JOC Staff | Nov 08, 2012 7:33AM EST
DP World signed a contract on Nov. 6 for the construction of a new container terminal at the Port of Jawaharlal Nehru (Nhava Sheva), India’s largest box gateway.
The project, covering an extension of the port-owned container berth by 1,082 feet, is expected to provide for an annual capacity for 800,000 20-foot-equivalent units.
Dubai-based DP World last week won the 17-year concession after offering a 28.09 percent share of revenue as annual royalty to the landlord port.
Plans for the build-operate-transfer project, estimated to cost approximately $200 million, include a draft of 44 feet and a 42-acre storage yard, supplemented by four rail-mounted quay cranes and 12 rubber-tire gantry cranes. The new facility is expected to start operations in 2015.
“There is a need to develop infrastructure in India, and DP World is privileged to be a partner in providing world-class facilities for India’s traders,” said Mohammed Sharaf, DP World chief executive. “Being one of the strongest emerging economies in the world, with a burgeoning middle class population, India offers immense potential for growth in the maritime sector.”
Port chairman L. Radhakrishnan said the private operator is required to sign a concession agreement with the port authority within 30 days.
The new terminal would be located next to DP World’s existing facility at the port, called Nhava Sheva International Container Terminal, which handled 1.4 million TEUs in fiscal 2011-12 ended March 31.
