JNPA to become first Indian port with 10 mn TEU capacity by April 2025

The port hit the 7 mn TEUs handling milestone for the first time earlier this month

Jawaharlal Nehru Port Authority (JNPA) is set to attain a container handling capacity of 10 million twenty-foot equivalent units (TEUs), the highest among all Indian ports, by April 2025, according to Unmesh Wagh, chairperson, JNPA, and chairperson and managing director, Vadhvan Port Private Limited (VPPL).

 

JNPA will expand its current capacity of 7.7 million TEUs to 10.1 million TEUs with the completion of the second phase of the Bharat Mumbai Container Terminal, which has been awarded to the Port of Singapore. Another 0.3 million TEUs of capacity will be added in the same financial year, making the overall port capacity 10.4 million TEUs, the port authority said.

 

In FY25 so far, JNPA has handled 7 million TEUs — a first for the port. JNPA achieved this feat on March 17, registering a growth of 13.62 per cent compared to the corresponding period of FY24. By the end of FY25, the port is estimated to handle a total container cargo of 7.25 million TEUs.

 

At present, Mundra Port, privately operated by Adani Ports and Special Economic Zone, is India’s busiest port with four container terminals and a combined capacity of 7.5 million TEUs. In FY24, the port handled over 7 million TEUs, becoming the first Indian port to do so.

 

“The private sector always surpasses the public sector because they have more freedom, they are free to deploy more efficient staff, and they have access to more resources. But when that freedom and decision-making is delegated to the public sector, the same officials can also do remarkable work and demonstrate that they are not second to anyone,” said Wagh.

 

Discussing the factors behind JNPA’s achievement, Wagh stated that the authority has performed well with efficiency in terms of terminals, the port’s marine department, dwell time, and turnaround time of ships. He added that JNPA has reduced various costs by 5–7 per cent with no hidden costs. 

 

So far, the port has been able to utilise over 90 per cent of its current capacity. It is expecting its final capacity of 10.4 million TEUs to be exhausted by 2029 or 2030. “With this growth rate, it will take five years. But I think we will reach there within four years,” said Wagh.

 

To attain the same, JNPA is aiming to target agricultural commodities through an agro-processing unit, utilisation of empty container yards, and a captive cargo of around 1 million TEUs generated by the special economic zone (SEZ) once it becomes fully operational in the next three years, along with alternate connectivity.

 

Moreover, the authority is also expecting certain growth when the Dedicated Freight Corridor (DFC) connects to JNPA. “Once DFC reaches JNPA this December, we will grow more than 15 per cent for the next several years and achieve the 10 million TEUs traffic,” said Wagh.

 

In addition, the first phase of the Rs 76,220 crore Vadhvan Port is also expected to be completed by 2029. The initial part of near-shore reclamation will be completed in the next 18 to 24 months. “The two tenders of 1,200-hectare reclamation and breakwater will be issued within two months and finalised within four to five months,” said Wagh.

 

Additionally, the port authority has planned to build a 20-storey building to host its headquarters at Mumbai’s Malet Bunder on a plot of 3.16 acres with an investment of Rs 1,000 crore. The authority has hired Engineers India Limited, a public sector undertaking under the Ministry of Petroleum and Natural Gas, as a consultant for the project.

 

The plot has a permissible floor space index of 4.0 and a potential built-up area of 69,000 square metres (sq m). The authority has leased the land parcel from the Mumbai Port Authority for a tenure of 30 years at an annual lease rent of Rs 1 per sq m. It will pay a one-time upfront premium of Rs 203.85 crore.

 

“We will ask all other offices of the Ministry of Ports, Shipping and Waterways to shift to this building. We have also had a small discussion with the Government of Maharashtra, and we offered them space. They are very positive. They enquired how much space we can offer to them. So we are writing a formal letter to them to seek their demand for this particular building,” Wagh added.

 

The building, with an auditorium and an observatory, will be completed in two years after obtaining the necessary approvals.