Gujarat plans to upgrade 5 seaports thro private sector

Ahmedabad: The Gujarat State Government is planning to invite private investments into upgradation of five of its 41 seaports. The identified ports are Okha, Magdalla, Navlakhi, Porbandar and Old Mundra.

The Government has accorded an in-principle approval for the development, upgradation and management of these ports with private participation.

The modernisation cum expansion plan will be executed thro special purpose vehicles (SPVs) with equity participation from the Gujarat Maritime Board.

The scheme is cumulatively estimated to cost close to Rs. 16,000-million, which includes Rs. 7,100-mn for the expansion of Porbandar alone.

The State Government is planning to put the projects for investors at the Vibrant Gujarat global investors’ summit scheduled for January 12-13, 2007.

Besides, the government has identified four new sites where ports or container terminals can be developed. Khambhat, Mahuva, Modhwa and Sutrapada are the new sites for attracting private investment. The total investment envisaged is close to Rs. 12,000-mn with Sutrapada requiring the highest investment of Rs. 7,500-mn for a general-purpose port as well as container terminal.

The cargo handling capacity of Gujarat ports, which is close to 180 million tonnes per annum, needs to be enhanced to at least 500 million tonnes in the next five years.