Adani Ports and Special Economic Zone Limited (APSEZ) has made a significant advancement in its operations along the eastern coast of India. The company has emerged as the highest bidder for two dry bulk berths at Paradip Port located in Odisha, thus integrating an additional capacity of 18 million metric tonnes (MMT). The announcement was made following the receipt of the Letter of Award (LoA) for the development and operation of these berths, designated CQ-I and CQ-II, under a concession period of 30 years.

This initiative highlights APSEZ’s strategy to strengthen its logistics capabilities and enhance its presence in one of India’s crucial industrial zones. The new mechanised dry bulk capacity is set to elevate APSEZ’s overall operational capacity from 653 MMT to 671 million tonnes per annum (MMTPA), underpinning the company’s ambition to reach a cargo throughput of 1 billion tonnes by 2030.

The addition of these berths will also enable the company to leverage Paradip Port, which is recognized as India’s second-largest major port, serving as a vital hub for dry bulk cargo on the eastern seaboard. This strategic move further links APSEZ’s existing capacity of 140 MMT across various regional facilities, such as Haldia, Dhamra, Gopalpur, and Gangavaram ports.

Strategic Importance of the Paradip Concession

According to Ashwani Gupta, the Whole-time Director and CEO of APSEZ, the acquired concession at Paradip Port will significantly reinforce the company’s operational footprint on the East Coast. It enhances APSEZ’s access to a region noted for its industrial and mineral-rich resources, thereby solidifying its position in the competitive logistics market.

Gupta elaborated that with the addition of Paradip, APSEZ’s network is now extended to encompass 16 ports and terminals along India’s extensive 11,000-km coastline. This development is expected to fortify the company’s capabilities in delivering integrated port, logistics, and marine solutions through its comprehensive transport infrastructure platform.

Plans for the new development include constructing deep-draft berths, substantial storage facilities, and advanced mechanised cargo handling systems. These enhancements are aimed at efficiently managing dry bulk commodities such as coal and limestone and catering to various industrial manufacturing clusters and steel plants situated in eastern and central regions of India.

Addressing Regional Capacity Bottlenecks

This expansion aligns with the growing demand for cargo handling capacity across India’s East Coast ports, which has been under pressure due to high utilisation rates. The development of these dry bulk berths is expected to mitigate existing capacity constraints and facilitate industrial growth in the area.

Supporting infrastructure development is also being bolstered by an increase in steel manufacturing and government initiatives aimed at promoting domestic coal production. Such support is anticipated to further enhance the operational viability of the newly developed berths and improve overall efficiency.

The investment in the Paradip Port project capitalises on the increasing need for enhanced logistical frameworks in the region, ensuring that APSEZ is well positioned to address current demands while preparing for future industrial expansions. This strategic move signifies the company’s commitment to fostering growth in India’s economic landscape.

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