The Adani Group plans to invest an additional Rs 20,000 crore to complete the remaining three phases of the Vizhinjam International Seaport, India’s first transshipment port. This announcement was made by Karan Adani, Managing Director of Adani Ports and Special Economic Zone Ltd (APSEZ), after the official reception ceremony for ‘San Fernando,’ the first mothership to dock at Vizhinjam. He highlighted that the port will reduce logistics costs for Indian manufacturers by 30 to 40%.
The mothership arrived on Thursday at the port, developed by APSEZ under a public-private partnership model at an approximate cost of Rs 8,867 crore. Adani stated that the additional investment would enable the completion of the remaining phases in one go. He emphasized that the company’s primary focus is on reducing transit costs for manufacturers rather than gaining market share.
Adani acknowledged the challenges faced during the project but credited the support from the local community, government, and political parties for the successful completion of the first phase. He noted that securing enough stones for the breakwater construction was initially a challenge, but this issue has now been resolved, allowing for the completion of the remaining phases.
Vizhinjam port, with its strategic location, is expected to play a crucial role in India’s maritime sector as the first transshipment port in the country. The project received formal support from Kerala Chief Minister Pinarayi Vijayan, who welcomed the 300-meter-long ‘San Fernando’ at a ceremony attended by various dignitaries, including Union Minister for Ports, Shipping, and Waterways Sarbananda Sonowal.
The Chief Minister stated that the Vizhinjam International Seaport Limited would be fully operational by 2028, 17 years ahead of schedule. Initially, the plan was for the port to be fully equipped by 2045, with phases two, three, and four completed. However, with an investment of Rs 10,000 crore, the port will now be fully operational by 2028, and an agreement for this investment will be signed soon.
