India’s Essar Ports has secured a letter of award from Deendayal Port Authority to develop a $240m multipurpose cargo terminal at Tuna Tekra in Gujarat.
The Essar Group company emerged as the highest bidder in an international tender for the project, which will be developed under a 30-year build-operate-transfer concession.
The proposed terminal will have an annual handling capacity of 18.33m tonnes, with four 300 m berths providing a combined 1,200 m of waterfront.
The facilities are designed to accommodate capesize bulk carriers of up to 170,000 dwt, with a maximum draft of 18 m.
Essar will invest more than $164m, while Deendayal Port Authority will contribute $76m towards common infrastructure.
The port authority’s works will include dredging of the access channel, berth pockets and turning circles, together with a common approach road.
Commercial operations are expected to begin by 2031.
The terminal will be built immediately east of the new container terminal being developed by DP World at Tuna Tekra.
The two projects are separate concessions. DP World’s development, backed by India’s National Investment and Infrastructure Fund, is designed to handle 2.19m teu annually under its own 30-year agreement.
Deendayal Port Authority has already been advancing road infrastructure for that facility as part of its wider development of Tuna Tekra.
The latest award will add multipurpose cargo capacity at a port where existing dry cargo berths are operating at more than 90% occupancy, according to the authority.
Essar Ports currently has around 60m tonnes of operational capacity across India, Indonesia and the UK.
