To regain the ground ceded to Paradip port last year, Kandla—one of the oldest major ports of India—is working on a long-term expansion plan to develop a new multipurpose berth and a new container terminal in the Kutch district of Gujarat at an estimated ₹27,000 crore.
“As the Kandla port is located inside a creek, we are examining a patch of land between Tuna Tekra (satellite port of Kandla) and the entry point of Kandla port where we can possibly develop a new container terminal and a multipurpose berth. Here we have a waterfront of six kilometres,” Sushil Kumar Singh, chairman of Deendayal Port Authority (known as Kandla Port Trust till 2017), said.
“We are currently examining the proposal and we have engaged a consultant for preparing a Detailed Project Report (DPR). This land is nearer to the existing navigation channel and vessels can avoid 11 kilometers of travel inside the creek to access the port. There will be cost advantages related to dredging and maintenance,” Singh said, adding that the project is estimated to cost around ₹27,000 crore.
As of now, Kandla is looking to reserve three kilometres of space to be developed as a container terminal, while the remaining three kilometres could be developed as a multipurpose cargo terminal. This project could be a huge boost for Kandla, which was the first major port to be set up in the country in 1955. Kandla emerged as India’s top major port in 2007-08 and retained its position for over 15 years. It lost its spot as India’s number one major port to Paradip in 2023-24.
During the year 2023-24, Kandla Port handled 131 MMT tonnes of cargo, which is 4.17 per cent less than what the port did in the previous year. The biggest dip for Kandla has been the degrowth in overseas cargo, which fell by 4.8 per cent in the last year. On the other hand, coastal cargo has grown by 1.48 per cent. In sharp contrast, Paradip Port handled over 145 million metric tonnes of cargo and overtook Kandla Port as the top major port of India.
This year, too, Paradip continues to lead Kandla in cargo volumes. In the first six months of the current fiscal year, between April and September 2024, Paradip handled 73.16 million tonnes (MT) of cargo, while Kandla handled 71.39 MT. During this period, Paradip saw its overseas cargo volumes rise by almost six percent. In comparison, the overseas cargo volumes for Kandla Port grew by 13 per cent during the first six months, but the port registered a similar percentage decline in coastal cargo volumes.