Gujarat Ports: Strengthening the State’s Economy Through Strategic Development
Minister Raghavji Patel Highlights the Importance of Gujarat’s Ports in Economic Growth
Minister Raghavji Patel said Gujarat’s vast coastline plays a crucial role in strengthening the state’s economy during the budgetary discussion on the Port Division under the Port Department. With approximately 28 percent of the country’s coastline under its jurisdiction, Gujarat has emerged as a leader in the export sector, driven by various innovative port development projects.
Strategic Initiatives and Investments
The state government has formulated an extensive plan for the integrated development of Gujarat’s ports. One of the major milestones in this initiative is the commissioning of an LNG terminal at Chhara in Gir Somnath district, constructed with a private investment of ₹4,239 crore. Operational since 2024, this facility strengthens Gujarat’s presence in the energy sector.
Additionally, plans are underway for the development of a brownfield port in the northern part of Bhavnagar Port. A concession agreement has been finalized for this project, which is expected to receive an investment of ₹4,024 crore. This development is set to enhance trade and improve port efficiency in the region.
Expansion of Key Ports
Dahej Port is undergoing significant expansion, with multiple projects aimed at increasing its handling capacity. The third jetty is currently under construction by M/s. Petronet LNG with an investment of ₹1,656.15 crore. Simultaneously, M/s. Gujarat Chemical Port Terminal is constructing a second jetty at Dahej, which involves an estimated investment of ₹3,322 crore.
Similarly, Hazira Port is witnessing major developments with the completion of a multi-purpose berth spanning 182 meters. This expansion, undertaken under Phase-2 of port development, is expected to handle between 12 to 15 million metric tons (MMT) of cargo annually. The total cost of this bulk general cargo terminal development stands at ₹3,559.6 crore.
Enhancing National Security with Coast Guard Jetties
Minister Patel emphasized Gujarat’s contributions to national security through the development of Coast Guard Jetties. The state has allocated ₹430.8 crore for the construction of jetties at Porbandar, Okha, and Mundra, with ₹260 crore already dedicated to the ongoing construction of jetties at Okha and Porbandar.
Additional measures to improve port security and operational efficiency include the deployment of pilot boats for monitoring purposes, the installation of dust suppression systems to enhance environmental protection, and the procurement of multi-purpose fire tenders. A new 485-meter jetty at Navlakhi Port has also been completed at a total cost of ₹253.78 crore to support industries such as ceramics and inland coastal cargo.
Navlakhi Port’s Transformation
A major focus has been placed on the development of Navlakhi Port, particularly in meeting the needs of the thriving ceramic industry in Morbi. Plans are in place to establish container handling facilities, ensuring seamless logistics for ceramic exporters. Furthermore, efforts are being made to position Navlakhi Port as a key hub for coastal shipping by integrating it with other ports across India.
Port City: An Ambitious Vision for the Future
As part of the Vibrant Gujarat Global Summit 2024, the state has announced an ambitious Port City project, envisioned by the Gujarat Maritime Board. This initiative aims to transform Gujarat into a hub of economic activities, encompassing residential, industrial, and entertainment zones.
Covering approximately 500 square kilometers, the Port City will feature a multi-cargo handling port capable of managing between 250 to 500 MMTPA (Million Metric Tons Per Annum). The project is expected to attract significant private investments and drive Gujarat’s economic expansion in the coming years.
Developing Greenfield Ports and Upgrading Existing Facilities
To further bolster its maritime infrastructure, the Gujarat government plans to identify and develop ten new greenfield ports along the coastline. These ports will be developed and operated through private investments, ensuring high operational efficiency and global standards.
Additionally, the Gujarat Maritime Board is working on upgrading existing ports to enhance their capacity and sustainability. This initiative aligns with the state’s broader vision of modernizing its port infrastructure to support growing trade demands.
Improving Road and Rail Connectivity
Recognizing the importance of robust transportation networks, the Gujarat Maritime Board has undertaken multiple projects to improve road and rail connectivity to ports. A total of 18 road connectivity projects and 11 railway connectivity projects have been identified, ensuring efficient movement of goods from ports to industrial hubs across the state.
These initiatives will significantly reduce logistics costs and facilitate faster transportation, making Gujarat an even more attractive destination for trade and investment.
Boosting the Ship Recycling Industry at Alang
Alang, one of the world’s largest ship recycling yards, is set to witness a significant expansion. The Gujarat government has proposed to double the recycling capacity from 4.5 million Light Displacement Tonnage (LDT) to over 9 million LDT.
In light of challenges faced by the industry, the government has provided financial relief of approximately ₹114 crore to plot holders, ensuring sustainability. Additionally, a financial relief package of ₹28 crore has been proposed for the fiscal year 2025-26 to support the sector’s long-term growth.
Commitment to Environmental Sustainability
Sustainable development remains a key focus of Gujarat’s port expansion initiatives. The Gujarat Maritime Board is committed to adhering to national and international environmental regulations to ensure that port development activities do not compromise ecological balance.
As part of its environmental strategy, the state has implemented an effective environmental management system across ports, ensuring that operations align with stringent environmental standards. Measures such as dust suppression systems, pollution control mechanisms, and eco-friendly waste management strategies have been adopted to minimize the environmental footprint of port activities.
Conclusion
Gujarat’s strategic port development initiatives are transforming the state into a global trade and logistics hub. With significant investments in new and existing ports, enhanced connectivity infrastructure, and a strong commitment to sustainability, Gujarat is poised to strengthen its economic position further.
Minister Raghavji Patel’s emphasis on innovative projects and private sector collaboration highlights the state government’s proactive approach in leveraging Gujarat’s vast coastline for economic prosperity. As these projects come to fruition, they are expected to generate employment opportunities, boost exports, and cement Gujarat’s reputation as the leading maritime state in India.
