India’s strategic and economic ambitions took a major leap forward on May 3, Saturday as Prime Minister Narendra Modi inaugurated the Vizhinjam International Seaport in Kerala – the nation’s first deepwater transshipment port. Built at a cost of $1.07 billion under a public-private partnership led by Adani Ports and Special Economic Zone Ltd, the port marks a significant milestone in India’s long-term plan to reshape Asian logistics and reduce dependence on foreign ports for cargo handling.

Speaking at the grand commissioning ceremony, Prime Minister Modi hailed the port as a symbol of “new-age development,” situated where “the big sea meets the beauty of nature.” The Vizhinjam port’s establishment is expected to have major economic ramifications, with industry watchers projecting a significant boost to India’s shipping sector and its overall logistics capabilities.

Currently, around 75% of India’s container cargo is handled by ports outside the country, primarily in Colombo, Singapore, and Dubai. This dependence has not only extended shipping times but also saddled Indian exporters and importers with additional costs – losses that Modi estimated at $200-220 million annually. Each container rerouted through foreign ports incurs an extra charge of $80-100. “Indian ports lost revenue due to transshipment happening in ports outside India,” Modi emphasized, underscoring the financial implications.

The Vizhinjam International Seaport directly addresses this longstanding vulnerability. Its most striking feature is its natural sea depth of 18-20 meters close to shore, allowing even the world’s largest container ships to........

© Blitz