India Looks to Strengthen Ties with Bangladesh and Sri Lanka Through Key Port Projects
India is preparing to rekindle talks with the current Bangladeshi government about acquiring the rights to operate a terminal at Mongla Port, according to senior officials from the Ministry of Ports, Shipping, and Waterways (MoPSW). In addition, India is also actively funding the development of the Kankesanthurai (KKS) port in Sri Lanka, further solidifying its strategic foothold in the Indian Ocean region.
The Ministry has plans to utilize India Ports Global Ltd (IPGL), a specialized entity established in 2015 for developing and managing overseas port infrastructure. IPGL has already made its mark in countries like Iran and Myanmar, and the Indian government aims to enhance its workforce as it expands its operations internationally.
Resuming Talks on Mongla Port
Mongla Port, Bangladesh’s second-largest seaport after Chittagong, has emerged as a strategic point of interest for India, particularly due to its potential to enhance connectivity and trade across the region. Earlier this year, India secured operational rights for a terminal at Mongla Port, marking its third major overseas port venture following Chabahar Port in Iran and Sittwe Port in Myanmar.
“We want to start operations at the Mongla port – one terminal there,” said a senior official at MoPSW, emphasizing the significance of the terminal in strengthening regional influence. However, discussions have been delayed given the ongoing political developments in Bangladesh. “We are also aware of the ongoing political developments there. We intend to take up the discussions with the Ministry of External Affairs (MEA) soon, and through them, with the government in Bangladesh. Hopefully, there will be positive developments soon,” the official added.
For India, the Mongla Port terminal is more than just an economic venture. It is a crucial piece of the puzzle in India’s broader strategy to improve connectivity with its northeastern states and extend its reach into the Indian Ocean.
“We are looking at Mongla as a strategic port of call, allowing us better access to the northeastern region and a foothold in the Indian Ocean region,” the official noted. This aligns with India’s long-term vision of enhancing its maritime capabilities while strengthening ties with its immediate neighbours.
In 2018, Bangladesh granted India full access to both the Chittagong and Mongla ports for transit and cargo shipping. The potential restart of discussions could signal an important shift, enabling India to further leverage these access rights and expand its trade routes.
Strategic Development at Kankesanthurai Port
While India’s attention is focused on Mongla, it is simultaneously working on another key maritime project – the Kankesanthurai (KKS) port in Sri Lanka. Situated just 104 kilometres from Karaikal Port in Puducherry, KKS port is seen as another significant addition to India’s expanding regional network. The total estimated cost of the project is around $60 million, with India taking the lead in funding its development.
Kankesanthurai port is located near Jaffna in northern Sri Lanka and is viewed as a critical point of connectivity between the two countries. A direct passenger ship service connecting Nagapattinam in Tamil Nadu to KKS port covers 111 kilometres in approximately 3.5 hours, enhancing people-to-people ties and trade between the two nations.
This direct sea link, which is already operational, is expected to grow, with plans for a Ro-Ro (roll-on/roll-off) and Ro-Pax (roll-on/roll-off passenger) service to be reinitiated shortly. According to MoPSW officials, India is prepared to invest further in the terminal at KKS port, and if required, scale up the operation to meet growing demands.
“As of now, there will be a Ro-Ro, Ro-Pax service, which will restart soon. We are investing in the terminal there, and if required, may look at scaling up,” the official explained. This move is expected to enhance bilateral relations and boost economic activity between India and Sri Lanka.
Expanding India’s Maritime Influence
India’s increasing involvement in port development and management in neighbouring countries is part of a larger strategy to expand its maritime influence in the region. By investing in ports in Bangladesh and Sri Lanka, India is not only strengthening trade and economic relations but also establishing a stronger strategic presence in the Indian Ocean, a region of growing geopolitical importance.
The Indian government is acutely aware of the benefits of regional cooperation in maritime activities, particularly in the context of enhancing connectivity, improving trade logistics, and securing maritime routes. By engaging with Bangladesh and Sri Lanka on port development projects, India is positioning itself as a key player in the regional maritime economy.
The operational rights to Mongla Port in Bangladesh, once fully realized, will provide India with critical access to Southeast Asia and beyond, bolstering its trade with countries in the region. It will also provide India with a more direct route to its northeastern states, cutting down on time and costs associated with land routes.
Similarly, the development of KKS port in Sri Lanka is expected to open up new avenues for both trade and passenger traffic between the two countries. As Sri Lanka continues to recover from its recent economic challenges, such investments from India are seen as timely and critical in providing the necessary infrastructure for future growth.
India Ports Global Ltd: A Key Player
India Ports Global Ltd (IPGL) has been at the forefront of India’s efforts to develop port infrastructure overseas. Formed in 2015, IPGL was created with the specific mandate of expanding India’s maritime footprint beyond its borders. In recent years, the company has played a key role in developing Chabahar Port in Iran and Sittwe Port in Myanmar, both of which are seen as strategically important for India’s trade and geopolitical interests.
As India ramps up its port development activities in Bangladesh and Sri Lanka, IPGL is expected to play a central role in managing and operating these overseas ventures. The government has indicated that IPGL’s manpower and resources will be expanded to keep pace with the growing number of international projects.
With the success of previous overseas ventures under its belt, IPGL’s involvement in Mongla and KKS ports is expected to enhance India’s position as a regional maritime leader, capable of developing, managing, and operating critical port infrastructure in its neighbourhood.
India’s renewed focus on strengthening maritime ties with Bangladesh and Sri Lanka underscores its broader strategic goals in the region. By securing operational rights at Mongla Port and funding the development of KKS Port, India is not only enhancing its trade connectivity but also establishing a firmer presence in the Indian Ocean region. As discussions progress, these projects are poised to play a crucial role in shaping India’s future regional influence and economic growth.
