India’s Cabinet Committee on Economic Affairs has approved the proposal of the Ministry of Shipping for setting up a new deep-draft port at Sagar Island in West Bengal through a public-private partnership.
The ministry was approved to appoint transaction advisers and legal consultants, initiate the bidding process for award of the project and finalize the port structure in collaboration with the state government of West Bengal and a planning commission. It was also approved to commission techno-economic feasibility reports for the new port at Dugarajapatnam locations and create an Empowered Committee of Secretaries regarding the project structuring and other implementation related issues.
The Sagar port will help alleviate draught limitations at existing riverine port facilities at Kolkata and Haldia in India, according to the Cabinet Committee on Economic Affairs.
India will also set up another port in Andhra Pradesh, near Visakhapatnam port, to meet rising demand from “rapid” industrial growth, the committee said.