Kandla Port plans a new container terminal and multipurpose berth in Gujarat, aiming to reclaim land lost to Paradip Port.
Kandla Port is set to allocate three kilometres of land for the construction of a new container port and a multipurpose freight terminal as part of a ₹27,000 crore long-term development plan in Gujarat’s Kutch area. This initiative aims to reclaim land that was given to Paradip Port last year, enabling Kandla to enhance its operational capabilities.
Established in 1955, Kandla Port is one of India’s oldest and most significant ports. It held the title of the leading port in the country until 2023-2024, when Paradip Port surpassed it by handling over 145 million metric tons of cargo. In the same period, Kandla Port processed 131 million metric tons, marking a 4.17% decrease from the previous year’s volume. This decline has largely been attributed to a decrease in international cargo growth, which fell by 4.8% over the past year. In contrast, Kandla saw a modest increase of 1.48% in coastal cargo.
The competition between the two ports has intensified, with Paradip Port leading in cargo volumes this year. Between April and September 2024, the first half of the current fiscal year, Paradip handled 73.16 million tonnes of freight, compared to 71.39 million tonnes processed by Kandla. Paradip’s overseas shipping volumes increased by approximately 6% during this period, while Kandla Port’s overseas cargo volumes rose by 13%. However, this increase was offset by a decrease in the port’s coastal cargo volumes.
This ambitious development plan for Kandla Port is poised to enhance its capacity and efficiency, allowing it to compete more effectively in the maritime trade sector and potentially reclaim its position as a leading port in India. By developing a new container terminal and multipurpose berth, Kandla aims to bolster its infrastructure and meet the growing demands of the shipping industry.
