Cabinet Green Signals Greenfield Major Port at Vadhavan, Maharashtra

The Indian government has approved the construction of a new major port at Vadhavan in the Dahanu taluka of Palghar district, Maharashtra. This project, aligned with the PM Gatishakti programme, aims to boost India’s foreign trade capabilities and local economy. The Union Cabinet, led by Prime Minister Narendra Modi, sanctioned this on June 19, 2024.

Developer and Stakeholders

The Vadhavan Port, envisioned as India’s largest deep draft port, will be constructed by Vadhavan Port Project Limited (VPPL), a special purpose vehicle formed by the Jawaharlal Nehru Port Authority (JNPA) and the Maharashtra Maritime Board (MMB). JNPA holds a 74% stake in the SPV, while MMB holds 26%.

Project Specifications and Cost

The total cost of the Vadhavan project is Rs. 76,220 crore, encompassing land acquisition, core infrastructure development, and commercial infrastructure. The port will be developed in a public-private partnership (PPP) mode, featuring reclaimed land, breakwaters, and extensive container and cargo storage areas.

Features of Vadhavan Port

• Land Reclamation: 1,448 hectares of sea land will be reclaimed.
• Infrastructure: Construction of 10.14 km of offshore breakwater.
• Terminals and Berths: Nine container terminals (each 1000 meters long), four multipurpose berths, four liquid cargo berths, a Ro-Ro berth, and a berth for the Coast Guard.
• Capacity: Annual cargo handling capacity of 298 million metric tons (MMT), including 23.2 million TEUs of container handling.

Connectivity

The Union Cabinet also approved the establishment of road connectivity between Vadhavan Port and National Highways, along with rail linkage to the existing network and the upcoming Dedicated Rail Freight Corridor.

Significance

Located on India’s west coast, Vadhavan Port will be a modern facility poised to enhance foreign trade through the IMEEC (India Middle East Europe Economic Corridor) and INSTC (International North South Transportation Corridor). The port aims to integrate with international shipping lines between the Far East, Europe, the Middle East, Africa, and the Americas, with a goal to rank among the world’s top 10 major ports. Additionally, it is projected to create direct and indirect employment for 12 lakh people, boosting the local economy.

Challenges and Opposition

Local fishermen and farmers are opposing the port’s construction, fearing adverse impacts on their livelihoods. Environmentalists also argue that the project will harm the ecologically fragile Dahanu area, raising significant environmental concerns.