Govt approves Rs 3,000 crore project for Paradip port

New Delhi: The government on Wednesday said it has approved a Rs 3,000 crore project to turn Paradip Port into a world-class port by setting up a dock. The decision to set up a western dock was taken by the Union Cabinet in its meeting held on Wednesday, Ports, Shipping and Waterways Minister Mansukh Mandaviya said.

“The Cabinet has approved setting up of Western dock at Paradip port at a cost of Rs 3,000 crore which will transform the port into a world-class and modern port. ….The decision has been taken with a futuristic approach as Prime Minister has been laying emphasis on development of eastern states,” Mandaviya said briefing the media after the Cabinet meeting.

Paradip port in Odisha is one of the 12 major ports under the control of the Centre. Mandaviya said that the port handles the cargo of about 115 MT which is likely to increase substantially to about 400 MT by 2030 and the decision to set up western dock was taken to attract large vessels with capacity of handling 1.5 tonne cargo.

He said the port after the project can easily handle very large vessels for which 18 metre draft is required and these ship can dock here resulting in reduction in logistics cost. The minister said this was the need of the hour to boost EXIM trade in the current global competitive environment and will provide employment to lakhs of people.

He said based on the prime minister’s stress on “waste to best”, it has also been decided to sell the dredging material and dredging material worth Rs 86 crore have already been sold. Ports, Shipping and Waterways Ministry in a statement said the project approved by the CCEA pertains to ‘deepening and optimization of inner harbour facilities including development of western dock on build, operate and transfer (BOT) basis under Public-Private Partnership (PPP)mode to handle cape size vessels at Paradip Port’.

“The estimated cost of the project is Rs 3,004.63 crore. This includes development of the new Western Dock on BOT basis and capital dredging by the selected concessionaire at a cost of Rs 2,040 crore and Rs 352.13 crore respectively; and Paradip Port’s investment will be to the tune of Rs 612.50 crore towards providing Common Supporting Project Infrastructure.

Government approves Rs 3000 crore project for Odishas Paradip port https://t.co/FiIz4uVpNS

— Paradip Port Trust (@paradipport) December 30, 2020