In a significant move, the Kerala government inked Memoranda of Understanding (MoUs) totaling Rs 2,000 crore with three Central Public Sector Undertakings (PSUs) to enhance the logistics setup at the Adani Vizhinjam International Seaport. The agreements, signed in the presence of Chief Minister Pinarayi Vijayan, aim to bolster public sector involvement in vital maritime infrastructure while operating the port through a public-private partnership model. This initiative is designed to revamp Vizhinjam into a comprehensive logistics and maritime services center, moving beyond its current role as a transshipment facility.
The collaboration involves the state-owned Vizhinjam International Seaport Limited (VISL) and three Central entities – Indian Oil Corporation Limited (IOCL), Container Corporation of India (CONCOR), and Central Warehousing Corporation (CWC). By integrating essential services like bunkering, rail-connected cargo movement, and warehousing within the PSU framework, the government intends to mitigate risks associated with cargo handling concentration and ensure competitive pricing for trade participants. IOCL is set to invest Rs 700 crore to establish extensive bunkering facilities capable of servicing large vessels visiting the port, positioning Vizhinjam as a crucial refueling point along Indian Ocean trade routes.
CONCOR’s Rs 600 crore investment will focus on developing Inland Container Depots and Container Freight Stations to enhance rail connectivity with the national hinterland, thereby reducing cargo evacuation timelines. The remaining Rs 700 crore from the MoUs will be channeled by CWC to establish a multi-modal logistics park spanning approximately 50 acres, incorporating features like cold storage and export-oriented units. Notably, this structure imposes no direct financial burden on the state exchequer. The signing ceremony was attended by senior ministers and PSU executives, underscoring the strategic importance of this collaboration for Kerala’s maritime aspirations.
With this comprehensive logistics strategy, Kerala aims to fortify connectivity and strategic capabilities around Vizhinjam, solidifying its vision to become a competitive maritime gateway in the region.
