Kakinada Gateway Port Ltd holds Ground-breaking Ceremony for greenfield Kakinada Port
Chief Minister of Andhra Pradesh, Mr. N. Chandra Babu Naidu lays the Foundation Stone
Project investment to be around Rs. 3,000 crore | Kakinada Port to generate significant employment opportunities in the region | GoAP and Halida Petrochemicals Ltd (HPL) signed MoU for setting up Refinery / Petrochemical Project in Kakinada SEZ today, with an investment of Rs 60,000 crore | The Refinery/ Petrochemical Complex over the years to generate around 5 lakh jobs
Deepthi | Myequity news | Date : 04-01-2019 18:15:00 IST
Kakinada Gateway Port Ltd, today held the ground-breaking ceremony for the development of Greenfield commercial port near Kona village in East Godavari District, Andhra Pradesh. The foundation stone was laid by Hon’ble Chief Minister of Andhra Pradesh, Mr. N. Chandra Babu Naidu.
Kakinada Gateway Port is promoted by Kakinada SEZ Ltd, a subsidiary of GMR Infrastructure Limited, the flagship company of GMR Group.
Kakinada Gateway Port Limited had signed the Concession Agreement on 21st November, 2018 with the Director of Ports, Kakinada, GoAP for development of the Port on DBFOT basis (Design, Build, Finance, Operate and Transfer). The concession has been awarded with a concession fee of 2.7% of revenue share in the first 30 years of COD, 5.4% of revenue share in the years 31 to 40 and 10.8% revenue share in the years 41 to 50. The Port would be developed in an area of over 1811 acres owned by KSEZ. GoAP would lease 133 acres of sea front land for the period of concession.
The port is expected to handle Coal, General Cargo and Liquid Cargoes over the concession period. The estimated Project cost is ~ 3,000 Cr. The Port is expected to generate huge direct and indirect employment opportunities for the people of Thondangi mandal in East Godavari district of the state.
On the occasion, Mr. N. Chandra Babu Naidu said, “The 974 km coastline of the State offers tremendous scope for Port development and thus economic development & employment generation in the region. I am confident that Kakinada Gateway Port would go on to become a gem among the Ports and would stand as a shining example not just for the state or the country, but for the whole world.”
Taking the cue from the Chief Minister, Mr. BVN Rao, Chairman, Transportation & Urban Infrastructure of GMR Group, said “This event heralds a new era of industrialization for the Kakinada Region. The Port and the Industrial Park will definitely have symbiotic relationship. While the Port will provide an excellent value proposition for the manufacturing industry to set up unit in the Industrial Park, the cargo import & export from the Park will provide the traffic upside for the economic attractiveness of the Port.”
The world renowned TCG Group’s flagship company Haldia Petrochemicals Ltd. has chosen Kakinada SEZ to set up their Rs. 60,000 crore Refinery and Petrochemical Projects. A MoU was signed between GoAP and HPL in Kakinada, today. Haldia Petrochemicals Ltd (HPL) is a competitive modern naphtha-based Petrochemical Complex at Haldia, West Bengal which is 125 kms from Kolkata. The HPL project in Haldia is a Joint Venture project having the Government of West Bengal, The Chatterjee Group, the TATAs with the Indian Oil Corporation, etc. as major stakeholders with an investment of Rs 5,864 crore. The proposed refinery and Petrochemical project in Kakinada SEZ over the years is expected to generate around 5 lakh direct and indirect jobs. It will also provide a fillip to the Port, with significant liquid cargo traffic. GMR Group aims to develop the region on the lines of Jurong Industrial Cluster in Singapore and Houston of the United States.
The dignitaries who graced the occasion were Sri Nimmakayala China Rajappa, Hon'ble Deputy Chief Minister, Home & Disaster Management, Govt of AP; Sri Yanamala Ramakrishnudu, Hon’ble Minister for Finance & Planning; Sri Kimidi Kala Venkatarao, Hon'ble Minister in-charge for EG District and Minister for Energy, Govt of AP; Sri N Amarnath Reddy, Hon'ble Minister for Industries, Food Processing, Public Enterprises; Sri Thota Narasimham, Member of Parliament, Kakinada; Sri D Ramalingeswara Rao (Raja), Member of Legislative Assembly (MLA), Tuni; Sri S.V.S.N. Varma, MLA, Pithapuram; Sri Reddi Subrhamanyam, Chairman, Andhra Pradesh Legilative Council; Sri Jyothula Naveen Kumar, Chairman, Zilla Praja Parishad, East Godavari district; Sri Yanamala Krishnudu, Chairman, Agricultural Market Committee, Tuni; Smt Chittimuri Sandhya Rajasekhar, President, Mandal Praja Parishad, Thondangi. Sri Ajay Jain IAS, Principal Secretary, Energy, Infrastructure & Investment Dept., GoAP; Sri Kartikeya Misra IAS, District Collector – East Godavari District; Dr. Koya Praveen IPS, Director of Ports, GoAP; Sri GM Rao, Group Chairman, GMR Group; Sri B.V.N. Rao, Chairman, Transportation & Urban Infra sector, GMR Group and Sri Prasanna Challa, CEO, Kakinada SEZ Ltd.
The Port has large industrial land of Kakinada SEZ (~8,521 acres) in the backyard. Being strategically located on the Vizag Chennai Industrial Corridor, the Port and Industrial Park together are expected to become the Gateway to the East Coast of India. Kakinada SEZ had also signed an agreement with AP Gas Distribution Corporation in October, 2018 for supply of piped natural gas to industries in the Industrial Park, making it a highly attractive destination for gas dependent manufacturing industries. Kakinada SEZ would be the first Industrial Park on Eastern Coast of India that can provide piped Natural Gas supply to all its industrial units.
Given the assurance of GMR Group, abundant water, surplus power, assured gas supply Kakinada SEZ Industrial Park has been receiving enquiries from various international companies from countries like Korea, Taiwan and China. The companies are from sectors like Chemicals, Petrochemicals, Food processing, Solar Equipment Manufacturing, Toys & Textiles and Glass & Ceramics manufacturing. Institutions of repute such as Indian Institute of Foreign Trade and Indian Institute of Packaging are also being set up in 25 acres each at Kakinada SEZ. About GMR Infrastructure Limited (GIL):
GMR Group, a leading global infrastructure conglomerate with interests in Airport, Energy, Transportation and Urban Infrastructure.