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Adani Inks Landmark Concession Agreement for Development of Vizhinjam Sea Port Project

News:

In a major step forward in realising Kerala's dream maritime project, the Congress-led UDF government and Gujarat-based Adani Group today signed the work contract agreement for development of the Rs 7,525-crore Vizhinjam International Deepwater Multipurpose Seaport.

Source: ET

SNP Insight: 

During the last decade, there has been a steady growth of container traffic at the Indian ports. Currently, the majority of these ports rely on direct services or use far off ports like Colombo, Singapore, Klang(Malaysia) for their transshipment needs. The proposed Vizhinjam port is just 10 nautical miles from the International Shipping Lane can act as a transshipment hub in India thereby reducing dependence on foreign ports. Also being endowed with a natural seawater depth of up to 24 m, Vizhinjam can attract the largest container vessels currently in operation and also the future mega container carriers. However with the present Cabotage law the dream of making Vizhinjam one of the world's mega transshipment port may fall in vain.

Source: SNP Infra Research