India celebrated a significant milestone today with the opening of its first deep-water transshipment port, Vizhinjam, marked by the arrival of a vessel operated by Maersk. The port, which has been nearly a decade in the making, is seen as a crucial step in India’s ambitions to expand its port capabilities and establish a foothold in the global transshipment market.
The Neopanamax vessel San Fernando, owned by SFL and operated by Maersk, was the inaugural ship to be serviced at Vizhinjam Port on July 11. Coming from China, the 115,500 dwt vessel, built in 2015, has a capacity of 8,700 TEU. Port officials noted that the San Fernando would offload approximately 2,000 containers, with an additional 500 containers repositioned on the vessel.
Although this call was officially ad-hoc and designed as the port’s first pilot, discussions are ongoing with Maersk and other major shipping lines to use Vizhinjam as a regular transshipment hub. The San Fernando is set to proceed to Colombo, Sri Lanka, a traditional transshipment port for Maersk that has recently faced significant backlogs due to regional congestion. Adani Ports, the developer of Vizhinjam, is positioning it as a strategic alternative.
The construction of Vizhinjam Port began in 2016 through a public-private partnership. Located in Kerala state near the southwestern tip of India, the port is strategically situated just 10 nautical miles from major shipping routes, enhancing its potential as a leading transshipment hub for India and the broader region. The port features over 2,600 feet of berth and a channel with a maximum depth of 79 feet, capable of accommodating vessels over 18,000 TEU. Photos of the San Fernando’s arrival show the ship stirring the bottom, underscoring the port’s readiness to handle the largest ships.
Kerala’s Chief Minister, Pinarayi Vijayan, highlighted the port’s strategic importance during the opening ceremony. “The biggest ships can now berth in Vizhinjam. This positions the port as a key maritime hub in the country and globally,” Vijayan stated.
Adani Group is leading the development of Vizhinjam Port, which they aim to make the most technologically advanced port in India, surpassing even their Mundra Port. “Once we complete the automation and Vessel Traffic Management System, Vizhinjam will be in a class of its own as one of the most technologically sophisticated transshipment ports in the world,” said Karan Adani, Managing Director of Adani Ports and SEZ Limited.
Landmark Moment as India Joins Global Transshipment Market
Adani Ports projects that Vizhinjam Port will handle 1.5 million TEU annually, aiming to compete with other regional transshipment hubs like Colombo, Dubai, and Singapore. Bloomberg reports that Adani plans to invest an additional $2.4 billion in the next phases of the port. Originally planned to be developed in phases through 2045, Adani now aims to complete the next phase by 2028, targeting a capacity of 3 million TEU.
Despite India’s rise as a global economic power, its major seaports have historically lagged in infrastructure and capability. Of the 12 major Indian ports, many lack the necessary infrastructure and draft to accommodate mega-ships. As a result, about 75 percent of India’s transshipped cargo has been handled by ports outside the country, including Colombo, Singapore, and Port Klang in Malaysia.
To address this challenge, India has identified 14 new port projects for development, including deep-sea terminals like Vizhinjam. Recently, India approved plans for another large container port, Vadhavan, located on the west coast north of Mumbai. The $9 billion Vadhavan port is projected to handle 23.2 million TEUs by 2040, with its second phase.
The opening of Vizhinjam Port marks a transformative step for India’s maritime infrastructure. By enhancing its port capabilities and entering the global transshipment market, India is set to reduce its reliance on foreign ports and increase its competitiveness in global trade. With continued investment and strategic development, Vizhinjam and other upcoming ports promise to reshape India’s maritime landscape and boost its economic growth.
