APM Terminals Pipavav said its board has approved a ₹700 crore (US$95M) expansion plan for the Port of Pipavav in Gujarat, India
The existing facilities will be upgraded to handle bigger ships and the container capacity will be increased to 1.6M TEU.
APM Terminals said “This will improve overall cargo volume for imports and exports. About 40% of the total investment in the 1,535 km of western dedicated freight corridor (DFC) is likely to be in Gujarat, which has around 37% of the area covered.”
APM Terminals Pipavav managing director Jakob Friis Sørensen said the company is aiming to strengthen its network and continue to provide the best-in-class services to its stakeholders.
He added “However, we are awaiting the confirmation of concession extension from Gujarat Maritime Board to execute the expansion plan. The container yard capacity will be expanded once the cargo growth is visible post commissioning of DFC. We expect the world economy and business to follow an expanded ’U’ curve and normalcy in business to be restored by Q2 2021.”
Going forward, APM Terminals said it expects the supply chain and inland logistics to significantly improve the reliability and reduce transit time with the implementation of the under-construction DFC, which will connect New Delhi with Mumbai via Gujarat.
Pipavav Port is privately owned and operated by AP Møller–Mærsk.
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