Massive ₹44,000-crore investment planned in first two phases to create 11 million TEU capacity
The Detailed Project Report (DPR) for the proposed ₹1 lakh crore International Container Transhipment Port (ICTP) at Galathea Bay, Great Nicobar Island, has been completed and will soon be submitted to the Union Ministry of Ports, Shipping & Waterways for approval, said J.P. Irene Cynthia, Managing Director, Kamarajar Port Ltd (KPL).
Speaking on the sidelines of the India Maritime Week 2025 in Mumbai on Tuesday, Cynthia said that once the DPR receives ministerial approval, a tender will be floated within six to eight months to invite participation from private players. The project is being developed under a public-private partnership (PPP) model, with the government likely to provide viability gap funding or other financial support mechanisms.
“In the first two phases, we plan to invest ₹44,000 crore to create a handling capacity of 11 million TEUs over 3–4 years,” she said. “Overall, the port will have a capacity of 16.2 million TEUs, catering exclusively to container cargo.”
Originally, Syama Prasad Mookerjee Port, Kolkata (SMPK) was the nodal agency for the project. However, Kamarajar Port Ltd has now been designated as the nodal authority to steer the initiative forward.
The project has already received key regulatory clearances, including environmental clearance from the Union Environment Ministry in November 2022, and one forest clearance. Additionally, the Department of Expenditure, Ministry of Finance, has granted in-principle approval for the holistic development of Great Nicobar Island.
Strategic Maritime Advantage
The proposed ICTP at Galathea Bay is strategically located just 40 nautical miles from the major international shipping route, offering natural water depths of over 20 metres—ideal for handling large container vessels. The port is expected to serve as a major transhipment hub, catering not only to Indian ports but also to regional cargo flows.
Reducing India’s Dependence on Foreign Ports
Currently, nearly 75% of India’s transshipped cargo is handled at foreign ports, primarily Colombo, Singapore, and Port Klang. Colombo alone accounts for about 45% of this traffic. The Galathea Bay project aims to bring a significant share of transshipment business back to Indian shores, reducing logistics costs and improving trade competitiveness.
However, experts caution that the development of hinterland connectivity will be critical to the project’s success. “While the port’s location and depth offer huge potential, attracting cargo would depend on how quickly the supporting infrastructure and logistics ecosystem are developed,” said a maritime analyst.
India’s Push for Mega Ports
India currently has five major ports and two non-major ports with capacities exceeding 100 million tonnes per annum (MTPA). Under its long-term vision, the government has identified Vadhavan–JNPT Cluster, Paradip Port, and Deendayal Port for development as mega ports with capacities of over 300 MTPA. The ICTP at Great Nicobar will further strengthen India’s ambition to position itself as a global maritime hub.
