With the new government in West Bengal, officials in the shipping ministry anticipate smooth progress for various development initiatives, such as the Balagarh port project in the Hooghly district. The Syama Prasad Mookerjee Port Authority (SMPA) of Kolkata is working on constructing dedicated container and coal berths at Balagarh to cater to the expected increase in traffic and reduce urban cargo movement. Prime Minister Narendra Modi laid the foundation stone for this project earlier this year.
This endeavor aims to enhance cargo transportation via National Waterway-1, thereby improving inland waterway connectivity and overall logistics efficiency. The SMPA already possesses the necessary land for the project, having obtained environmental clearance in January 2025. The Engineering Procurement and Construction (EPC) segment of the project, which includes road construction, has progressed with the opening of tenders in February 2026 and the issuance of a work order for the construction of a Road Over Bridge (ROB) in January 2026.
Officials initially had concerns about potential obstacles during the commissioning phase but now express confidence in receiving full support from the state administration. The estimated cost of the project stands at Rs 539.17 crore, encompassing an EPC component of Rs 131.97 crore and a Public Private Partnership (PPP) component of Rs 407.20 crore. The Inland Waterways Authority of India will fund the EPC part, while the PPP segment will be financed and executed by the selected concessionaire.
The EPC portion, excluding dredging, is slated for completion by March 31, 2028. Dredging activities will be conducted by the IWAI just before the commencement of jetty construction by the PPP operators. The facilities under the PPP component are expected to be finalized within 3 years of the concession award. The project’s proposed cargo handling capacity is 2.7 million metric tonnes per annum (MMTPA).
Anticipated benefits of the project include alleviating congestion from urban cargo movement, reducing logistics expenses, and fostering the growth of an alternate trade hub. Approximately 2,600 job opportunities are projected to be created through direct and indirect means, contributing to both local employment and regional socio-economic advancement.
