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This is an archive article published on October 13, 2022

Union Cabinet decision: Kutch to get 2 new port terminals at Rs 5,963 crore

The proposed container terminal and multi-purpose cargo berth will be developed by the Deendayal Port Authority (earlier known as Kandla Port Trust) on a Build-Operate and Transfer basis, stated an official release here Wednesday.

Narendra Modi, Kutch new port terminals, Ahmedabad, Ahmedabad news, Gujarat, Gujarat news, Indian Express, India news, current affairs, Indian Express News Service, Express News Service, Express News, Indian Express India NewsPrime Minister Narendra Modi

The Union Cabinet chaired by Prime Minister Narendra Modi has approved the proposal for constructing two new port terminals at Tuna-Tekra in Kutch district of Gujarat at an estimated cost of Rs 5,963 crore.

The proposed container terminal and multi-purpose cargo berth will be developed by the Deendayal Port Authority (earlier known as Kandla Port Trust) on a Build-Operate and Transfer basis, stated an official release here Wednesday.

The terminal will be able to accommodate deeper draught vessels with capacities ranging from 6,000 TEUs (twenty-foot equivalent units) to 21,000 TEUs with a draught of 14-18 metres. The estimated cost of the terminal is Rs 4,243.64 crore and the cargo handling capacity will be 2.19 million TEUs. The terminal will also have a back-up area of 54.20 hectares for storage of containers.

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The proposed multipurpose cargo berth aims to accommodate vessels of 1,00,000 DWT to 2,10,000 with a draught of 15-18 metres. The proposed facility will be utilised to handle multipurpose cargo, including foodgrains, fertilisers, coal, ores and minerals and steel cargo, among others.

The estimated cost and optimal handling capacity of the terminal is Rs 1,719.22 crore and 18.33 MMTPA, respectively. It will also have a back-up area of 50 hectares for storage expandable upto 102 hectares.

The project also includes dredging of 13-km approach channel to 15.5 metres depth and development of common user road at the cost of Rs 531.42 crore, which shall be carried out by the Deendayal Port Authority (DPA). It offers initially a common access channel dredged for design vessels with a 14-metre draught for container terminal and a 15-metre draught for multi-cargo berth.

The DPA will be responsible for the berthing-unberthing, pilotage, and authorisation of the collector of customs for the commercial operation of a vessel. These projects will have a concession period of 30 years, which will be renewed/extended for an additional 20 years.

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The PPP concessionaire shall be responsible for the design, engineering, financing, procurement, implementation, commissioning, operation, management and maintenance of the project.

The entire investment will be made by the concessionaire except for the capital dredging of the access channel and common user road.

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