Karan Adani Says Indian Ships Will be Transshipped from Vizhinjam Port
According to Karan Adani, managing director of Adani Ports and Special Economic Zone (APSEZ), Vizhinjam International Seaport is "much better equipped" to handle all of India's transshipment goods in a year.
Approximately 75 percent of India's transshipment cargo is currently handled in ports outside of the country, costing Indian ports between $200 and $220 million annually in lost revenue from transshipment handling of goods coming into or going to India.
The main goal of the Vizhinjam project is to bring back to India the transshipment of Indian goods that is currently being done at the ports of Singapore, Colombo, Salalah, and Dubai.
The project site is India's deepest and closest point to international shipping lanes.
Only 10 nautical miles separate the international shipping route from the Middle East-Far East shipping route, which connects Europe, the Persian Gulf to the Far East, and the international Seuz-Far East shipping route.
One type of transit hub is a transshipment port, where cargo is moved from one ship to another en route to its ultimate destination.
Transhipment typically occurs to move smaller cargoes to larger mother ships, which reduces the time and expense of shipping.
Transshipment ports are necessary since not all ports worldwide are directly connected.
According to Adani, APSEZ aims for 90 percent resource utilization.
Regarding the effect of US President Donald Trump's tariffs on international trade, Adani stated that any interruption in trade routes undoubtedly affects shipping lines and the flow of goods.
At an estimated cost of Rs 8,867 crore, the deep-water port was built by APSEZ, the largest port developer in India and a member of the Adani Group, using a public-private partnership model. On December 4, 2024, the port was granted a certificate of commercial commissioning.
Megamax container ships can be handled at the Vizhinjam port thanks to its state-of-the-art infrastructure and extensive automation.
One million TEUs is its capacity in Phase 1, and 4.5 million more will be added in later stages.
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The largest port developer and operator in India, APSEZ is a member of the internationally diversified Adani Group and has eight ports and terminals on the east coast and seven strategically placed ports and terminals on the west coast.