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Shaping the port of the future

Historical & Strategic Context

  • Vizhinjam was historically known as Balita and later Rajendra Chola Pattinam, indicating its prominence in early global maritime trade.
  • Post-colonial neglect led to the decline of its status in favor of ports like Cochin and Madras.
  • It is now revived as India’s first deep-water container transshipment port.

Relevance :GS 3(Infrastructure)

Port Features & Economic Significance

  • Location advantage: Closest Indian port to international shipping routes (just 10 nautical miles away).
  • Can handle Ultra Large Container Vessels (ULCVs) due to its natural 20-meter draft depth.
  • Developed under a PPP model with ₹8,867 crore investment:
    • Kerala Govt: ₹5,595 crore
    • Adani Ports: ₹2,454 crore
    • Union Govt (VGF): ₹817.8 crore
  • Already exceeded TEU targets: 6 lakh TEUs handled in a year (vs. expected 1 lakh).

Operational Milestones

  • Docked MSC Claude Girardet, largest cargo ship in South Asia.
  • MSC Anna handled 10,330 containers—a record for Indian ports.
  • MSC Irina, world’s largest container ship, expected to dock in May 2025.
  • Semi-automated port with skilled women crane operators—a national first.

Geopolitical and Global Trade Impact

  • Aims to reduce Indias dependence on foreign transshipment hubs like Colombo, Singapore, and Klang.
  • MSC (Mediterranean Shipping Co.) has already included Vizhinjam in its major global shipping routes.

Future Expansion Plans

  • Full completion advanced from 2045 to 2028.
  • Second and third phases approved with ₹20,000 crore investment:
    • TEU capacity to increase from 1 million to 4.87 million.
    • Berth length to increase from 1,200m to 2,000m.

Infrastructure & Connectivity Challenges

  • Delays due to inadequate associated infrastructure (e.g., 40-ship backlog in Feb).
  • Pending approvals:
    • Integrated Check Post (ICP) – vital for customs and crew change.
    • Port Health Office – important for international operations.
  • Key connectivity projects:
    • NH-66 expansion, rail link to Balaramapuram, 63 km Outer Ring Road.

Allied Industrial Ecosystem & Local Economy

  • Kerala government announced Vizhinjam Development Zone and plans for an economic corridor.
  • Push for shipbuilding, ship repair, logistics, and green fuel (hydrogen, ammonia) hubs.
  • Shipyard at Poovar and wave energy projects in pipeline.

Special Investment Region (SIR) & SEZ Potential

  • Potential to emulate China’s Shenzhen model (from fishing village to tech hub).
  • Vizhinjam Special Investment Region (SIR) Bill under proposal:
    • Should include land pooling, fair compensation, and global best practices.
    • May be referred to a select committee for detailed study.

Policy & Financial Concerns

  • Union Govt’s VGF repayment clause could escalate to ₹10,000 crore – a financial burden on Kerala.
  • Suggestion: Reconsider repayment terms due to the port’s strategic importance.
  • Need for a Greenfield Port Policy (like Greenfield Airport Policy) to avoid nearby redundant ports (e.g., Colachel, 40 km away).

Conclusion: Way Forward

  • Vizhinjam is a game-changing infrastructure project with immense potential.
  • Its success hinges on:
    • Timely infrastructure support,
    • Smart regulatory decisions,
    • Strategic global partnerships,
    • Harmonious Centre-State-private collaboration.

May 2025
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