Vizhinjam International Multipurpose Port

Vizhinjam International Multipurpose Port

Why in News? 

Recently, Prime Minister Narendra Modi inaugurated the Vizhinjam International Port located in Kerala. India’s first container transshipment port marks a strategic leap, enhancing the nation’s global maritime trade connectivity.

Introduction to Vizhinjam International Multipurpose Port

• Geographical Location:
  • Vizhinjam Port is located in the Thiruvananthapuram district of Kerala, India.
  • This location lies at the southern tip of India, making it very close to important maritime routes of the Indian Ocean.
  • The port is situated near the Cape of Good Hope route, making sea trade between Asia and Europe highly convenient.
• Project:
  • This project was initially a major plan of the Kerala government and has now been given national priority.
  • It has been developed under the Public-Private Partnership (PPP) model.
  • India’s largest port developer, Adani Ports and Special Economic Zone Limited (APSEZ), was entrusted with the construction of this project.
  • The project follows a DBFOT approach, ensuring private investment drives its design, construction, and long-term operation before eventual handover.
  • The state government is providing supporting infrastructure in this project.
• Cost:
  • This port was built at a cost of around ₹8,867 crore, began trial operations in July 2024, and received commercial certification in December.
• Features:
  • One major feature of Vizhinjam is its natural depth, which ranges from 18 to 20 meters.
    • This depth allows large ocean vessels to dock without any dredging.
    • Such ships usually dock only at ports like Colombo or Dubai.
  • More than 285 ships have arrived here so far and 5.93 lakh TEUs of containers have been processed, which is a record achievement.
  • Vizhinjam marks a major shift in India’s maritime strategy as the country’s first exclusive hub for container transshipment.
  • It is also India’s first semi-automatic port, with modern facilities like cruise terminal, liquid bulk berth, and transshipment terminals.
  • It is India’s first AI-powered port, equipped with a Vessel Traffic Management System (VTMS) developed in collaboration with IIT Madras.
  • The port is equipped with fully automated yard cranes and remotely operated ship-to-shore cranes.
  • The stable coastline at Vizhinjam, with minimal sand drift, reduces dredging needs and keeps upkeep costs low.
  • Initially designed to handle 1 million TEUs, the port aims for a rapid scale-up to 6.2 million TEUs, boosting trade capacity.

Why does India need a transshipment port?

• Lack of adequate infrastructure: India has 12 major ports, but most of them lack the landside infrastructure needed to handle large-capacity cargo ships in the ocean. These ports are not suitable for large and heavy vessels.
• Dependence on foreign ports: About 75 percent of India’s transshipment cargo is handled through foreign ports. Transferring cargo at these ports takes more time and adds extra cost per transshipment.
• Lagging in global competition: Globally, Indian ports are not able to compete with major international shipping hubs. Ports like Singapore and Klang have already become established international transshipment hubs. India needed a port that could match these global standards.

Economic and Strategic Importance of Vizhinjam International Multipurpose Port

• Self-Reliance: Until now, India depended on ports like Colombo, Singapore, and Dubai for container transshipment, affecting time, cost, and security. But with the launch of Vizhinjam, this dependence will reduce, and India will become a provider of transshipment services.
• Industrial and Regional Development: Vizhinjam is becoming a gateway for development in South India. It is creating more than 5,000 direct jobs and thousands of indirect employment opportunities. There has been a significant rise in logistics hubs, transport networks, warehouses, and the hospitality sector around the port. Local youth are now getting jobs closer to home, reducing migration.
• Strategic Interests: Vizhinjam’s geographical location is also vital for India’s strategic interests. This port is located just 10 nautical miles from the international shipping route, making it strategically unique. 
• Global Connectivity: The docking of large vessels like MSC Turkey at Vizhinjam shows that India has now joined the ranks of major powers in oceanic trade. The port is now part of MSC’s Z service, which operates on major routes connecting Europe, Africa, and Asia. Being part of this network gives India access to new maritime corridors.

Major Ports of India

• Mumbai Port: The Mumbai Port is the largest port in India, located in the state of Maharashtra. It is a center of trade activities and, being a major port on the western coast of India, most international trade happens from here. The port has deep water areas, making it an ideal location for large cargo ships.
• Vadhavan Port: Vadhavan Port in Maharashtra’s Sindhudurg district is the nation’s latest addition to maritime infrastructure. Its purpose is to promote international trade on the western coast of India. Vadhavan Port has the advantage of large deep-water areas, providing ample space for big ships.
• Kolkata Port: India’s oldest port, Kolkata Port, now recognized as Syama Prasad Mookerjee Port Trust, has played a pivotal role in the nation’s maritime history. It is located in the eastern Indian city of Kolkata and plays a major role in India’s trade history. Its strategic location helps in increasing trade with Bangladesh and East Asian countries.
• Visakhapatnam Port: Visakhapatnam Port is located in Andhra Pradesh and is the deepest port in India. Its natural depth is more than 16.5 meters, which is sufficient to handle large and heavy ships easily. This port is important for trade with Southeast Asia.
• Cochin Port: The Cochin Port’s Vallarpadam Terminal is considered India’s major transshipment facility. It has been developed as the International Container Transshipment Terminal (ICTT) of Cochin.

Initiatives Related to Maritime Sector by the Government of India 

• Legislative Reforms: The Government of India implemented the Major Port Authorities Act in 2021, granting ports autonomy and commercial freedom. 
  • This allows port management to take quick decisions. 
  • The Marine Aids to Navigation Act, 2021, has revolutionized technology and safety standards in the navigation industry.
• Green Shipping: The Green Tug Transition Program (GTTP) is moving India’s maritime policy towards environmental sustainability. Under this scheme, diesel-powered tugboats are being converted to green energy sources, which helps in reducing carbon emissions and protecting the marine ecosystem.

Sagarmala: The Sagarmala Project, launched in 2014, is upgrading India’s ports to global standards. It includes components like cold storage, multi-modal connectivity from ports, and logistics hubs. This is helping India move towards becoming a transshipment hub.