The first phase of the project, already accommodating ultra-large container vessels, has handled more than 280 vessels and 600,000 TEUs (Twenty-Foot Equivalent Units) since operations began. An additional Rs 13,000 crore investment is planned for Phase 2, expected by 2028. This will raise the port’s annual handling capacity from 1 million TEUs to 5 million TEUs.
Strategic location with natural advantages
Managed by Adani Ports & SEZ Ltd (APSEZ) under a 40-year concession agreement signed in 2015, the port is built through a Public-Private Partnership (PPP) model. Karan Adani, Managing Director of APSEZ, said Vizhinjam would gain full momentum within a year, transforming India’s port logistics landscape.
Strategically located just 10 nautical miles from the international east-west shipping route, Vizhinjam enjoys a significant geographic advantage. Its natural deep draft of 18 metres close to shore eliminates the need for capital dredging, enabling it to handle next-generation container ships with draft requirements over 20 metres. One of the port’s engineering marvels is its 3-km breakwater, constructed in water depths of 18 to 20 metres, reaching a height of 28 metres, equivalent to a 9-storey building. This is India’s deepest breakwater and was built at a cost of Rs 1,387 crore, fully funded by the Kerala government. Plans are underway to extend the breakwater by an additional kilometre. Vizhinjam also boasts India’s tallest ship-to-shore cranes and an AI-powered vessel traffic management system, making it one of the most technologically advanced ports in the country. In its initial months, the port welcomed major vessels like San Fernando, MSC Claude Girarde, and MSC Türkiye—some of the largest ever to dock at an Indian port.
Reversing Transhipment Losses
Prime Minister Modi highlighted that 75 per cent of India’s transhipment cargo is currently handled at foreign ports, resulting in significant revenue loss. He said the development of Vizhinjam would reverse this trend and retain economic value within the country, creating new opportunities for Kerala and its people. The port is projected to lower logistics costs for Indian manufacturers by 30 to 40 per cent, enhancing export competitiveness. Analysts note that Indian exporters and importers currently bear an additional cost of USD 80-100 per container due to the lack of a domestic transhipment terminal.
Ancient Roots
Historically, Vizhinjam has been a maritime hotspot. Its commercial legacy dates back to the 2nd century BCE. Archaeological findings in 2006 unearthed remnants of an ancient fort, believed to belong to the Ay chieftains, dating to the 8th or 9th century AD. During the reign of Travancore’s Dharma Raja Karthika Thirunal Rama Varma, Dewan Raja Kesava Das developed Vizhinjam into a small trading port.
The idea of a modern port at Vizhinjam was first proposed by C.P. Ramaswami Iyer, the Diwan of Travancore, in the 1940s. Although surveys and preliminary studies were conducted, the project was shelved during the political transition from monarchy to democracy.
Decades later, in 1995, the Kerala government signed an MoU with Kumar Energy Corporation to develop the port on a Build-Operate-Transfer basis, but the deal fell through. A detailed feasibility study in 2004 reignited interest. Multiple bids followed in 2005, 2007, and 2010, before the final successful bid in 2014 led to the signing of a concession agreement in 2015 with Adani Vizhinjam Port Private Limited (AVPPL).
Future Prospects
The port has been designed to function as a landlord model with a DBFOT (Design, Build, Finance, Operate, and Transfer) framework, focusing on container transhipment as well as break-bulk and multi-purpose cargo. Now, nine years later, Vizhinjam has begun fulfilling its promise. Within just a year of trial operations that began in July 2024, over 250 ships have called at the port. With the next phase of development underway, Vizhinjam is on track to become a cornerstone of India’s maritime economy.
Industry experts believe the port will reshape India’s logistics framework, help reclaim billions in lost revenue, and reduce dependency on international transhipment hubs. As Karan Adani aptly put it, “Vizhinjam is not just a port; it is a symbol of India’s maritime resurgence.”
