Union Shipping Secretary Vijay Kumar reviewed the progress of the Vadhvan Port project in Maharashtra’s Palghar district and stressed the need for close coordination among stakeholders to ensure timely execution of the greenfield deep-draft port.
Kumar visited the project site at Varor on Monday to assess ground-level progress, review ongoing workstreams and interact with officials and other stakeholders involved in the development. The project is being implemented by Vadhvan Port Project Ltd (VPPL), a special purpose vehicle formed by the Jawaharlal Nehru Port Authority (JNPA) and the Maharashtra Maritime Board.
During the site review, officials briefed the Shipping Secretary on the status of major components of the project and the work planned for the next stages. The review covered near-shore reclamation, breakwater construction, external connectivity, land acquisition, infrastructure and utility services.
The project is being developed as an offshore port near Dahanu in Palghar district. The near-shore reclamation component is intended to provide the landing and support infrastructure required for the offshore port, while the breakwater and other marine works form part of the core port development.
Kumar stressed the need to maintain the pace of construction and complete the project within the planned timelines. He also called for effective coordination among the agencies and stakeholders involved so that the different work packages progress in parallel and the port can be brought into operation as planned.
The Vadhvan Port project has moved ahead on several major construction packages. The ₹1,648-crore near-shore reclamation work was awarded to Cemindia Projects in December 2024, while Afcons Infrastructure has been awarded the ₹5,301.25-crore contract for construction of a 10.14-km breakwater, which is planned as the longest breakwater for an Indian port.
The largest package involves dredging, reclamation and construction of an offshore protection bund on 1,207 hectares of reclaimed land. The package, estimated at ₹22,323.47 crore, is being implemented under the Hybrid Annuity Mode (HAM) in two phases.
The HAM structure provides for 45% of the project cost to be paid by Vadhvan Port Project Ltd during construction, while the remaining 55% will be paid as a variable annuity by the private concessionaire, along with interest on the residual debt. The concession period is 15 years, including five years for construction and 10 years for operation and maintenance.
Several companies have shown interest in the large marine works package. DP World, NMDC Dredging & Marine, Adani Ports and Special Economic Zone and Vishwa Samudra Holdings are among the bidders for the ₹22,323.47-crore package. Once the core port construction is completed, cargo terminals are planned to be developed on a public-private partnership basis.
The planned Vadhvan Port will have nine container terminals with a combined quay length of 9,000 metres and more than 100 quay-side gantry cranes. The terminals are being designed to handle container vessels with a length overall of 350 metres or more. The port will also include liquid cargo berths, a roll-on/roll-off facility, general, coastal and breakbulk cargo berths, a common rail yard, tank farms and storage areas.
The project is expected to substantially expand India’s cargo-handling capacity and strengthen the country’s position in international container shipping. The port is being developed with the objective of emerging among the world’s leading container ports once fully operational.
The foundation stone for the Vadhvan Port project was laid by Prime Minister Narendra Modi on August 30, 2024. The latest review focused on maintaining momentum across the various work packages and ensuring that the port’s development progresses in a coordinated manner towards its planned commissioning.