Vizhinjam Port receives environment clearance for second and third phases

TIRUVANANTHAPURAM : The Ministry of Environment and Forests has granted environmental clearance to the Vizhinjam International Seaport, which began commercial operations on December 3, 2024, for the second and third phases of development of the port based on the recommendation of an Expert Appraisal Committee.

The environmental clearance will pave the way for setting up additional infrastructure facilities at the port concessionaire Adani Vizhinjam Ports Private Ltd. (AVPPL), which will invest around ₹10,000 crore as part of the expansion of the transshipment port. As part of the second and third phases of development, the container terminal will be expanded to 1,200 m in length, and the length of the breakwater will be increased by another 900 m.

With the environmental clearance, the Minister said that all the phases of the Vizhinjam port project is expected to be completed much earlier than expected and ensure substantial revenue to the State government. The government is expecting an investment of ₹10,000 crore for the development of all the phases that would gain the port an international status in the global shipping sector.

The development of phase-II and III will yield substantial economic benefits and the project is expected to generate significant revenue for both the Central and State governments through GST and job creation. Traders will gain a competitive advantage in terms of logistics costs with the capability to accommodate mother vessels directly.

The development of the Vizhinjam port offers an efficient and cost-effective supply chain/ value proposition to the Exim trade which could trigger a new set of opportunities as induced developments.