Govt finalising detailed project report for Great Nicobar Transshipment Port

Great Nicobar Transshipment Port: The government is finalising the detailed project report (DPR) for the Rs 41,000-crore international transshipment port at Great Nicobar Island, and construction is expected to commence in the coming months, according to a senior official.

The Great Nicobar Transshipment Port project has faced environmental scrutiny but has now received the necessary clearances from the National Green Tribunal (NGT), clearing the path for its implementation. TK Ramachandran, Secretary of Ports, Shipping and Waterways, confirmed to PTI that the DPR is complete and the project will move forward soon.

The Ministry of Ports, Shipping and Waterways had previously announced that the project, with an estimated cost of Rs 41,000 crore (approximately $5 billion), will involve both government and public-private partnership (PPP) investments. Eleven companies have expressed interest in the project, including Larsen & Toubro Ltd, Afcons Infrastructure Ltd, and JSW Infrastructure Ltd.

Located in the Andaman and Nicobar Islands, the port will eventually have the capacity to handle 16 million containers per year. The first phase, scheduled for completion by 2028, will cost Rs 18,000 crore and aims to handle over 4 million containers annually.

The project also includes plans for an airport, a township, and a power plant. Positioned on a major international trade route, the port is strategically located 40 nautical miles from existing transshipment hubs like Singapore, Klang, and Colombo.

Key aspects of the project include its strategic location, natural water depth of over 20 metres, and its ability to handle transshipment cargo from nearby ports, including Indian ports. The development will occur in four phases, with Phase 1 focusing on constructing breakwaters, dredging, reclamation, berths, storage areas, and other essential infrastructure.

Public-private partnerships will be encouraged through a landlord mode arrangement, allowing concessionaires to develop their own storage and handling facilities based on market needs, with a long-term concession period of 30 to 50 years. The concessionaires will be responsible for port services and will have the authority to levy and retain charges from port users.

Currently, nearly 75 per cent of India’s transshipped cargo is processed at foreign ports, with Colombo, Singapore, and Klang handling over 85 per cent of this cargo, half of which is processed at Colombo port.

(With PTI inputs)