Centre’s Rs 3,000 Crore Project To Transform Odisha’s Paradip Into Mega Port


Rs 3,004 will be invested to build new Western Dock and deepen the route at Paradip port to handle capesize vessels.

The project is expected to result in improvement in the Port efficiency, better cargo handling, increased trade and employment generation.


To accelerate port-led development in the Eastern states of India, the union government plans to develop Paradip port in Odisha into a mega port with various projects involving Rs 3,004.63 crore.

The project involves deepening and optimising inner harbour facilities, including developing the western dock on a build, operate and transfer (BOT) basis under Public-Private Partnership (PPP) mode at Paradip Port.

The project’s estimated cost includes the development of the new Western Dock on a BOT basis and capital dredging by the selected concessionaire at the expense of Rs 2,040 crore and Rs 352 crore, respectively.

Paradip Port’s investment will be to the tune of Rs 612.5 crore towards providing common supporting infrastructure.

The project will facilitate the decongestion of the Port, making coal imports cheaper, and boost the industrial economy in the Port’s hinterland, leading to the creation of job opportunities.

The Port, after the project, can easily handle huge ships for which an 18-metre draft is required resulting in a reduction in logistics costs and will boost international trade.

“The success of the project is a milestone towards Paradip Port becoming a Mega Port. The project will enhance the Port’s ability to handle Cape Size vessels, will contribute to Port’s capacity addition of 25 MMTPA (Million Metric Tonne Per Annum) and will result in improvement in the Port efficiency, better cargo handling, increased trade and employment generation,” Union Minister for Ports, Shipping and Waterways Sarbananda Sonowal said.

Once completed, these projects are expected to cater to the requirement of coal and limestone imports besides the export of granulated slag and finished steel products, considering the large number of steel plants established in the hinterland of Paradip Port.

Paradip Port Authority was commissioned in 1966 as a mono commodity port to export iron ore.

In the last 54 years, the Port has transformed itself to handle a variety of cargo, including iron ore, chrome ore, aluminium ingots, coal, POL, fertiliser raw materials, limestone, clinker, finished steel products and containers, etc.