VIZHINJAM: Vizhinjam Port officially commenced full-scale export-import (EXIM) operations on Tuesday, marking a strategic shift for the Kerala deep-water port as operator Adani Ports and Special Economic Zone (APSEZ) looks to capture cargo demand from the broader South Indian market.
The formal launch event in Kerala was attended by Chief Minister VD Satheesan and APSEZ CEO Ashwani Gupta. Gupta stated that the transition allows exporters and importers in Kerala a direct route to international markets, specifically benefiting sectors such as seafood, spices, cashew, coir, and engineering goods.
According to APSEZ, the direct gateway reduces transit times for exporters and grants importers quicker access to raw materials to improve supply-chain efficiency. Micro, small, and medium enterprises (MSMEs) are expected to benefit through improved competitiveness and cash flows resulting from shorter transit durations.
APSEZ has positioned Vizhinjam as a strategic gateway for the wider South Indian industrial hinterland, including businesses across Andhra Pradesh, Karnataka, Tamil Nadu, and Kerala, pending full road and rail connectivity.
Looking ahead, the port's next phase of development goes beyond container-handling capacity. APSEZ plans to build out an integrated maritime and logistics ecosystem around Vizhinjam. Planned infrastructure includes bunkering facilities, a liquid jetty, warehousing, logistics parks, and container freight stations.
The launch follows a strong first full year of operations, during which Vizhinjam handled over 2.3 million TEUs and captured nearly 30 percent of India's transshipment container market, according to APSEZ. The port has also accommodated ultra-large container vessels measuring nearly 400 metres in length.
To support future growth, APSEZ has invested more than ₹7,700 crore in the port thus far and committed an additional ₹16,000 crore for Phase 2. This expansion aims to increase Vizhinjam's capacity from 1.6 million TEUs to 5.7 million TEUs, transforming it into a major container hub in the Indian Ocean region.
The project's execution involved overcoming several natural and logistical hurdles, including cyclones, rough seas, prolonged monsoons, and the transportation of millions of tonnes of rock. Company executives noted that the overarching goal is to retain a higher volume of cargo, value creation, and economic activity within Kerala and India.
"The expansion of Vizhinjam Port into full-scale EXIM operations highlights the critical role of robust physical infrastructure in strengthening supply-chain efficiency for Indian businesses, particularly MSMEs. By reducing transit times and lowering logistical friction, deep-water port capabilities directly improve cash flows and global market access for regional manufacturers. For the broader business ecosystem, continued private capital expenditure in integrated maritime and logistics parks creates scalable pathways for domestic and international trade." — Dr. Shishir Gupta, Founder & CEO, StartupLanes
