Essar Ports Limited has received a letter of award (LoA) from Deendayal Port Authority (DPA) to develop a multipurpose cargo terminal at Tuna Tekra, Kandla, Gujarat, at an estimated cost of Rs 22.76 billion. The project will be implemented under a 30-year build-operate-transfer concession through the public-private partnership model.
Essar Ports will invest Rs 15.53 billion, while DPA will contribute Rs 7.23 billion. The terminal will have an annual cargo-handling capacity of 18.33 million tonnes, comprising four berths with a combined length of 1,200 metres. It will accommodate vessels of up to 170,000 deadweight tonnage. Commercial operations are expected to begin by 2031.
DPA will provide common-user infrastructure, including channel and berth dredging and an approach road. The project is expected to ease congestion at existing dry-cargo berths and improve operational efficiency.