The Gujarat government is understood to be considering an extension of the concession periods for four major private ports — Mundra, Pipavav, Dahej and Hazira — a move that could provide greater certainty to private operators and encourage investments in port expansion and modernisation.
The terms of any extension, including its duration, have not yet been made public. The proposed rollover is being closely watched by port investors as Gujarat was among the first states to promote private participation in port development in the late 1990s. The outcome could also set a precedent for concession renewals in other states.
The 30-year concession for APM Terminals-managed Pipavav Port is due to expire in September 2028, while the concession for Adani Ports and Special Economic Zone Ltd (APSEZ)-owned Mundra Port ends in February 2031. The concessions for Hazira Port, operated by Shell Gas BV, and Dahej Port, developed by Petronet LNG Ltd, are due to expire in April and December 2035, respectively.
APSEZ also operates non-LNG cargo facilities at Hazira and Dahej through sub-concessions with Shell and Petronet LNG.
The original concessions awarded by the Gujarat government for greenfield ports were for 30 years, without provisions for automatic extensions. This has made the renewal process more complex, particularly in allowing existing operators to continue operating facilities that have attracted substantial private investment without inviting criticism over extending concessions without a fresh tender.
Sources familiar with the matter said the proposed extensions could be linked to investment commitments by existing operators. The extension, they said, would not be automatic and would depend on the scale of investments proposed for the respective ports.
However, Gujarat Maritime Board (GMB) Vice Chairman and CEO Dr Ajay Kumar said no decision had yet been taken on concession extensions. Hareet Shukla, Principal Secretary, Ports & Transport Department, Gujarat government, also said there was still time to take a decision, given that the concessions have several years remaining.
Shukla said the state would first finalise a policy before determining the structure for extending the concessions. He added that discussions were already taking place in the background and there would be no delay in taking a decision.
The Gujarat Maritime Board is understood to have discussed the matter at a board meeting on August 17. According to sources, the board is considering providing a letter of comfort to existing port operators indicating that the extension process would be taken forward.
Greater clarity on the concession framework could unlock significant investment plans that have been held back because of uncertainty over the remaining concession period.
At Mundra, APSEZ has received environmental and coastal regulation zone clearances to more than double the port’s capacity to 514 million tonnes (MT), from the existing 225 MT. The proposed expansion involves an investment of around ₹45,000 crore and forms part of a Waterfront Development Plan covering 3,335 hectares.
The expanded facilities are expected to cater to multipurpose, liquid, gas and cryogenic cargo. Mundra currently has approval to handle 225 MT of cargo annually, including 9.5 million TEUs of containerised cargo.
Mundra handled around 200 MT of cargo in FY26, accounting for more than a quarter of India’s total port cargo volumes and over a third of container traffic. With the port recording double-digit growth in recent years, APSEZ has been pursuing capacity expansion to accommodate future demand.
Similarly, APM Terminals’ Pipavav Port has secured environmental and coastal regulation zone clearance for an investment of around $2 billion to expand and upgrade the facility. The planned investment, however, has been affected by uncertainty over the remaining concession period, which is less than two years away.
GMB-run and private ports in Gujarat currently play a significant role in India’s maritime sector. Dr Kumar said ports under the GMB account for around 30% of the cargo handled by Indian ports despite representing about 20% of the country’s total port handling capacity.
GMB is now planning further expansion through brownfield projects, new captive jetties, expansion of GMB-owned ports and the development of new greenfield sites.
The expansion plans are aligned with India’s long-term maritime ambitions under the Viksit Bharat vision, which envisages total port handling capacity of 10,000 MT by 2047. Gujarat aims to retain at least a 30% share of that capacity, translating into around 3,000 MT by 2047.