INDIA: DP World, a ports company based in Dubai, has announced plans to invest approximately $510 million in the construction of a new container terminal at Kandla port in Gujarat, India, according to the group’s chairman’s statement on Friday.
“It will enable the delivery of trade opportunities by connecting northern, western, and central India with global markets,” said Sultan Ahmed Bin Sulayem, who also serves as DP World’s CEO, after the agreement was signed between Deendayal Port Authority and DP World officials.
Earlier this year, the Indian government sanctioned a proposal by Hindustan Infralog Private Limited, a partnership between DP World and the state-owned National Investment and Infrastructure Fund, to construct the terminal using the build-operate-transfer (BOT) approach.
DP World, which has operations in 73 countries, revealed this week that its first-half earnings fell by almost 10% to $651 million, despite a 13.9% increase in revenue to over $9 billion.
Company officials have stated that the upcoming terminal, expected to be finished by early 2027, will enhance container traffic in India and lower logistics expenses.
DP World manages five container terminals in the country: a pair in Mumbai and one each in Mundra, Cochin, and Chennai. Collectively, these terminals can handle approximately 6 million twenty-foot equivalent units (TEUs), granting DP World a 28% market share in the nation’s container traffic volume.
The company’s statement mentioned that the addition of the new terminal will bring the total capacity to 8.19 million TEUs.
DP World’s investments in Indian ports and terminals are in line with Vision 2047, the country’s goal to increase port handling capacity fourfold and enhance logistics infrastructure for economic growth, as per the statement.
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