APSEZ) has received the key environmental and coastal regulation zone approval from the Centre to more than double the capacity of its flagship port located at Mundra to 514 million tonnes with an investment of ₹45,000 crore.
This could strengthen APSEZ's case while seeking a rollover from the Gujarat government on the concession period for the port when it ends in 2031 after a 30-year run.
The port, located in Gujarat's Kutch district, currently has a design capacity and environmental and coastal regulation zone approval for handling 225 mt of cargo a year, including 9.5 million twenty-foot equivalent units (TEUs), a standard measure used for containers.
Mundra — India's biggest commercial port as well as the country's top container port by volumes handled — managed 179.6 mt of cargo, including 7.4 million TEUs, in fiscal 2024, accounting for more than a fourth of all cargo volumes and over a third of container cargo in India.
It is expected to cross the 200 mt mark in cargo handling in FY25, APSEZ said in its volume guidance for the fiscal year that began in April. This will make it the country's first port to achieve this feat.
Globally, a capacity utilisation of 70% is considered the ideal level for ports/terminals to operate efficiently without facing congestion and productivity issues. «At 70% capacity utilisation, the terminal works at full efficiency. Above that, the efficiency drops, and delays start occurring,» said a port industry insider.
With the port growing in double digits over the past few