainability and eco-friendly practices reflects a broader global trend towards greener maritime operations. The integration of green technologies not only supports environmental conservation but also positions Kandla Port as a forward-thinking, climate-resilient port capable of meeting the demands of future global trade.
As Kandla Port embarks on this transformative journey, it is poised to redefine India’s maritime landscape, driving economic development, enhancing global competitiveness, and contributing to the broader vision of a sustainable, future-ready India.
Kandla Port to Transform with Rs 57,000 Crore Infrastructure Overhaul
