Gautam Adani’s APSEZ to Invest ₹10,000 Crore in Vizhinjam Port to Attract World’s Largest Ships

Adani Ports and Special Economic Zone Ltd. (APSEZ) plans to increase its investment to ₹10,000 crore ($1.2 billion) to enhance its transshipment container port in southern India. This initiative aims to attract some of the world’s largest ships, according to insiders.

Phase Two Expansion

The investment focuses on the Vizhinjam port in Kerala, which is currently undergoing its second phase of development. This phase is expected to be completed by 2028, according to sources who preferred to remain anonymous as the plans are not yet public.

Attracting Major Shipping Lines

APSEZ is targeting major container shipping lines like MSC Mediterranean Shipping Co., A.P. Moller – Maersk A/S, and Hapag-Lloyd to utilize the port. Vizhinjam, located near India’s southern tip and close to international shipping routes, will receive its first container vessel from Maersk on July 12 for a trial run at its 800-meter container berth.

India’s Answer to International Maritime Trade

The Vizhinjam port, inaugurated in October, is a significant project for billionaire Gautam Adani’s conglomerate. It aims to position India as a key player in international maritime trade, which is currently dominated by China. India’s existing ports have not been able to handle the largest container ships, causing them to dock at ports like Colombo, Dubai, and Singapore instead.

Planned Infrastructure Upgrades

The funds will be used to extend the length of the existing berth and the breakwater at the port. A breakwater is a rock barrier built into the sea to protect the harbor from waves. Representatives of Adani Group, Mediterranean Shipping, and Hapag-Lloyd did not immediately respond to requests for comments.

Annual Investment and Future Plans

Adani Ports plans to invest up to ₹6,000 crore each year to expand capacity, according to Chief Executive Director Karan Adani. The Vizhinjam terminal will also include bunkering facilities for refueling ships, additional cranes to boost capacity, and a cruise terminal to accommodate large luxury liners.

Strategic Location

Vizhinjam’s proximity to international shipping routes, which handle 30% of global cargo traffic, and its natural channel that reaches up to 24 meters (79 feet) deep, make it an ideal hub for the largest ships.