Govt plans transshipment port under Sagarmala project

The government is contemplating setting up a world-class transshipment port under the ambitious Sagarmala project besides promoting use of coastal shipping and inland waterways for transporting key commodities such as coal, iron ore, foodgrains and petroleum products.
The plans were discussed at a high-level meeting to review Sagarmala initiatives, chaired by Road Transport & Highways and Shipping Minister Nitin Gadkari.
Sagarmala is an initiative...With an objective of promoting "port-led development" along India's 7,500-km long coastline for which Shipping Ministry has been appointed as the nodal ministry.
"The meeting covered the possible actions...For achieving the objectives of overall logistics cost reduction using waterways and port-led development in the country," a Shipping Ministry official said.

Potential for developing a world-class transshipment port in India and promoting the usage of coastal shipping and inland waterways for transporting key commodities like coal, iron ore, foodgrains and petroleum products came up during the meeting, he added.
While highlighting direct and indirect socio-economic benefits to the coastal regions by developing Indian ports and maritime sector, Gadkari also stressed on the need to develop a masterplan for capacity expansion in the existing major ports and creation of new ports with the objective of coast and logistics optimisation.

Recently the minister has said that at least 12 smart cities and several coastal economic zones will come up under the project, lifting India's GDP growth by 2 per cent.

"Sagarmala project which is a priority project for Prime Minister Narendra Modi has been designed in a fashion that it will see at least 12 smart cities at India's major ports besides special economic zones (SEZs)," he had said.
Cabinet in March had given 'in-principle' nod to the project, aimed at port-led development in coastal states.
Shipping Secretary Rajive Kumar and senior officials were present in the meeting today, which included a presentation by the consultants from McKinsey and AECOM, who have been appointed for carrying out the National Perspective Plan (NPP) Study as part of the Sagarmala initiative.
As a step towards comprehensive and integrated planning for 'Sagarmala', the government plans to put in place NPP soon for the entire coastline which will identify potential geographical regions to be called Coastal Economic Zones.

Funds required in 2015-16 for implementation of projects in the initial phase of Sagarmala is pegged at Rs 692 crore.
Modi had earlier stressed on the need for shifting focus from port development to port-led development model to maximise gains.