Drawing inspiration from international port-cities such as Rotterdam, Dubai, and Antwerp, the Gujarat government is revisiting a decade-old idea of building India’s first greenfield port-city spread over 500 sq km. It targets completion by 2047 with a cumulative investment of ₹1.5 lakh crore, giving the State a maritime edge countrywide.
With a massive port, capable of handling 500 million tonnes per annum (MTPA), at its core, the project seeks to integrate port-related industries, marine activities, residential complexes, and recreational activities. “It is a long-term project. We are in the process of identifying a site from the four shortlisted sites,” says a senior State government official.
Gujarat currently accounts for 66 per cent of the cargo handled by non-major ports in the country, followed by Andhra Pradesh (14 per cent) and Maharashtra (9 per cent) at a distant second and third. This year alone, non-major ports in Gujarat (which include the private ports of Mundra and Pipavav) handled 229 million tonnes of cargo during April-October 2024. By 2047, Gujarat targets handling 2,200 MTPA, almost four times its existing capacity.
Gujarat Maritime Board (GMB), which is spearheading the port-city project, has appointed global real-estate consultant Cushman and Wakefield (C&W) to prepare a master plan for the project. “The development (of the project) will be spread over a couple of decades,” says an executive from C&W.
Porbandar, Bhavnagar, Surat, and Valsad are the four shortlisted sites for the planned port-city. These locations were selected based on key factors such as proximity to deepwater access, availability of waterfront space, connectivity to robust road and rail networks, and potential to support sustainable industrial growth.
Government insiders say the strongest contender among the four sites is Maroli/Nargol in Valsad district. Bhavnagar’s strengths include its deep draught and strategic location, while Surat — located near the industrial powerhouse of Hazira — finds favour for its established infrastructure and close links to major ports and industries, making it ideal for both industrial and port-led development.
Decades-old idea
In 2013, Gujarat had first mooted the idea for the development of two port-cities at Mundra in Kutch district and Pipavav in Saurashtra, respectively. GMB had prepared a concept plan for a ₹6,000 crore, 500 sq km Mundra port-city, scheduled for completion by 2041 and capable of housing 15 lakh people. Later, the diversified conglomerate GVK Group had also proposed to build a port-city at Dahej in South Gujarat. The proposed site was thereafter shifted to Okha on the western end of the State. None of the projects took off.
Challenges
While the key hurdle is in identifying a suitable site, an even bigger challenge is in finding a 500 sq km contiguous land parcel. “We are not looking to retrofit an existing city or port. We are looking to build the entire port-city from scratch,” the C&W executive says.
Another challenging task involves the construction of a 500 MTPA port, which roughly equals the 48 existing non-major ports in Gujarat with 593 million tonnes capacity. State government officials say this is feasible as Gujarat’s cargo handling capacity has risen five times in the last 20 years. From 84 million tonnes in 2002-03, cargo handled by Gujarat’s non-major ports rose to 415 MTPA in 2022-23. However, most of it is handled by two private ports, Mundra and Pipavav.
Of the State’s 48 non-major ports, only 20 are functional, according to data tabled in the Lok Sabha in 2021.
Port-city features
The concept for developing a port-city also finds mention in GMB’s Vision 2047 document, which was released during the Vibrant Gujarat summit earlier this year. Currently boasting a ship turnaround time of 70 hours, Gujarat targets cutting it to 40 hours. The lone major port in Gujarat, Kandla, had a turnaround time of 54 hours in 2023-24, while another major port in neighbouring Maharashtra — Jawaharlal Nehru Port — comes in at an impressive 26 hours.
The development of state-of-the-art port facilities is fundamental to the success of any port-city. With the continuous increase in the size and depth of sea-going vessels, demand is set to grow for larger, deep-draught terminals with longer quays and advanced mechanisation.
Gujarat’s proposed port-city is expected to have deep-draught and multipurpose terminals, shipbuilding and repair facilities, marina, water sports and more. It will include industrial units, exim zones, warehouses, cold storage, hi-tech parks and multimodal connectivity.
Once the master plan and the location is finalised, tenders will be floated, inviting developers for the port-city.