Essar Ports Limited (EPL) has secured a contract from the Deendayal Port for the establishment of a multi-purpose cargo terminal at Tuna Tekra, located in Gujarat’s Kandla. This terminal is set to enhance the port’s capacity by an additional 18.33 million tonnes per annum (MTPA) and will feature four berths, each 300 meters long, with an 18-meter draft, allowing it to accommodate Capesize vessels weighing up to 170,000 deadweight tons (dwt). This development is expected to alleviate congestion at the port’s existing dry cargo berths and significantly improve cargo handling capabilities, marking a pivotal advancement for India’s maritime industry.
The Deendayal Port Authority (DPA) will assist in constructing common-use infrastructure, which includes dredging the access channel, berth pockets, and turning circles, along with developing a common approach road. EPL was awarded the Letter of Award (LoA) after submitting the highest bid for a 30-year contract, which will be executed under a Build, Operate, and Transfer (BOT) framework in a Public-Private Partnership (PPP) model.
The total investment for the project is estimated at ₹2,276.06 crore, with EPL contributing over ₹1,552.57 crore and the DPA providing ₹723.49 crore. This initiative marks a significant return for Essar Ports to the maritime sector nearly a decade after its debt-reduction strategy, which involved selling substantial assets to clear ₹1.4 lakh crore in debt.
The Tuna Tekra terminal will be developed in compliance with environmental standards and the Green Port Policy. Ashish Rajgarhia, CEO of Essar Ports, emphasized that this project signifies a new chapter for the company, highlighting its commitment to enhancing India’s maritime infrastructure and supporting the vision of a developed India by 2047.
